Coca-Cola to launch three new drinks
ST. LOUIS — Coca-Cola Enterprises Inc., the world’s largest bottler, plans to launch three new drinks and improve its diet drink business next year.
During a Thursday conference call with analysts, President and Chief Executive Office John R. Alm said the new products are an energy drink called Full Throttle, additional Dasani water flavors, and an unnamed innovation in regular soft drinks that will be announced next year.
Chairman Lowry F. Kline also said the company sees “opportunities” in its portfolio of diet drinks. That will help the company address health and wellness trends in the market, he said.
Also Thursday, the Atlanta-based company said it expects 2004 earnings of $1.21 to $1.23 a share, or $1.26 to $1.28 a share excluding the effect of new concentrate prices in North America. Coca-Cola Enterprises buys concentrates for drinks from The Coca-Cola Co.
Analysts were expecting earnings of $1.28 a share, according to Thomson First Call.
“Regarding 2004, we obviously are not pleased,” Kline told analysts.
New York Stock Exchange listed Coca-Cola Enterprises shares closed Thursday at $21.43, up 34 cents, or 1.6 percent.
For 2005, the company said its expects earnings per share in the low to mid-$1.30s. Wall Street had forecast $1.38 a share.
“Next year we see opportunities,” Kline said. “We believe we can effectively leverage and reposition our strong diet portfolio.”
In Europe, the company will introduce Diet Coke with lime, expand Fanta Light flavors, and “improve consumer awareness of Diet Coke,” Alm said.
Advertising in Europe will emphasize that Diet Coke has zero calories, he said, because more than 40 percent of consumers aren’t aware of it.
Alm said the company expects operating income growth of 4 percent to 5 percent in 2005.
In North America, he said, the company expects volume growth of 1 percent and revenue growth per case of 4 percent.
In Europe, it estimates volume growth of 4 percent and revenue per case growth of 3 percent.
Kline said the company will benefit from “increased innovation and brand support” from Coca-Cola Co.