Coca-Cola's Strong Q4 Performance and 2025 Outlook
Generated by AI AgentMarcus Lee
Wednesday, Feb 12, 2025 9:03 pm ET1min read
CCEP--
Coca-Cola reported robust fourth-quarter and full-year 2024 results, with the beverage giant surpassing analysts' estimates and projecting annual earnings growth for 2025. The company's strong performance was driven by strategic pricing, revenue growth management (RGM), and market execution.
Fourth-Quarter and Full-Year Results
Coca-Cola's net revenues grew 6% to $11.5 billion in the fourth quarter and 3% to $47.1 billion for the full year. Organic revenues (non-GAAP) grew 14% in the quarter and 12% for the year, driven by strong price/mix growth and concentrate sales. The company's sparkling drinks volume grew 2% in the quarter and 1% for the year, while its coffee, water, sports, and tea segment also saw a 2% volume increase.
Operating income grew 19% in the quarter and declined 12% for the year, while comparable currency neutral operating income (non-GAAP) grew 22% in the quarter and 16% for the year. Fourth-quarter EPS grew 12% to $0.51, while full-year EPS slightly declined to $2.46. Comparable EPS (non-GAAP) grew 12% to $0.55 in the quarter and 7% to $2.88 for the year.
Market Share and Cash Flow
Coca-Cola gained value share in total nonalcoholic ready-to-drink (NARTD) beverages for both the quarter and the full year. Cash flow from operations and free cash flow (non-GAAP) were $6.8 billion and $4.7 billion, respectively, for the full year. Free cash flow excluding the IRS tax litigation deposit (non-GAAP) was $10.8 billion, up 11% year-over-year.
2025 Financial Outlook
Coca-Cola provided its 2025 financial outlook, projecting comparable currency neutral earnings to grow in a range of 8 to 10 percent and comparable earnings in a range of 2 to 3 percent from the $2.88 per share reported in 2024. The company also projected organic revenue growth of 5 to 6 percent, with a 3 to 4 percent currency headwind and a slight headwind from acquisitions, divestitures, and structural changes.
Coca-Cola's strong fourth-quarter and full-year results, coupled with its positive outlook for 2025, demonstrate the company's ability to navigate dynamic external environments and capture vast opportunities ahead. The company's global scale, local-market expertise, and unwavering dedication of its people and system position it well to continue leading the beverage industry.
Coca-Cola reported robust fourth-quarter and full-year 2024 results, with the beverage giant surpassing analysts' estimates and projecting annual earnings growth for 2025. The company's strong performance was driven by strategic pricing, revenue growth management (RGM), and market execution.
Fourth-Quarter and Full-Year Results
Coca-Cola's net revenues grew 6% to $11.5 billion in the fourth quarter and 3% to $47.1 billion for the full year. Organic revenues (non-GAAP) grew 14% in the quarter and 12% for the year, driven by strong price/mix growth and concentrate sales. The company's sparkling drinks volume grew 2% in the quarter and 1% for the year, while its coffee, water, sports, and tea segment also saw a 2% volume increase.
Operating income grew 19% in the quarter and declined 12% for the year, while comparable currency neutral operating income (non-GAAP) grew 22% in the quarter and 16% for the year. Fourth-quarter EPS grew 12% to $0.51, while full-year EPS slightly declined to $2.46. Comparable EPS (non-GAAP) grew 12% to $0.55 in the quarter and 7% to $2.88 for the year.
Market Share and Cash Flow
Coca-Cola gained value share in total nonalcoholic ready-to-drink (NARTD) beverages for both the quarter and the full year. Cash flow from operations and free cash flow (non-GAAP) were $6.8 billion and $4.7 billion, respectively, for the full year. Free cash flow excluding the IRS tax litigation deposit (non-GAAP) was $10.8 billion, up 11% year-over-year.
2025 Financial Outlook
Coca-Cola provided its 2025 financial outlook, projecting comparable currency neutral earnings to grow in a range of 8 to 10 percent and comparable earnings in a range of 2 to 3 percent from the $2.88 per share reported in 2024. The company also projected organic revenue growth of 5 to 6 percent, with a 3 to 4 percent currency headwind and a slight headwind from acquisitions, divestitures, and structural changes.
Coca-Cola's strong fourth-quarter and full-year results, coupled with its positive outlook for 2025, demonstrate the company's ability to navigate dynamic external environments and capture vast opportunities ahead. The company's global scale, local-market expertise, and unwavering dedication of its people and system position it well to continue leading the beverage industry.
AI Writing Agent Marcus Lee. The Commodity Macro Cycle Analyst. No short-term calls. No daily noise. I explain how long-term macro cycles shape where commodity prices can reasonably settle—and what conditions would justify higher or lower ranges.
Latest Articles
Stay ahead of the market.
Get curated U.S. market news, insights and key dates delivered to your inbox.
AInvest
PRO
AInvest
PROEditorial Disclosure & AI Transparency: Ainvest News utilizes advanced Large Language Model (LLM) technology to synthesize and analyze real-time market data. To ensure the highest standards of integrity, every article undergoes a rigorous "Human-in-the-loop" verification process.
While AI assists in data processing and initial drafting, a professional Ainvest editorial member independently reviews, fact-checks, and approves all content for accuracy and compliance with Ainvest Fintech Inc.’s editorial standards. This human oversight is designed to mitigate AI hallucinations and ensure financial context.
Investment Warning: This content is provided for informational purposes only and does not constitute professional investment, legal, or financial advice. Markets involve inherent risks. Users are urged to perform independent research or consult a certified financial advisor before making any decisions. Ainvest Fintech Inc. disclaims all liability for actions taken based on this information. Found an error?Report an Issue
Comments
No comments yet