Coca-Cola net profit falls on writedowns
Coca-Cola Co announced that its said second quarter profit fell 23%.
By Bloomberg |
ATLANTA: Coca-Cola Co, the world���s largest soft-drink maker, said second-quarter profit fell 23% after its largest bottler wrote down the value of North American assets because of a decline in soda and water sales.
Net income dropped to $1.42 bn, or 61 cents a share, from $1.85 bn, or 80 cents, a year earlier, because of Coca-Cola Enterprise costs, Atlanta-based Coca-Cola said in a statement. Excluding the writedown, Coca-Cola earned $1.01, beating analysts��� estimates by 5 cents.
Coca-Cola owns 35% of its largest bottler. Gains in China, Latin America and Eastern Europe countered slowing sales in the United States, where debt-laden consumers paying more for food and gasoline are forgoing purchases of bottled water and soda.
"The Coca-Cola Company might be better served by investing disproportionately behind the growth markets, getting them to be increasingly important," Carlos Laboy, an analyst with Credit Suisse Holdings USA, said. Revenue rose 17% to $9.05 bn from $7.73 bn in the three months ended June 27, Coca-Cola said.
Net income dropped to $1.42 bn, or 61 cents a share, from $1.85 bn, or 80 cents, a year earlier, because of Coca-Cola Enterprise costs, Atlanta-based Coca-Cola said in a statement. Excluding the writedown, Coca-Cola earned $1.01, beating analysts��� estimates by 5 cents.
Coca-Cola owns 35% of its largest bottler. Gains in China, Latin America and Eastern Europe countered slowing sales in the United States, where debt-laden consumers paying more for food and gasoline are forgoing purchases of bottled water and soda.
"The Coca-Cola Company might be better served by investing disproportionately behind the growth markets, getting them to be increasingly important," Carlos Laboy, an analyst with Credit Suisse Holdings USA, said. Revenue rose 17% to $9.05 bn from $7.73 bn in the three months ended June 27, Coca-Cola said.
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