Coca-Cola optimistic after strong quarterly sales

18/10/2019

18/10/2019

Coca-Cola announced strong quarterly results on Friday and was particularly optimistic for the year as a result of continued growth in beverage sales around the world.

The soft-drink giant is now expecting sales growth of "at least 5%" at constant scope and exchange rates, despite the appreciation of the dollar and especially the commercial tensions affecting global growth.
Coca-Cola was hoping for a 5% increase in sales.
The optimism of the Atlanta group (Southeast) was hailed on Wall Street, where the title gained 1.54% in the pre-session electronic exchanges.
In the third quarter, net profit jumped 38% to $ 2.59 billion (almost as much in francs), which translated into adjusted earnings per share, a benchmark in North America. 56 cents, in line with the expectations of financial analysts.
Turnover increased by 8.34% to $ 9.51 billion, higher than the expected 9.43 billion.
"Our performance supports us in the idea that our strategy is with consumers," said CEO James Quincey, quoted in the statement.
Coca-Cola revitalized its classic drinks – Coca-Cola, Coca-Cola Zero and Coca-Cola Plus – and now offers new fragrances, such as Coca-Cola Orange Vanilla.
He has also multiplied different sizes of cans ranging from traditional packaging (33 cl) to new formats (20 cl and 15 cl) to meet the criticism of dieticians and slaughterers of junk food.
It is a response to the urban and connected lifestyle of new generations and a concrete action to prevent obesity because these new packaging contain fewer calories and less sugar, puts forward society.
These initiatives seem to be paying off as sales volumes increased by 2%, mainly thanks to emerging countries and Coca-Cola Zero Sugar, Sprite and Coca-Cola Classic.
The increase was 1% in Europe / Middle East / Africa, Latin America (Mexico and Brazil) and North America, while sales volumes jumped 4% in Asia-Pacific (China, India, Asia southeast).
Coca-Cola has also increased its prices by around 6% in the last three months, to limit the appreciation of the greenback against other currencies.
The multinational often sees the revenue generated abroad when it converts them into dollars.

ats, awp, afp