Coca-Cola's total revenue in Q1 2025 slightly decreased by 2%, primarily due to external factors such as currency exchange rates and regional structural adjustments, but organic (non-GAAP) revenue grew by 6% against the trend, and operating profit increased by 71%. Coca-Cola's zero-sugar products performed exceptionally well, with sales increasing by 14% year-on-year.
The company expects organic revenue to grow by 5%-6% for the full year of 2025, with comparable earnings per share expected to increase by 2%-3%.
On the 29th, Coca-Cola announced its Q1 2025 financial report:
<blockquote>
<ul>
<li>Revenue: Net revenue decreased by 2% to $11.1 billion, impacted by unfavorable exchange rates and the restructuring of bottling operations; however, organic (non-GAAP) revenue grew by 6%.</li>
<li>Profit: Operating profit increased by 71% to $3.659 billion; comparable operating profit, excluding the impact of exchange rates, grew by 10%.</li>
<li>Profit Margin: Operating profit margin was 32.9%, with comparable operating profit margin (non-GAAP) at 33.8%, both showing year-on-year growth.</li>
<li>Earnings per Share: Earnings per share increased by 5% to $0.77, with comparable earnings per share, excluding the impact of exchange rates, growing by 1% to $0.73.</li>
</ul>
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/3e157402-0226-49c3-9969-8a19d227d115.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/3e157402-0226-49c3-9969-8a19d227d115.png"/>
</blockquote>
<h2>Revenue Slightly Decreased by 2%, but Profit Margin Improved Significantly</h2>
Coca-Cola's net income for the quarter was $11.1 billion, a 2% decrease compared to the same period last year, primarily affected by negative currency fluctuations (5%) and the restructuring of bottling operations (3%). Excluding these factors, the company's organic revenue actually grew by 6%, with price/mix contributing 5% to the growth and concentrate sales increasing by 1%.
Meanwhile, the company's profit margin improved significantly, with operating profit increasing by 71% year-on-year, and the operating profit margin rising sharply from 18.9% in the same period last year to 32.9%. The comparable operating profit margin was 33.8%, an increase of 134 basis points from 32.4% in the same period last year. This growth was mainly attributed to the increase in organic revenue, effective cost management, and the timing of marketing investments.
<h2>Zero-Sugar Products Performed Exceptionally, Sales in the Asia-Pacific Region Shone Brightly</h2>
In terms of business changes, sales units (Unit Case) grew by 2% year-on-year, concentrated in India, China, and Brazil, reflecting ongoing expansion into emerging markets. By region:
<ul>
<li>North America: The North American market faced challenges, with sales declining by 3%, but the growth in price/product mix offset some losses, and operating profit increased by 170%, likely related to cost control and the pacing of marketing investments.</li>
<li>Asia-Pacific: The Asia-Pacific region performed brilliantly, with sales increasing by 6%. Notably, the markets in China and India stood out. In India, the company achieved record sales through the Maha Kumbh Mela festival; in China, marketing activities during the Lunar New Year drove high single-digit sales growth</li>
<li>Other Regions: Sales in Europe, the Middle East, and Africa increased by 3%, while sales in Latin America remained flat.</li>
</ul>
The &#34;Coca Cola Zero Sugar&#34; in carbonated beverages saw an increase of 14%, demonstrating that low-sugar and new flavors cater to the trend of consumer health transformation.
In addition, the company is strengthening its layout in the fields of value-added dairy products, pre-ecological soda, and ready-to-drink tea. fairlife branded products (including lactose-free ultra-filtered milk and high-protein Core Power and Nutrition Plan) continue to show strong growth; the company launched its first pre-ecological soda, Simply Pop, in specific regions of the United States; and the global ready-to-drink tea product portfolio has also expanded its leadership position

Coca Cola's total revenue in Q1 2025 slightly decreased by 2%, primarily due to external factors such as currency exchange rates and regional structural adjustments, but organic (non-GAAP) revenue grew by 6%, and operating profit increased by 71%. Coca Cola's zero-sugar products performed exceptionally well, with a year-on-year growth of 14%

- Coca-Cola's Q1 2025 net revenue decreased by 2% to $11.1 billion, primarily due to currency fluctuations and bottling restructuring, while organic revenue grew by 6%.  
- Operating profit surged by 71% to $3.659 billion, with an operating margin improvement to 32.9%, driven by effective cost management and marketing strategies.  
- The company anticipates a 5%-6% increase in organic revenue for the full year 2025, with earnings per share expected to rise by 2%-3%.

Coca Cola Q1 revenue slightly decreased by 2%, operating profit increased by 71%, strong sales of zero-sugar products | Financial Report Insights