Coca-Cola’s volume growth overseas has helped buoy softening numbers in North America, where declines across water, sports drinks, coffee/tea, soda and its flagship brand dragged volume down 1% in Q2 2024.
The company’s latest quarterly earnings report, released this morning, showed topline numbers increasing: net sales were +3% ($12 billion), operating income rose +10% and global unit case volume was up +2%, thanks to demand from international markets. Coca-Cola has updated its yearly guidance and now expects to deliver non-GAAP revenue growth of 9% to 10%.
In North America, there was some good news: the company gained value share in total NARTD beverages via often-overlooked categories like juice and value-added dairy (Fairlife), along with plant-based beverages. But those were more than offset by declines in water, sports, coffee and tea, Trademark Coca-Cola and sparkling flavors. Pricing was up 11% while concentrate sales fell 1%.
Consolidated numbers were stronger: Asia Pacific and Latin America together helped boost sparkling soft drinks +3% and Trademark +2%. Coca-Cola Zero Sugar was well received across all geographic segments, growing +6%.
“We are encouraged with our second quarter results, which delivered solid topline and operating income growth in an ever-changing landscape,” said James Quincey, Coca-Cola’s Chairman and CEO, in a statement. “Together with our bottling partners, we continue to execute our highly effective all-weather strategy, and we are confident in our ability to deliver on our raised 2024 guidance and longer-term objectives.”
Read the full earnings release here.