Coca-Cola Q1 Results Top Estimates

(RTTNews) - Coca-Cola Co. (KO) reported a profit for the first-quarter that increased 65 percent from the previous year. But, quarterly net revenues declined 1 percent. Both adjusted earnings per and quarterly revenues topped analysts' expectations.

The beverage company's global volumes declined about 25% since the beginning of April.

The company reported that its net income attributable to shareowners of the company for the first-quarter grew 65 percent to $2.78 billion or $0.64 per share from $1.68 billion or $0.39 per share in the prior year.

Comparable net income for the first-quarter was $2.21 billion or $0.51 per share, compared to $2.05 billion or $0.48 per share in the previous year. Analysts polled by Thomson Reuters expected the company to report earnings of $0.44 per share for the quarter. Analysts' estimates typically exclude special items.

Net revenues for the first-quarter declined 1 percent to $8.60 billion from $8.69 billion in the prior year. Analysts expected revenues of $8.28 billion for the first-quarter. Organic revenues were even. Revenue performance included even concentrate sales and even price/mix. The quarter included one less day, which resulted in an approximate 1-point headwind to revenue growth.

The ultimate impact on the second quarter and full year 2020 is unknown at this time, as it will depend heavily on the duration of social distancing and shelter-in-place mandates, as well as the substance and pace of macroeconomic recovery. However, the impact to the second quarter will be material, the company said.

The company believes pressure on the business is temporary and remains optimistic on seeing sequential improvement in the back half of 2020.

The company said that its full year financial and operating results cannot be reasonably estimated at this time, as the coronavirus pandemic continues to evolve; and uncertainty around its ultimate impact.