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Coca-Cola Q3 Earnings Soft Demand: Coca-Cola posted earnings and revenue higher than expected. The company admitted that drink demand is still soft but is gradually picking up.
“We started off slow but ended the quarter with better momentum,” CFO John Murphy said during Tuesday’s call. Shares of Coca-Cola jumped more than 3% in early trading.
Here’s how Coca-Cola’s numbers compared with Wall Street’s estimates. Adjusted earnings per share came in at 82 cents, beating the forecast of 78 cents.
Revenue totaled $12.41 billion, just above the expected $12.39 billion. For the third quarter, Coca-Cola reported net income of $3.7 billion, or 86 cents per share — a solid jump from $2.85 billion, or 66 cents per share, a year earlier.
After removing restructuring costs and other one-time items, the company’s adjusted earnings stood at 82 cents per share.
Net sales increased 5%, reaching $12.46 billion. Organic revenue — which leaves out the effects of deals, divestitures, and currency shifts — grew 6%. Coca-Cola shares were up nearly 3% in premarket trading.
Unit case volume rose 1%, bouncing back after a dip in the previous quarter. This measure excludes pricing and currency changes, offering a true picture of demand.
In both Latin America and North America, Coca-Cola’s sales volume stayed flat this quarter. Executives said lower-income U.S. consumers are buying fewer drinks.
To appeal to them, the company is introducing “affordable” options like mini cans, which cost less upfront but more per ounce.
“Despite spending gaps between income groups and slower store traffic, North American volume remained steady and showed sequential improvement for the second quarter in a row,” COO Henrique Braun said on the company’s conference call.
Europe showed a similar pattern, with volume declining, according to company executives. Still, the broader Europe, Middle East, and Africa division posted a 3% rise in volume.
Globally, Coca-Cola saw its strongest growth in water, sports drinks, coffee, and tea. Bottled water and sports drinks both grew by 3%.
Coffee and tea volumes rose 2%. Sparkling soft drinks held steady. Juice, value-added dairy, and plant-based beverages saw a 3% drop in volume.
Coca-Cola reaffirmed its outlook for the full year.
The company expects comparable earnings per share to increase by 3%.
Organic revenue is projected to grow between 5% and 6%.
For 2026, Coke sees a slight lift in both revenue and earnings from currency changes.
A detailed forecast for next year will be released with the fourth-quarter results.
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