Coca-Cola Içecek Anonim Sirketi (CCOLA) Q1 2026 earnings summary

Executive summary

• Achieved 6.9% year-over-year consolidated sales volume growth in Q1 2026, with strong gains across Türkiye and international markets, especially Central Asia.

• Net income surged 213.8% year-over-year to TL 5.2 billion, driven by operational profitability and lower net financial expenses.

• Stills category outperformed with 30.3% growth, while sparkling grew 4.5% year-over-year.

• CEO transition announced: Ahmet Kürşad Ertin to succeed Karim Yahi as CEO effective July 1, 2026.

• Positive free cash flow of TL 462 million generated in the quarter.

Financial highlights

• Net sales revenue rose 10.7% year-over-year to TL 52.4 billion; NSR per unit case increased 3.6%.

• EBIT increased 84.3% year-over-year to TL 6.9 billion, with margin up 529 bps to 13.2%.

• Gross margin expanded by 592 bps year-over-year, mainly due to timely price adjustments and disciplined cost management.

• Free cash flow improved to TL 462 million from TL (10.5) billion in Q1 2025.

• Net debt/EBITDA improved to 0.66x from 1.31x a year ago.

Outlook and guidance

• Targeting mid-single-digit consolidated volume growth and flat EBIT margin (~16%) for full year 2026.

• CapEx expected to remain in high single-digit percentage of net sales; free cash flow to stay strong but may moderate due to higher CapEx and inventory needs.

• Inflation accounting (TAS 29) applied due to high inflation in Türkiye, with comparative figures restated for purchasing power.

• Some financials also presented without inflation adjustment for performance comparison against 2026 forecasts.

• Margin stabilization prioritized for upcoming quarters amid ongoing volatility.