Coca-Cola had an excellent second quarter and is raising its forecast for the full year. The soft drink giant warns of the impact of the delta variant of the coronavirus but says it is fully prepared.
Expectations smashed
Thanks to the easing of Covid measures in many countries, Coca-Cola sold more in bars and restaurants and at events. Sales rose by more than 41 per cent to 10.1 billion dollars (8.5 billion euros), far more than the 9.3 billion dollars (8 billion euros) analysts had expected. Profits increased by 48 per cent.
Meanwhile, in various regions of the world, concerns are growing about the spread of the delta variant of the coronavirus. CFO John Murphy said Coca-Cola has learned lessons from the pandemic and will focus on its biggest brands to combat any potential impact from the delta variant. “When things get more constrained, the bigger brands are the ones you focus on“, he said to Reuters.
In the past year, the group has already stopped selling Coca-Cola Energy and TaB in the United States. In addition, the brand ZICO (coconut water) was resold to the initial founder.
As a result of the strong recovery in the second quarter, Coca-Cola has raised its forecast for the full year. The company now expects organic sales growth of 12 per cent to 14 per cent. Previously, a growth of about 9 per cent was expected.
