Quincey told analysts on a conference call Tuesday that Coca-Cola would soon slash 1,200 jobs as part of a new $800 million cost savings plan.On a call later with reporters, Quincey confirmed the majority of the reductions would come from Coke's Atlanta-based headquarters.
The news comes after the company posted tepid 2017 first quarter results. Revenue fell 11% year over year to $9.1 billion. Still, Coke beat the $8.89 billion expectation on Wall Street.
"As anticipated, revenues in the quarter were adversely impacted by two fewer days and the shift of the Easter holiday," Coke CEO Muhtar Kent said in a statement.
Meanwhile, the company posted earnings of 43 cents a share, compared to the 44 cents analysts surveyed at Factset anticipated. And, Coke said it sees full-year earnings per share declining 1% to 3%.
The results show why Wall Street is anticipating a fresh start for Coke. Kent who has been in the position since 2008 will be replaced by current COO Quincey on May 1, and investors are hoping he can boost sales and profits again, which have fallen due to a general consumer shift away from sugary drinks.
Quincey has so far expressed ambitious growth plans for the soda king and led Coke's transition away from sugary beverages, amid the ongoing consumer shift to healthier food options. Persistently sluggish results in Coke's beverage heavy portfolio underscore why some on Wall Street are hoping Quincey gets into the faster growing healthy snack food business.