Coca-Cola Consolidated Q2 net sales rise 11%, but margins hit by higher aluminum costs
Coca-Cola Consolidated Q2 net sales rise 11%, but margins hit by higher aluminum costs
Overview
US beverage bottler's Q2 net sales rose 11% yr/yr, driven by volume and pricing actions
Gross margin declined due to higher aluminum costs outpacing pricing actions
Company repaid $275 mln in debt in the first half of 2026
Outlook
Company expects 2026 capital expenditures to be about $300 mln
Company says it remains focused on affordability and marketplace execution for rest of 2026
Company expects operating expenses growth to moderate in second half of 2026
Result Drivers
VOLUME AND PRICING - Net sales growth was primarily driven by increased volume and annual pricing actions, as well as a shift in the timing of the Fourth of July holiday
CATEGORY PERFORMANCE - Sparkling volume growth was led by zero-sugar and flavor offerings, while Still category growth was driven by brands including Core Power, Powerade, smartwater and Monster
HIGHER INPUT COSTS - Gross margin was reduced primarily due to increased aluminum costs from geopolitical conflicts, supply constraints and elevated tariffs
Company press release: ID:nGNX1RsBCk
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales |
| $2.05 bln |
|
Q2 Net Income |
| $158.82 mln |
|
Q2 Gross Margin |
| 37.90% |
|
Q2 Gross Profit |
| $778.40 mln |
|
Q2 Income from Operations |
| $271.30 mln |
|
Q2 Operating Margin |
| 13.20% |
|
Q2 Pretax Profit |
| $215.12 mln |
|
Reuters Recommended Reads
Aug 4 - UK's Coca-Cola Europacific Partners H1 revenue rises on zero sugar drinks
Aug 5 - Bottler Coca-Cola HBC lifts profit forecast as demand outshines macro concerns
Aug 4 - Ball Corp beats quarterly estimates on steady demand for its aluminum cans
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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