Australian drinks company Coca-Cola Amatil Ltd’s underlying profit declined by a quarter (25.3%) to AUD375.5m ($292.8m) in the 12 months ending December due to drop in volumes of soft drinks.
The firm's core brands saw dip in sales in supermarkets and convenience stores. Pricing pressure and surging costs in Indonesia impacted the margins further.
Coca-Cola Amatil cut its final dividend by 31% to 22 cents.
The company, in which The Coca-Cola Co owns 29% stake, has been facing pressure to boost earnings following an 80% dip in profits a year ago.
Profits at its domestic drinks division fell 21.3% and "gains in the energy, sports and dairy categories [were] insufficient to offset declines in carbonated beverages".
Its group sales revenue dropped by 1.9% to A$4.94bn ($3.84bn).
Coca-Cola Amatil in a statement said that it is now focusing on mid-single digit earnings growth over the next few years and does not expect any further decline after 2014.
The company's CEO Alison Watkins said: "We are confident that the combination of revenue and cost initiatives we have underway will restore the business to growth."
Under Watkin's leadership, the beverage manufacturer has taken up a restructuring program to reduce costs and wrest back losing market share.
In October, the firm's US-listed backer announced that it would help out by acquiring a minority stake in the struggling Indonesian business for $500m, reported Reuters.
