Coca-Cola Outruns Estimates Again
Coca-Cola (NYS: KO) reported earnings yesterday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 30 (Q1), Coca-Cola beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share expanded.
Gross margins shrank, operating margins dropped, net margins increased.
Coca-Cola recorded revenue of $11.14 billion. The nine analysts polled by S&P Capital IQ hoped for sales of $10.80 billion on the same basis. GAAP reported sales were 5.9% higher than the prior-year quarter's $10.52 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.89. The 16 earnings estimates compiled by S&P Capital IQ forecast $0.88 per share. GAAP EPS of $0.89 for Q1 were 8.5% higher than the prior-year quarter's $0.82 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 61.0%, 150 basis points worse than the prior-year quarter. Operating margin was 22.5%, 120 basis points worse than the prior-year quarter. Net margin was 18.4%, 30 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $13.03 billion. On the bottom line, the average EPS estimate is $1.21.
Next year's average estimate for revenue is $48.40 billion. The average EPS estimate is $4.10.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 6,106 members out of 6,406 rating the stock outperform, and 302 members rating it underperform. Among 1,697 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,647 give Coca-Cola a green thumbs-up, and 50 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Coca-Cola is outperform, with an average price target of $75.06.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of Coca-Cola. Motley Fool newsletter services have recommended buying shares of Coca-Cola. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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