Coca-Cola Q4 Sales Miss Estimates as Revenue Hits $11.82B with 1% Volume Gain
Coca-Cola’s Q4 sales rose 3.7% year-on-year to $11.82 billion, missing the $12 billion analyst forecast, while organic revenue climbed 5% and volumes grew 1%. Adjusted EPS of $0.58 topped estimates by 2.7%, but adjusted EBITDA margin fell to 18.2%, triggering a 3.8% stock drop.
1. Q4 Revenue and Volume Performance
Coca-Cola reported Q4 revenue of $11.82 billion, up 3.7% year-on-year, narrowly below the $12 billion estimate. Organic revenue rose 5% and total sales volumes increased 1%, reflecting both price hikes and modest volume gains.
2. Profitability and Margins
Adjusted EPS reached $0.58, beating consensus by 2.7%, while adjusted EBITDA margin slid to 18.2% and operating margin narrowed to 15.6%, down from 23.8% a year earlier. Free cash flow margin declined to 24.3% from 27.6%.
3. Stock Reaction
Shares fell 3.8% following the earnings release as investors weighed the top-line miss against the earnings beat and volume growth. The drop underscores market sensitivity to revenue performance in a large, mature consumer staples business.
4. Analyst Outlook
Analysts now project 6% revenue growth over the next 12 months, anticipating that ongoing price increases, product innovations and expanded market penetration will drive an acceleration in top-line momentum.