Coca Cola’s strong soda sales helped the company earn more than analysts expected in the third quarter.
The Atlanta-based beverage giant reported revenue of $12.5 billion, up 5% from last year. Experts had predicted $12.39 billion. The company also posted an adjusted profit of 82 cents per share, beating the forecast of 78 cents.
Why are people still buying Coca-Cola?
Demand for classic sodas has stayed strong in the U.S. and some international markets. Other products like Fairlife milk and Topo Chica water also contributed to the growth.
CEO james quincey said the company stayed flexible during challenging times. He highlighted the wide range of beverages, from sodas to water, tea, and sports drinks, as a strength.
How did the stock react?
Coca Cola’s stock rose about 1% in pre-market trading in the U.S., reflecting investor confidence. Analysts remain positive, with all 15 covering the stock rating it as a Buy or Strong Buy. The average 12-month price target is $76–77, highlighting potential for further gains.
Even with economic uncertainties and inflation, demand for Coca-Cola’s drinks remained steady. The company also benefited from price hikes, especially for products like Fairlife milk and Topo Chico sparkling water. Earlier this month, PepsiCo, Coca-Cola’s rival, also beat its quarterly estimates.
For the full year, Coca-Cola said it still expects to meet its revenue and profit targets.
