- Coca-Cola’s quarterly earnings beat Wall Street estimates while earnings came in soft.
- The beverage company said its breakbulk volume, which excludes the impact of currency and price changes, fell 1%.
- For 2023, Coke is forecasting comparable revenue growth of 3% to 5% and comparable earnings per share growth of 4% to 5%.
Coca-Cola on Tuesday reported quarterly sales that beat analysts’ expectations, driven by higher prices for its beverages.
But those higher prices have hurt demand for cola products like Simply Orange Juice and Fairlife Milk. Coke said its general cargo volume, which excludes the impact of currency and price changes, declined 1% in the fourth quarter.
The company’s shares are up 1% in premarket trading.
Here’s what the company reported, compared to Wall Street expectations, based on a poll of analysts by Refinitiv:
- Earnings per share: 45 cents adjusted vs. 45 cents expected
- Revenue: $10.13 billion versus $10.02 billion expected
The beverage giant reported net income attributable to the company of $2.03 billion, or 47 cents a share, for the fourth quarter, compared to $2.41 billion, or 56 cents a share, a year ago.
Excluding an impairment on the Russian business and other items, Coke earned 45 cents a share.
Net sales rose 7% to $10.13 billion, driven by 12% price growth and a more expensive mix of beverages sold.
General cargo volumes were flat in North America and decreased 5% in the Europe, Middle East and Africa segment. CEO James Quincey said last quarter that European consumers were changing their behavior in response to rising inflation.
Looking ahead to 2023, Coke is forecasting comparable revenue growth of 3% to 5% and comparable earnings per share growth of 4% to 5%. Wall Street forecast revenue growth of 3.9% and earnings per share growth of 3% for the year.
Read Coca-Cola’s earnings report here.