Coca-Cola Raises Full-Year Outlook as Unit Volume Grows
The beverage giant increased its full-year organic revenue guidance to approximately 5% growth following a second quarter with $13.4 billion in net revenues.
The beverage company Coca-Cola (KO) reported second-quarter net revenues of $13.4 billion, a 7% increase from the prior year. Organic revenues grew 6% during the period.
Growth was supported by a 5% increase in global unit case volume, with gains led by operations in India, China, the United States, and Brazil. Revenue growth was driven by a 4% increase in concentrate sales and 2% growth in price/mix.
Earnings per share rose 16% to $1.03, while comparable non-GAAP EPS grew 11% to $0.97. Operating margin expanded to 34.9% from 34.1% in the prior year, and comparable non-GAAP operating margin rose to 35.6% from 34.7%.
Performance varied by region. North America comparable currency neutral non-GAAP operating income grew 12%, while the same metric for EMEA declined 5%. In the Asia Pacific region, unit case volume grew 8%, but price/mix declined 9% due to affordability initiatives and unfavorable mix.
Bottling Investments reported a 55% increase in operating income. Comparable currency neutral non-GAAP operating income for the segment rose 75% year-over-year.
Coca-Cola raised its full-year 2026 organic revenue guidance to approximately 5% growth, up from a previous range of 4% to 5%. The company also increased its full-year comparable non-GAAP EPS guidance to 9% to 10% growth, compared to the prior 8% to 9% range. Comparable currency neutral non-GAAP EPS excluding acquisitions and divestitures is now expected to grow 7% to 8%.
Full-year non-GAAP free cash flow guidance was increased to approximately $12.4 billion from $12.2 billion. The company is pending the sale of bottling operations in Africa, which it expects to close in late third or fourth quarter 2026.