ATLANTA — Coca-Cola Co. today posted first-quarter earnings and revenue that topped analysts’ expectations. The world's largest beverage maker raised its full-year outlook for earnings.
The company said its focus on smaller sizes is paying off with budget-conscious consumers. Coca-Cola reported organic revenue growth of 10%, its best organic growth in five quarters. Adjusted per-share earnings also exceeded Wall Street’s expectations for the three months ended April 3.
Each of Coca-Cola’s operating segments reported volume growth for the quarter, with volume in North America increasing 4% from a year earlier.
“The external environment differed greatly across our markets,” Henrique Braun, Coca-Cola’s chief executive officer, said on an earnings call. “While many consumers remained resilient, others are under pressure due to persistent inflation, greater macroeconomic uncertainty and volatilities driven by the conflict in the Middle East.”
Companywide, net revenue increased 12% to $12.5 billion in the quarter.
Coca-Cola said it gained share in the market for nonalcoholic ready-to-drink beverages. Sales volume of mini cans grew at a high-single-digit percentage after the company introduced single-serve mini cans in convenience stores.
Unit case volume grew 3% in the quarter, led by China, the United States and India. Performance included the following:
- Sparkling soft drinks grew 2%.
- Trademark Coca‑Cola grew 2%, driven by growth in Asia Pacific and North America.
- Coca‑Cola Zero Sugar grew 13%, driven by growth across all geographic operating segments.
- Diet Coke/Coca‑Cola Light grew 6%, driven by growth in North America.
- Juice, value-added dairy and plant-based beverages declined 1%, as growth in Asia Pacific was more than offset by a decline in Europe, Middle East & Africa (“EMEA”).
- Water, sports, coffee and tea grew 5%. Water grew 5%, driven by growth across all geographic operating segments. Sports drinks grew 3%, driven by growth in North America and EMEA. Coffee was even. Tea grew 8%, driven by growth in EMEA, Latin America and Asia Pacific.
“Our performance reflects our unwavering focus on staying close to the consumer, executing locally and managing complexity,” said Braun, who became CEO in March, succeeding James Quincey, who had been the chief executive since 2017.
