First-quarter adjusted earnings came in at $0.86 per share versus expectations of $0.81. Revenue reached $12.5 billion, also exceeding analysts’ forecasts, Reuters.
The growth was driven by a jump in demand and higher prices. The company’s organic revenue rose 10% and global sales volumes rose 3%. This means that Coca-Cola is not only making more money, but also selling more.
The company also improved its performance metrics. Operating margin rose to 34.5% from 33.8% a year earlier. This suggests that the business has become more profitable even amid rising costs. Operating profit increased by 12% excluding the impact of foreign exchange rates.
As CEO Henrique Braun noted, the year started strongly, emphasizing the focus on local markets and adapting to changing conditions.
According to investing.com, on the back of a strong quarter, Coca-Cola revised its outlook for 2026. The company now expects EPS growth of 6-7% excluding currency factors. That’s up from the previous forecast of 5-6%. Adjusted for currency, earnings could grow 8-9% from $3.00 in 2025.
The company specified that about 3% of the growth will be provided by favorable currency dynamics, but about 1% will be negatively impacted by asset purchase and sale transactions.
On a revenue basis, Coca-Cola forecasts 4-5% growth in 2026. An additional 1-2% support could come from currency. At the same time, about 4% of the negative effect is due to changes in the business structure.
In particular, the company plans to finalize the sale of its African division Coca-Cola Beverages Africa in the second half of the year. This transaction will temporarily reduce revenue figures, but is in line with the business optimization strategy.
