Coca-Cola increases revenue to US10 billion
Soft drinks giant Coca-Cola increased its revenue to US$10 billion for the second quarter thanks to the success of its low and no sugar drinks and iced coffees.
Organic revenues grew by 6.0 per cent, surpassing expectations projected organic revenue growth of five per cent for the year.
Chairman and CEO James Quincey said new and reformulated products such as Coca-Cola Plus Coffee and lower-calorie Simply juices were key drivers, accounting for 25 per cent of the company’s revenue, up from 15 per cent two years ago.
Soft drink sales rose three per cent in the last quarter thanks to double-digit growth of Coca-Cola Zero Sugar and new products like Coca-Cola Orange Vanilla.
Coke’s new coffee drinks including Coca-Cola Plus Coffee and chilled, low-sugar Costa Coffee beverages also grew over this period.
The soft drinks giant plans to expand sales of the new product to 20 markets by the end of this year.
Coke’s shares hit a record high in the US after the company reported its strong results, rising to 6.0 per cent to close at $US54.33 on Tuesday, according to AAP.
CEO James Quincey expects further growth across Africa as well as in India and China.
“That’s a huge opportunity in front of us,” Quincey said.
“We’re seeing good growth this quarter and have been seeing it for a while.”