SPC Ardmona has recorded ‘‘improved’’ earnings for its Coca-Cola Amatil owners in the first half of the year.
CCA’s half yearly report said SPC’s performance had improved due to reduced depreciation but didn’t disclose the figures.
The parent company has recorded a half-yearly after-tax profit of $140million, which is 29 per cent down on its result for the same period last year.
The report said SPC was continuing its transformation into a profitable modern food business.
‘‘SPC is making solid progress in delivering on its investment program, and has been well supported by its major customers and loyal consumers.
‘‘However, returning to profitability is taking longer than had been expected. The SPC team has worked hard to deliver on the investment plan objectives and has made significant progress in modernising its manufacturing capabilities and bringing new innovative products to market, such as ‘ProVital’, ‘Perfect Fruit’ and several snacking-fruit products,’’ the report said.
‘‘We see a strong future for SPC as it continues to expand its range of products and targets additional markets.’’
The report said the joint investment program with the Victorian Government was expected to be completed this year.
Coca-Cola Amatil reported earnings before tax of $241million and an increase in net debt of $274million to $1266million.
Contributing to the decline in performance was a 3.8 per cent fall in carbonated drinks, which includes Coca-Cola products, sold during the period.
Sale volumes in its still beverages — which includes Mount Franklin water — were down 8.5 per cent for the period.
Two big chains, Woolworths and Coles, are resisting attempts by Coca-Cola Amatil to stock the whole range of Mount Franklin Water.
Woolworths has also declined to stock the group’s new No Sugar Coca-Cola drink.