As demand gradually returns to pre-coronavirus levels, Coca-Cola has reevaluated both its full-year sales and profit forecasts. Currently, an increase in demand is being fueled due to the reopening of restaurants, stadiums, theaters, and the resumption of public gatherings and events.
With the U.S. economy showing consistent signs of recovery, Coca-Cola’s revenue across North America rose by a significant 28% margin in the second fiscal quarter. This came at a time when the nationwide U.S. vaccine rollout campaign gained serious momentum.
The company’s largest financial gains came from global markets, as recovering economies across Asia, Europe, and Latin America experience significant growth of their own. As a result, Coca-Cola’s adjusted revenue has risen by 41.1% to $10.13 billion, exceeding analysts’ estimates of $9.32 billion.
In response to the company’s rising profits, Coca-Cola Chief Executive Officer James Quincey announced: “Our results in the second quarter show how our business is rebounding faster than the overall economic recovery.” Coca-Cola’s profits declined by 28% during the previous year.
In response to its current financial performance, Coca-Cola adjusted its annual organic revenue target, taking it from a single-digit rise to an increase of 12% to 14%. Annual adjusted earnings per share are furthermore expected to rise by 13% to 15%.
