Coca-Cola Amatil Withdraws Earnings Guidance Due to Coronavirus

   By Mike Cherney 
 

SYDNEY--Australian bottler Coca-Cola Amatil Ltd. said Tuesday that it is withdrawing its 2020 earnings guidance due to disruptions from the novel coronavirus.

The company previously expected mid-single digit earnings per share growth in 2020 and in the medium term.

"Given the significant uncertainty in relation to the duration and impact of the Covid-19 pandemic, we no longer feel it is appropriate to continue to provide earnings guidance," the company said in a statement.

Travel restrictions aimed at slowing the spread of the virus are hitting just before the crucial Easter and Ramadan trading periods, Amatil said.

In Australia and New Zealand, Amatil said it is seeing strong growth in the grocery channel as consumers stock up. However, that growth has been offset by declines in the on-the-go channel, which are expected to accelerate as consumers stay home and major events are cancelled.

In Indonesia, another key market for Amatil, the company said there's been a reduction in foot traffic as people stay home and that volumes in Bali have been hit by a severe decline in tourism.

Write to Mike Cherney at [e-mail]

(END) Dow Jones Newswires

March 16, 2020 18:06 ET (22:06 GMT)

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