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Coca-Cola Ups Earnings Forecast Despite Cost Pressures
27 Oct
Summary
- Coca-Cola exceeded third-quarter earnings and revenue expectations.
- The company anticipates an 11% earnings growth for the full year.
- Rising input costs impacted Coca-Cola's North American business.
Coca-Cola exceeded Wall Street's expectations for the third quarter, announcing adjusted earnings of $0.91 per share and revenue of $13.4 billion. The company also raised its full-year earnings growth forecast to 11%, up from a previous range of 9% to 10%.
Globally, unit case volume increased by 5%, driven by strong performance from Coke Zero and Diet Coke. However, Coca-Cola's North American operations faced pressure from rising input costs, including fuel and aluminum prices, impacting bottling partners.
Despite these cost challenges, CEO Henrique Braun expressed confidence in the company's sustained momentum. Coca-Cola is exploring strategies to offset these costs, including regional price adjustments. The company also recently finalized a beverage provider deal with KFC in North America.
