The Coca-Cola Company (KO) revealed that its first-quarter revenue stood at $10.5b, up 16% year-over-year, beating estimates of $9.8b. Also, the company's earnings per share (EPS) increased by 23% year-over-year to $0.64, while net income increased by 24% to $2.8b.
The drivers for this sweet success have been identified as sales at movie theatres, music venues, and sports stadiums, which have offset rising input costs for the company — specifically, Coke is being impacted by increased prices of aluminum, sugar, and even transportation. The challenges of the global economy do not spare corporate giants!
Why it matters
Coca-Cola has stated that it's searching for new and more cost-effective ways to get its products to consumers as a result of the current state of the world — increased cost constraints and continued supply issues.
