Coca-Cola sales fall on strong dollar, weak Europe demand
Shares of the maker of Sprite soda and Minute Maid juices fell about 1% to $46 in premarket trading on Wednesday.
Coke and rival PepsiCo have been hurt as consumers increasingly turn health-conscious, cutting back on fizzy drinks and turning to teas, fruit juices and smoothies.
The rise in the dollar has also hit the companies, which have a sizeable presence in markets outside the US, including China, Europe and Brazil.
The average value of the dollar rose 2.6% in the first quarter from a year earlier. The US currency rose 18% in the first three months of 2015.
Coke’s sales in Europe declined 1% to $1.20bn in the quarter ended 1 April, accounting for nearly 12% of total revenue.
The net income attributable to Coke’s shareholders fell 4.5% to $1.48bn, or 34c per share.
Excluding items, Coke earned 45c per share, beating the average analyst estimate of 44c, according to Thomson Reuters.
Net operating revenue fell 4% to $10.28bn.
Excluding the impact of acquisitions, divestitures and currency movements, total revenue rose 2%.
Reuters