This morning Coca-Cola posted some positive Q3 earnings and confirmed its full-year EPS outlook, beating Wall Street's estimates.
This year's Q3 marked the seventh consecutive quarter of beating analysts' estimates for Coca-Cola (NYSE: Coca-Cola Company [KO]), said CNBC. The Atlanta-based company opened the day with some pleasant news for investors reporting earnings per share of $0.49, beating the Wall Street's prediction of $0.48. Coca-Cola saw its organic revenue increase by 3% whereas net sales were at $10.6 million as opposed to the estimated $10.5 billion.
CNBC explains that the company's "better-than-expected" revenues have positively benefited from generally higher prices for soda drinks and a steady demand for water and sports drinks in the U.S.
“I am pleased to report that we delivered results in line with our expectations. We continued to see solid revenue results in our developed markets with 2% unit case volume growth and a continued focus on price realization. Globally, we gained nonalcoholic ready-to-drink value share for the 37th consecutive quarter and are on track to deliver our financial commitments for the full year," said Coca-Cola's CEO Muhtar Kent in a press release.
In addition to that, the company has confirmed its previous prognosis for the full-year EPS outlook between $1.86 and $1.92, which is tightly covering Wall Street's estimate of $1.91. Following the earnings announcement this morning, KO stock grew by about 1.86% to $43.33 in today's pre-market session while it lost 0.98% prior to the report.
However, the company highlighted a mediocre performance of its net revenue among all other indicators in the earnings report, even though Q3 net revenues exceeded the Wall Street's prediction. Coca-Cola pointed at a 7% YOY decline in its net revenues that the company attributed to these factors:
"Net revenues were $10.6 billion, a 7% decline from prior year, impacted by a foreign currency exchange headwind of 2% and a headwind from acquisitions, divestitures and structural items of 8%," the company said in the report.