Coca-Cola Içecek Anonim Sirketi (CCOLA) Q4 2025 earnings summary

Executive summary

• Achieved 8% year-over-year consolidated sales volume growth to 1.6 billion unit cases in 2025, led by international operations, especially Central Asia and Iraq, with robust free cash flow despite geopolitical and macroeconomic challenges.

• Strategic focus on pricing, discount management, and mix optimization supported margin protection and profitability.

• CEO transition announced: Ahmet Kürşad Ertin to become CEO as of July 1, 2026.

Financial highlights

• Net sales revenue grew 3.9% year-over-year to TL 187.2 billion (TAS 29); consolidated sales volume rose to 1.6 billion unit cases.

• Net income was TL 14.1 billion (TAS 29), down 27.4% year-over-year, mainly due to inflation accounting reversal, lower monetary gains, and a one-off tax accrual in Uzbekistan (~TL 1 billion).

• Free cash flow reached TL 2.8 billion (TL 7.1 billion pre-inflation accounting), a significant turnaround from negative cash flow in prior years, driven by improved net working capital and disciplined capex.

• Gross margin expanded by 27 bps to 35.6% (TAS 29); EBIT margin was 13.4%, down 28 bps, but would have been 13.6% excluding a TL 211 million competition board fine.

Outlook and guidance

• For 2026, expects mid-single-digit consolidated volume growth, low to mid-single-digit growth in Türkiye, and high-single-digit growth in international operations.

• FX-neutral net sales revenue per unit case projected to grow in the low-to-mid-teens; EBIT margin expected to remain flat; Capex/Sales ratio to stay at high single-digit levels.