Coca-Cola Europacific Partners NASDAQ: CCEP outlined updated sustainability priorities and progress during a recorded investor webinar led by Investor Relations Director Matt Sharp and VP of Sustainability Joe Franses. The company said it has now fully integrated the Philippines into its sustainability plan and targets following the 2024 acquisition of Coca-Cola Beverages Philippines Inc. (CCBPI) alongside joint venture partner Aboitiz.
Franses said the purpose of the session was to provide “an overview of our approach to sustainability and to demonstrate how sustainability supports business growth and value creation,” while also acknowledging a “challenging external context.” He described CCEP as a “EUR 21 billion business” serving more than 600 million consumers across 31 markets, with 85 manufacturing sites and about 90% of products produced and consumed locally.
Plan update expands to the Philippines and narrows focus to six 2030 targets
Franses said CCEP’s group-wide sustainability action plan, This is Forward, launched in 2017 and has been updated multiple times to reflect changes in the business, including a 2021 revision after the acquisition of Coca-Cola Amatil and a further update “last month” to incorporate the Philippines.
He said the company’s long-term direction remains unchanged, including the goal to reach net zero emissions by 2040, but targets were updated to sharpen focus on areas where CCEP can have the biggest impact. The company now has six group-wide 2030 targets, all including the Philippines, and each supported by “a comprehensive 2030 roadmap.”
- Climate: reduce absolute Scope 1, 2, and 3 emissions by 30% versus a 2019 baseline, including a new forest, land, and agriculture (FLAG) component.
- Water: maintain a 100% water replenishment target and add a target to replenish 85% of total water use at 18 high-risk sites by 2030, with a longer-term ambition to reach 100% by 2035.
- Packaging collection: collect and recycle the equivalent of 85% of bottles and cans sold by 2030.
- Recycled content: set a group-wide target for at least 30% of PET used to come from recycled plastic by 2030.
- Communities (skills): expand skills development goals to include the Philippines under the company’s Skills for Impact efforts.
Sharp asked why the company reduced the number of targets and adjusted collection and recycled plastic goals. Franses said the update is meant to reflect “the shape of the business that we have today,” lessons learned, and differences in recycling infrastructure across markets, calling collection “quite complex” depending on local conditions.
Progress metrics: emissions, rPET, collection, and water replenishment
Franses highlighted what he called an overview of performance through the end of last year. He said CCEP reduced total greenhouse gas emissions (Scope 1, 2, and 3) by nearly 19% in absolute terms versus 2019, “whilst we continue to grow the business.”
On packaging, he said recycled PET represented 46% of PET used across the group at the end of 2025, reaching 64% in Europe and about 22% in Australia, Pacific and Southeast Asia markets. He added that more than 75% of bottles and cans sold last year were collected for recycling “together with our partners.”
On water, Franses said the company returned to nature the equivalent of over 100% of the water used in finished drinks through 50 replenishment projects, and at 18 high-risk sites it replenished the equivalent of 56% of total water used last year.
On communities, Franses said CCEP has supported skills development for more than 146,000 people since 2023 through partnerships and local programs.
Climate roadmap: renewables, suppliers, and EUR 385 million investment plan
Franses said CCEP has adopted a “science-based approach” and noted that its updated 2030 emissions target, including the Philippines, has been validated by the Science Based Targets initiative. He said ingredients and packaging represent 60% to 70% of the company’s value chain emissions, with most emissions falling under Scope 3.
He said the company’s strategy includes decarbonizing operations while engaging suppliers to address Scope 3 emissions. Franses reported that 84% of purchased electricity was renewable at the end of 2025, including 100% in Europe and nearly 67% in APS markets.
He also detailed supplier-focused efforts, including assessing over 400 strategic suppliers through EcoVadis, offering training through the SLoCT program, and providing sustainability-linked finance tied to EcoVadis scores. Nearly 60% of CCEP’s 220 “carbon strategic suppliers” have already set their own science-based targets, he said.
Franses said CCEP has a EUR 385 million investment plan for emissions reduction between 2025 and 2027, and that carbon reduction has been part of the company’s long-term incentive plan since 2020. He cited projects including electric boilers and a site heat grid at the Dongen facility in the Netherlands, and a planned test in Australia with agricultural startup Avalo to reduce the carbon footprint of sugarcane.
When Sharp asked about the gap between a 30% reduction target by 2030 and net zero by 2040, Franses said the path “is not easy” and also depends on broader external changes such as faster renewable electricity adoption in developing markets, transport electrification, and policy shifts away from fossil fuels.
Packaging: rPET target reset reflects cost premiums and infrastructure gaps
During Q&A, Sharp asked why CCEP’s 2030 rPET target is set at 30% despite having exceeded that level in 2025. Franses said the cost premium of recycled PET versus virgin PET “has not reduced…in the way that we would’ve expected,” and in many markets it is “not commercially viable.”
He said the 30% target is intended to be a credible, achievable floor across the full business, not only in developed markets, adding that going beyond 2030 remains the ambition. Franses emphasized the need for deposit return schemes and policy support to improve both the volume and quality of collected material and to ensure “fair access” to recycled PET.
Franses also outlined the company’s broader packaging footprint, including more than 44 billion individual units placed into markets last year, with more than 17% refillable bottles and fountain/dispense equipment serving nearly 4 billion drinks. He said the company has worked to ensure over 99% of primary packaging is recyclable and compatible with local recycling systems.
He pointed to deposit return scheme performance in Germany, Iceland, Norway, and Sweden, where collection rates were “well above 80, nudging 90%,” and discussed new and upcoming schemes, including Portugal’s recently launched Volta program and a planned Great Britain deposit return scheme from October next year. Franses said evidence to date suggests deposit return schemes do not have a material long-term impact on demand as consumers adapt.
Water risk, nature disclosures, and community initiatives
Franses said water risk is being intensified by climate change in parts of Europe, with rising temperatures and changing rainfall patterns. He noted that authorities in France, Great Britain, and Spain raised the prospect of drought-related restrictions, though those did not ultimately affect CCEP sites. He added that the company has developed a “water scarcity handbook” based on market experience.
On nature and biodiversity, Franses said the company completed its first nature and biodiversity risk assessment in 2024 using the SBTN methodology, followed by a second assessment aligned with the Taskforce on Nature-related Financial Disclosures. He said the TNFD-aligned work is nearing completion and that disclosure alignment with ESRS and TNFD will continue through 2026.
On communities, Franses reiterated the goal under Skills for Impact to support more than 0.5 million people by 2030, citing examples including the GIRA Jóvenes program in Spain and a partnership with UK Youth in Great Britain.
Closing the session, Sharp asked what commercial success would look like alongside sustainability goals. Franses said success would mean a “more resilient” and “more efficient” business with a lower cost base tied to energy, packaging, and water, reduced exposure to volatility, reinforced supply chain strength, and stronger long-term brand trust—while acknowledging that CCEP still has significant work ahead to deliver its roadmaps.
About Coca-Cola Europacific Partners NASDAQ: CCEP
Coca-Cola Europacific Partners is a major independent bottler and distributor of nonalcoholic ready-to-drink beverages, operating under a long-standing franchise relationship with The Coca-Cola Company. The business manufactures, bottles, sells and delivers a broad portfolio of global and local beverage brands, including still and sparkling soft drinks, waters, juices, sports drinks and ready-to-drink teas and coffees. Its activities encompass production, packaging, marketing and route-to-market distribution for retail, foodservice, convenience and vending customers.
The company was created through the combination of Coca-Cola European Partners and Coca-Cola Amatil in 2021, bringing together beverage operations across Europe and the Asia-Pacific region.
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