Coca-Cola on Wednesday reported second-quarter revenue that surpassed 2019 levels, prompting the company to raise its full-year outlook.
Shares of the company rose more than 2% in premarket trading.
Here’s what the company reported, compared with what Wall Street analysts surveyed by Refinitiv were expecting:
- Earnings per share: 68 cents adjusted vs. 56 cents expected
- Revenue: $10.13 billion vs. $9.32 billion expected
Coke reported fiscal second-quarter net income of $2.64 billion, or 61 cents per share, up from $1.78 billion, or 41 cents per share, a year earlier.
Excluding items, the company earned 68 cents per share, beating the 56 cents per share expected by analysts surveyed by Refinitiv.
Net sales rose 42% to $10.13 billion, topping expectations of $9.32 billion. Organic revenue, which excludes the impact of acquisitions, divestitures and foreign currency, climbed 37%. The company said that away-from-home channels, like restaurants and movie theaters, were rebounding in some markets, like China and Nigeria.
Unit case volume, which strips out the impact of currency and price changes, was flat compared with 2019 levels. Coke named India as one of the markets that is still under pressure due to the health crisis. All of its drink segments reported double-digit volume growth for the quarter.
The company’s sparkling soft drinks unit, which includes its namesake soda, saw volume increase by 14% in the quarter. The nutrition, juice, dairy and plant-based beverage business reported volume growth of 25%, in part fueled by strong sales of Minute Maid and Fairlife milk in North America. The hydration, sports, coffee and tea segment also saw volume growth of 25%. The company’s Costa cafes in the United Kingdom reopened, spurring 78% volume growth for coffee alone.
For the full year, Coke now expects to deliver organic revenue growth of 12% to 14%, up from its prior outlook of high-single digit growth. The company also raised its forecast for adjusted earnings per share growth to 13% to 15%, up from the prior range of high single digits to low double digits.