Coca-Cola reported quarterly revenue on Tuesday that beat analysts’ expectations, driven by higher prices on its beverages.
But those higher prices have hurt demand for Coke products like Simply Orange Juice and FairLife Milk. Coke said its unit case volume, which strips out the impact of currency and price changes, fell 1% in its fourth quarter.
Shares of the company rose 1% in premarket trading.
Here’s what the company reported compared to what Wall Street expected, based on a poll of analysts by Refinitiv:
- Earnings per share: 45 cents adjusted versus 45 cents expected
- Revenue: $10.13 billion vs. $10.02 billion expected
The beverage giant reported the company’s fourth-quarter net income of $2.03 billion, or 47 cents per share, down from $2.41 billion, or 56 cents per share, a year earlier.
Excluding impairment charges tied to its Russian business and other items, Coke earned 45 cents per share.
Net sales increased 7% to $10.13 billion, driven by a 12% increase in pricing and a more expensive mix of beverages sold.
Unit case volume was flat in North America and slipped 5% in its Europe, Middle East and Africa segment. CEO James Quincey said last quarter that European consumers were changing their behavior in response to rising inflation.
Looking to 2023, Coke is forecasting comparable revenue growth of 3% to 5% and comparable earnings per share growth of 4% to 5%. Wall Street was forecasting revenue growth of 3.9% and earnings per share growth of 3% for the year.
read the Coca-Cola Earnings Report here.