Back to top

Image: Bigstock

Coca-Cola (KO) Beats on Earnings & Revenues in Q4

Read MoreHide Full Article

The Coca-Cola Company (KO - Free Report) commands a strong market position due to its global reach, strong brand power, expanding international presence, a solid global bottling network and an impressive cash position.

2015 was a “transition year” for Coca-Cola because of the changes implemented to create a new operating model. The company made tangible progress on the plan. The company implemented aggressive cost-cutting measures and several initiatives to drive growth during the year. The resultant savings are being deployed to fund marketing programs and in innovations to re-accelerate top-line growth, margin expansion and returns on capital.

Coca-Cola is also refranchising the majority of its company-owned North American bottling territories to create a more efficient system.

Investors should note the recent earnings estimate revisions for KO have been mostly downwards in the last 30 days. However, KO has a superb history in earnings season. KO has delivered positive earnings surprise for four straight, making for an average positive earnings surprise of 2.63%.

Currently, KO has a Zacks Rank #4 (Sell), but that could definitely change following Coca-Cola’s earnings report which was just released. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
We have highlighted some of the key stats from this just-revealed announcement below:

Earnings: KO beat on earnings. Our consensus earnings estimate called for EPS of 36 cents/share, and the company reported EPS of 37 cents instead.

Revenues: KO reported revenues of $9.4 billion, beating our consensus estimate of $9.10 billion.

Key Stats to Note: The cola giant witnessed 1% decline in volumes in the fourth quarter, lower  than the previous quarter.

The company issued full year 2017 profit outlook.  The company expects about 3% growth in organic revenues with 1-2% currency headwind. Comparable EPS (non-GAAP) is expected to decline  1% to 4% from $1.91 in 2016.

Stock Price: Shares were down 0.48% in pre-market trading at the time of writing.

Coca-Cola Company (The) Price and EPS Surprise

 

Coca-Cola Company (The) Price and EPS Surprise | Coca-Cola Company (The) Quote

Check back later for our full write up on this KO earnings report later!

"Zacks' Top 10 Stocks for 2017

In addition to the stocks discussed above, would you like to know about our 10 finest tickers for the entirety of 2017?

Who wouldn't? These 10 are painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. They are our primary picks to buy and hold.  Be among the very first to see them >>"


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


CocaCola Company (The) (KO) - free report >>

Published in