Resilient Demand and Higher Prices Drive Revenue Growth
Coca-Cola (KO) exceeded Wall Street expectations for fourth-quarter profit and revenue, driven by strong global demand and strategic pricing adjustments. The company’s stock rose 3% in premarket trading following the announcement.
The beverage giant reported Q4 net revenue of $11.40 billion, surpassing analyst estimates of $10.68 billion, according to LSEG data. Earnings per share came in at 55 cents, beating projections of 52 cents per share.
Coca-Cola’s success was fueled by expanding its presence in emerging markets like India while maintaining growth in North America. In the U.S., strategic partnerships with fast-food chains such as McDonald’s helped boost sales, particularly through value meal promotions. Additionally, the company has invested in premium brands like Topo Chico sparkling water and Fairlife milk to diversify its portfolio and capture health-conscious consumers.
Looking ahead, Coca-Cola expects organic revenue growth of 5% to 6% in 2025, compared to 12% in 2024. This forecast aligns with the higher end of its long-term growth target of 4% to 6%.
With strong brand positioning and a balanced strategy of innovation and pricing, Coca-Cola remains a leader in the global beverage market, navigating economic challenges while maintaining steady growth.
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