By Michael Calia
Coca-Cola Co. said its first-quarter earnings and revenue
declined, though soda volumes for the beverage giant edged up.
Coke has launched an aggressive, wide-ranging marketing effort
while investing in core carbonated drinks and introducing new
products as it struggles with progressively worse trends in soda
sales. Last month, trade publication Beverage Digest said the
industry suffered its ninth straight yearly volume contraction last
year as consumers increasingly abandoned diet sodas, which Coke,
PepsiCo Inc. and their rivals have relied on to make up for falling
sales in sugary soda.
Coke's worldwide unit-case soda volumes rose 2% in the first
quarter, with flat volumes in North America. The company has
targeted 3% to 4% annual soda volume growth, a goal some observers
have dismissed as unrealistic.
Overall, Coke posted a profit of $1.62 billion, or 36 cents a
share, down from $1.75 billion, or 39 cents a share, a year ago.
Excluding items, per-share earnings came in at 44 cents.
Revenue fell to $10.58 billion. Excluding certain structural
changes, currency-neutral net revenue improved 2% for the quarter,
the company said.
Analysts surveyed by Thomson Reuters had expected earnings of 44
cents a share and revenue of $10.55 billion.
Write to Michael Calia at michael.calia@wsj.com
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