Coke Comfortably Tops Earnings, Sales Estimates

| About: The Coca-Cola (KO)

The Coca-Cola Company reported Q3 earnings and sales that topped consensus analyst estimates, on strong international growth and a shift away from sugared soft drinks (check back later for KO's latest earnings call transcript). Net income climbed 13% to $1.65 billion, good for EPS of $0.71, versus $0.62 a year earlier. A $0.03 a share restructuring charge was offset by a $0.03 a share gain from the sale of a chunk of its holdings in Coca-Cola Amatil. Revenue grew 19% to $7.69 billion; analysts were, on average, expecting EPS of $0.68 on sales of $7.29 billion. The company said "performance in our Latin America, Africa, Eurasia and Pacific operating groups remained robust." Global unit case volume grew 6%, powered by still (non-carbonated) beverage unit case volume which was up 14%. YTD cash from operations increased 18%. As part of its shift away from sugared soft drink beverages, which health conscious consumers have been avoiding, Coke purchased Glaceau (Vitaminwater) for $4.1 billion in May (full summary). YTD, Coke has repurchased $1.6 billion of its own shares; the company doesn't offer forward guidance. Its shares are up nearly 20% this year.

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Tagged: , Beverages - Soft Drinks, Earnings
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