Coca-Cola Enterprises Inc. reported unaudited consolidated earnings results for the first quarter ended March 31, 2013. For the quarter, the company reported net sales of USD 1,850 million compared to USD 1,868 million a year ago. Operating income was USD 111 million compared to USD 171 million a year ago. Income before income taxes were USD 84 million compared to USD 149 million a year ago. Net income was USD 61 million compared to USD 109 million a year ago. Diluted earnings per share was USD 0.21 compared to USD 0.35 a year ago. Net cash derived from operating activities were USD 14 million compared to net cash used in operating activities of USD 129 million a year ago. Free cash flow was USD 74 million compared to USD 201 million a year ago. Net debt was USD 3,119 million as at March 29, 2013. The company expects 2013 comparable and currency neutral earnings per diluted share growth of approximately 11% to 12%. Net sales are now expected to grow in a low to mid-single-digit range and operating income growth continues to be in a mid-single-digit range, both on a comparable and currency neutral basis. At recent rates, currency translation would reduce full-year earnings per share by approximately 1% to 2%. The company now expects its year-end net debt to EBITDA ratio to be at the low end of its long-term range of 21/2 to 3 times, reflecting the impact of its plan to return cash to shareowners, incrementally optimize its capital structure, and maintain balance sheet flexibility. The company also expects 2013 free cash flow in a range of USD 450 million to USD 500 million after including a year-over-year increase in cash restructuring expenses of approximately USD 125 million. Capital expenditures are expected to be approximately USD 350 million. The comparable effective tax rate for 2013 is expected to be in a range of 26% to 28%. For the second quarter of 2013, the company expects comparable and currency neutral operating income to be flat to slightly negative when compared to prior year. There are several factors that contribute to this back-half weighting, including the benefits of its Business Transformation Program.

The Coca-Cola Enterprises Board of Directors declared a regular quarterly dividend of 20 cents per share. The dividend is payable June 20, 2013 to shareowners of record on June 7, 2013.

Coca-Cola Enterprises Inc., Q1 2013 Earnings Call, Apr 25, 2013