Focus - Coca-Cola Co's Q1 Performance by Region
Coca-Cola released its Q1 results today
Earlier today (15 April), the Coca-Cola Co reported a drop in first-quarter profits and sales. Here, just-drinks takes a look at how each region has performed for the soft drinks giant:
Eurasia & Africa
The company said Q1 volumes in the region rose by 2% on top of a 15% jump last year. Price/mix increased by 9% and reported operating income grew by 7%. Currency neutral operating income increased by 23%.
Sparkling beverage volumes grew by 1%, led by brand Coca-Cola in Russia, which increased 9% on the back of Sochi 2014 Winter Olympics activations. Still beverage volumes grew by 7% in the quarter.
Coca-Cola's volumes in the region were down 4%, with Coca-Cola blaming the shift of the Easter holiday into the second quarter this year and a transition in the UK into a new 1.75-litre package for sparkling beverages.
Reported operating income increased 5% in the quarter and comparable currency neutral operating income increased 4%.
Sparkling beverage volumes fell by 5% in the quarter, while still beverage volumes grew by 1%.
Volumes in the region increased by 1% because of renewed momentum in Brazil from the upcoming World Cup, Coca-Cola said. There was a low single-digit volumes decline in Mexico because of a new excise tax.
Price/mix for the group increased 1%. Reported operating income decreased 12% in the quarter but comparable currency neutral operating income was up 8%.
Sparkling beverage volumes for the group were down 1%. Still beverage volumes grew high single digits.
Coca-Cola said the region delivered even volumes versus the prior year quarter while gaining value share and maintaining volume share.
Price/mix for sparkling increased 2% while overall price/mix for the group was even. Reported operating income increased 25%, but comparable currency neutral operating income declined 8%, reflecting one less selling day in the quarter and the shift in the Easter holiday, Coca-Cola said.
Sparkling beverage volumes declined 1% in the quarter with brand Coca-Cola volumes even in the quarter. Fanta was up 3% and Sprite up 1%. Still beverage volumes grew 3% in the quarter.
Powerade continued its growth trajectory, up 9%, with growth coming from both the base business and the new Powerade Zero Drops, Coca-Cola said.
The company's volumes in the region were up 7% in the quarter. It included 12% growth in China, 6% growth in India and 3% growth in Japan.
Price/mix in the quarter was “unfavourable”, Coca-Cola said. Reported operating income was down 8% in the quarter and comparable currency neutral operating income increased 2%.
Sparkling beverage volumes increased low single digits in the quarter, led by brand Coca-Cola (+2%) and Sprite (+4%). Still beverage volumes grew double digits in the quarter, with volume share gains in total still beverages.
The Bottling Investments Group (BIG) saw volumes rise by 5% in the quarter on a comparable basis, led by China and India, Coca-Cola said.
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