Coca-Cola on Wednesday revised its full-year profit forecast after better-than-expected third-quarter earnings due primarily to the reopening of restaurants, sports facilities and theatres.
Coke’s adjusted Q3 earnings were $2.47bn (£1.8bn) or 65 cents per share, up from $1.73bn or 55 cents per share compared to Q3 2020. Analysts were expecting earnings of 59 cents per share.
In late Wednesday trading, Coca-Cola was down .31% to $392.19
Overall, revenue increased $10bn or 16% from $8.65bn, beating Wall Street’s expectation of $9.8bn. In a release, the Atlanta, Georgia-based company said growth was “broad-based … with particular strength in markets where coronavirus-related uncertainty is abating.”
On the better-than-expected numbers, Coke’s CEO James Quincey said, “Our strategic transformation is enabling us to effectively navigate a dynamic environment and emerge stronger from the pandemic. While the recovery continues to be asynchronous around the world, we are investing for growth to drive long-term value for the system.”
Sparkling soft drink sales jumped 6% and Trademark Coca-Cola grew 5% based on sales in Europe, the Middle East, Africa and Latin America. Sparkling flavours grew 7%, with Sprite and Fanta sales experiencing exceptional growth, the company reported.
Fourth quarter growth
In the fourth quarter, Coca-Cola said it expects revenue growth of between 13% and 14%, adjusting its range of 12% to 14% and per-share earnings growth of 15% to 17%, up from previous guidance of a range of 13% to 15%.
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