Coca-Cola 2Q profit slips as commodity costs rise
Coca-Cola's 2Q net income slips on rising commodity costs
NEW YORK (AP) -- The Coca-Cola Co. says its net income slipped in the second quarter from a year ago, as rising costs for ingredients offset its growth overseas.
The world's biggest beverage maker — which makes Minute Maid, Powerade and Dasani — says its revenue growth was powered by emerging markets such as India, where volume rose 20 percent.
But that was offset by higher costs for ingredients and slower growth at home. In Europe, where several regions suffered from economic uncertainty and poor weather, sales volume was down 4 percent.
For the three months ended June 29, the company said it earned $2.79 billion, or $1.21 per share. That's down from $2.8 billion, or $1.20 per share, in the year-ago period, when there were more outstanding shares.
Not including one-time items, the company said it earned $1.22 per share. Revenue rose 3 percent to $13.09 billion. Analysts polled by FactSet on average expected earnings of $1.19 per share on revenue of $12.89 billion.
The costs of goods sold rose 5 percent to $5.2 billion. Operating income rose 4 percent to $3.29 billion.
Shares of Coca-Cola rose 80 cents to $77.28 in pre-market trading.
Earlier this month, Coca-Cola shareholders approved a 2-for-1 stock split, the company's first in 16 years.
