Coca-Cola Sees Revenue Increase in Fourth Quarter as Sales Volume Rises

Coca-Cola has reported a stronger-than-expected revenue for the fourth quarter, showing a positive turnaround in sales volumes across its key markets, including the U.S. and China.

For the Atlanta-based beverage giant, revenue rose by 6%, totaling $11.5 billion. This figure surpassed analysts' expectations of $10.68 billion, according to a recent poll by FactSet.

While analysts had predicted an increase of less than 1% in Coke's unit case volumes, the company surprised the market by revealing a 2% increase, effectively reversing the 1% decline recorded in the previous quarter.

Notably, Coca-Cola Zero Sugar experienced significant global growth during this period, with its case volumes surging by 13%. Additionally, the company reported a 2% increase in volumes from its water, coffee, tea, and sports drinks segments. However, volumes for juice, dairy, and plant-based beverages saw a slight decline of 1%.

During the quarter, Coca-Cola implemented a price hike of 9%, driven partially by high inflation in regions like Argentina. The price increase was also influenced by a shift toward a higher percentage of premium products, such as Fairlife milk and Topo Chico sparkling water. Last fall, the company announced its efforts to make its products more accessible by providing smaller pack sizes and offering refillable bottles.

Coca-Cola's net income for the period from October to December rose by 11%, reaching $2.2 billion. On an adjusted basis, the company's earnings stood at 55 cents per share, exceeding analysts' predictions of 52 cents per share.

Looking ahead, Coca-Cola has projected an organic revenue growth of 5% to 6% for 2025. Its organic revenue showed a remarkable growth of 12% last year.

CocaCola, Revenue, Sales