The largest soda maker of the world Coca Cola comfortably beat market estimates for both 5revenues generated and profits made on the revenues for the recently completed quarter. Announcing the results the company said at its performance during the quarter was driven by strong "at-home" sales as the company bounced back from a very dreadful second quarter as its business was hit hard by the novel coronavirus pandemic.
The estimate beating results propped up the shares of the company by 2 per cent.
A slowdown in declines in "away-from-home" sales was reported by the beverage making company for which about half of its annual revenues come from sales in restaurants, theaters, and other public venues. The company also said that the last quarter was the most challenging for it.
Sale figures for its trademark Coca-Cola and Coca-Cola Zero Sugar had now moved into the positive area, the company said.
"While many challenges still lie ahead, our progress in the quarter gives me confidence we are on the right path," Chief Executive Officer James Quincey said in a statement.
For the three months ended September 25, its organic sales, which strip out acquisition and currency impacts, dropped by 6 per cent, the company said. However that was an improvement from the 26 per cent drop for the same metric during the second quarter.
A massive restructuring plan that included job cuts, streamlining its beverage portfolio, and according more focus on the company’s popular products, including its signature soda, was launched by the Atlanta based company in August after its business was hurt severely by the lockdowns.
There was a continued tendency among consumers to stock up sodas and other beverages at home, the company said and added that there was still pressure on the company’s away-from-home channels, which include sales of concentrates and beverages to outdoor venues and vending machines.
Driven by a better sales at convenience stores and gas stations and a continued increase in demand for snacks had helped Coke’s rival Pepsi to stage a rebound from the slump induced by the pandemic related restrictions and the lockdowns.
Coca Cola said that its net income attributable to the company’s shareholders dropped 33.01 per cent to $1.74 billion.
The company earned 55 cents per share on a per-share basis, which was 9 cents above market expectations, according to IBES data from Refinitiv.
The company also reported a 9 per cent year on year drop in its net revenue at $8.7 billion, which was still above the market estimate of $8.36 billion.
(Source:www.cnbctv18.com)
The estimate beating results propped up the shares of the company by 2 per cent.
A slowdown in declines in "away-from-home" sales was reported by the beverage making company for which about half of its annual revenues come from sales in restaurants, theaters, and other public venues. The company also said that the last quarter was the most challenging for it.
Sale figures for its trademark Coca-Cola and Coca-Cola Zero Sugar had now moved into the positive area, the company said.
"While many challenges still lie ahead, our progress in the quarter gives me confidence we are on the right path," Chief Executive Officer James Quincey said in a statement.
For the three months ended September 25, its organic sales, which strip out acquisition and currency impacts, dropped by 6 per cent, the company said. However that was an improvement from the 26 per cent drop for the same metric during the second quarter.
A massive restructuring plan that included job cuts, streamlining its beverage portfolio, and according more focus on the company’s popular products, including its signature soda, was launched by the Atlanta based company in August after its business was hurt severely by the lockdowns.
There was a continued tendency among consumers to stock up sodas and other beverages at home, the company said and added that there was still pressure on the company’s away-from-home channels, which include sales of concentrates and beverages to outdoor venues and vending machines.
Driven by a better sales at convenience stores and gas stations and a continued increase in demand for snacks had helped Coke’s rival Pepsi to stage a rebound from the slump induced by the pandemic related restrictions and the lockdowns.
Coca Cola said that its net income attributable to the company’s shareholders dropped 33.01 per cent to $1.74 billion.
The company earned 55 cents per share on a per-share basis, which was 9 cents above market expectations, according to IBES data from Refinitiv.
The company also reported a 9 per cent year on year drop in its net revenue at $8.7 billion, which was still above the market estimate of $8.36 billion.
(Source:www.cnbctv18.com)
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