The beverage giant reported third-quarter earnings of 49 cents a share excluding one-time items, beating Wall Street forecasts for 48 cents. Total revenue fell 7% from the prior year to $10.6 billion, but was ahead of analysts' estimates for $10.5 billion. Excluding the impact of currency, acquisitions and divestitures, Coke's organic sales rose a solid 3%. The company reiterated that it sees full-year organic revenue up 3%, and earnings declining in a range of 4% to 7%.
Coke's business in North America stole the show, backed by momentum in Coke Zero, water, sports drinks, dairy and Vitaminwater. Sales of carbonated beverages rose slightly, while non-carbonated drink sales increased 2%. Organic sales in North America increased 3%, with operating profit up 12% in part due to ongoing cost-cutting measures. Coke reiterated that it expects to achieve $600 million in cost savings this year through various measures.
Elsewhere, Coke's organic sales were up in all geographies save for Asia Pacific, where sales were unchanged vs. the prior year. Operating profit dropped 2% in Europe and fell 16% in Latin America, but increased 2% in Asia Pacific.
Shares rose slightly in premarket trading.