Coca-Cola earnings dip on strong dollar
Coca-Cola reported a dip in first-quarter profits Wednesday as the strong dollar weighed on results in some of its overseas markets.
Net income for the quarter ending April 1 was $1.5 billion, down 4.8 percent from the year-ago period.
Revenues fell 4.0 percent to $10.3 billion.
Revenues rose in North America, helping to offset steep declines in Latin American and Eurasia and Africa, where the strong dollar dented sales most heavily.
Volumes of Coke and other sparkling drinks were flat compared with the year-ago period, while volumes of still beverages like bottled water jumped seven percent. Coca-Cola has relied more on bottled water and juices as worries about obesity and other health effects from soda have risen.
Chief executive Muhtar Kent said the company was well positioned to face a “challenging global macro environment.”
Coca-Cola projected full-year earnings per share growth of four to six percent, excluding currency effects.
Earnings for the quarter translated into 45 cents per share, a penny above analyst expectations.
Shares were down 1.3 percent to $46.00 in pre-market trade.
No comments yet