Analysis - Coca-Cola Co more dependent on North America
Coca-Cola released its Q3 results yesterday
The Coca-Cola Co's North American unit now accounts for nearly half of the company's overall sales despite growth in emerging markets, an analyst has said.
In third-quarter results, released yesterday, North America represented 48% of Coca-Cola's sales, CLSA's Caroline Levy said today (16 October). The figure was up from 44% in 2011, the first full year after Coca-Cola brought its US bottling operations in-house.
Levy said most of the share increases came from Europe and investments in bottling operations. The analyst expects Coca-Cola's full-year sales to be 46% North America.
The high sales percentage was boosted in the third quarter by a strong North America performance for Coca-Cola, with volumes growing by 2% in the period. Meanwhile, China grew volumes by 9% and India by 6%.
Levy also said that a shake-up of Coca-Cola bottler franchising agreements in the US could lead to the company offering distribution rights to a beer distributor. The plan, first announced in April, will allow Coca-Cola to “retain all manufacturing assets and simply offer distribution rights - plus assets like trucks and warehouses - to a franchisee who could be an existing system bottler or a new partner, possibly a beer distributor”, said Levy.
We're just over two months away from the start of the biggest sporting event on earth: The FIFA World Cup kicks off on 12 June, when host country Brazil take on Croatia in the first match of the month...
PepsiCo has launched its latest global television advert, featuring a raft of well-known soccer players, to promote its Pepsi cola brand....
- Job cuts not the whole story at AB InBev - Comment
- The decline of the flagship beer brand - Comment
- Craft spirits shake-out will be just the beginning
- Concha y Toro's Q2 by region, brand - Focus
- A step forward in alcohol research? ISFAR 191
- Diageo revamps Gordon's gin bottle in UK
- AB InBev to cull 5,500 jobs after SABMiller buy
- Pernod deal rescues Corby's FY
- Beam Suntory's Bowmore 10 Year Old - NPD
- Heineken unveils new mid-strength lager Heineken 3
- The Next Seven Big Beverage Markets
- Global rum insights - market forecasts, product innovation and consumer trends
- Global RTD insights - market forecasts, product innovation and consumer trends
- Adultifying Soft Drinks; Capitalizing on rising adult demand for non-alcoholic beverages
- Carlsberg AS (CARL B) - Financial and Strategic SWOT Analysis Review