Despite continued struggles with its leading soda brands, Coca-Cola’s volume bubbled up 2 percent in North America in the first quarter of 2016.
An uptick in volume for Fanta, Sprite and energy drinks helped balance struggling North American sales for regular Coke and Diet Coke in the quarter, the Atlanta beverage giant said Wednesday. The company did not provide percentages on the volume growth or decline of the beverages.
Overall global profit fell 5 percent and revenue was down 4 percent, mostly because of currency fluctuations on a stronger dollar. Coke said organic revenue grew 2 percent when adjusted for currency and the impact of acquisitions are stripped out.
Earnings per share beat Wall Street expectations at around 45 cents, excluding items.
Coke has been under pressure to regain momentum for soft drink sales — the company’s bread and butter — as health advocates blame the nation’s obesity on sugary drinks and Americans switch to teas and waters. The company has seen double-digit gains on mini-cans and 8-ounce aluminum bottles.
The company said North American volume for waters, teas and juices climb 5 percent in the quarter, helping to push overall volume into positive territory.
In research notes, Joseph Agnese, an analyst at S&P Global Market Intelligence, said while Coke’s sales growth came below S&P estimates, he thinks new marketing and a less harsh macro-economic environment will help improve sales.
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