Coca-Cola Company
Q1 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +6.29%.
Did KO Beat Earnings? Q1 2026 Results
Coca-Cola kicked off 2026 with a strong first quarter, posting earnings per share of $0.86 against a consensus estimate of $0.81, a beat of 5.87% that extended the beverage giant's streak of topping EPS expectations to four consecutive quarters. Revenue climbed 12.1% year-over-year to $12.47 billion, edging past the $12.23 billion analyst forecast by nearly 2%, as organic revenue growth of 10% was fueled by an 8% surge in concentrate sales and a 2% contribution from price and mix. New CEO Henrique Braun pointed to disciplined local execution as a key driver, with Coca-Cola Zero Sugar delivering 13% volume growth across every geographic segment and global unit case volume rising 3%, led by China, the United States, and India. Operating margin expanded to 35.0% from 32.9% a year ago, reflecting organic revenue momentum and tighter operating expenses. Looking ahead, management maintained its full-year organic revenue growth outlook of 4% to 5% while lifting comparable EPS growth guidance to 8% to 9% versus $3.00 in 2025, projecting free cash flow of approximately $12.20 billion.
- Global unit case volume grew 3%, led by China, the United States and India
- Coca-Cola Zero Sugar grew 13% across all geographic operating segments
- Organic revenue growth of 10% driven by 8% increase in concentrate sales and 2% price/mix growth
- Six additional calendar days in Q1 2026 versus Q1 2025 contributed to concentrate sales being 5 points ahead of unit case volume
- North America unit case volume grew 4% with comparable currency neutral operating income growth of 17%
- Comparable operating margin expanded 70 basis points to 34.5%
- Currency tailwinds provided a 6-point benefit to reported EPS and a 3-point benefit to comparable EPS
- Company gained value share in total NARTD beverages globally
“We've had a strong start to the year. Our performance this quarter reflects our unwavering focus on staying close to the consumer, executing locally and managing complexity. Yet there's so much more we can do as we navigate a dynamic environment. Our team is motivated by the opportunity to build on the company's great foundation.”
Coca-Cola CEO, on the earnings call
Forward Guidance & Outlook
For full year 2026, the company expects organic revenue (non-GAAP) growth of 4% to 5% (no update). Comparable EPS (non-GAAP) growth is expected at 8% to 9% versus $3.00 in 2025 (updated), with comparable currency neutral EPS excluding acquisitions and divestitures (non-GAAP) growth of 6% to 7% (updated). The company expects a 1% to 2% currency tailwind on comparable net revenues and an approximate 4% headwind from acquisitions and divestitures, assuming the pending sale of Coca-Cola Beverages Africa closes during the second half of 2026. The underlying effective tax rate (non-GAAP) is estimated at 19.9% (updated). Free cash flow (non-GAAP) is expected at approximately $12.2 billion, consisting of cash flow from operations of approximately $14.4 billion less capital expenditures of approximately $2.2 billion. For Q2 2026, comparable net revenues (non-GAAP) are expected to include an approximate 1% currency tailwind and 1% headwind from acquisitions and divestitures; comparable EPS (non-GAAP) growth is expected to include an approximate 3% currency tailwind and 1% headwind from acquisitions and divestitures.
KO YoY Financials
KO Revenue by Segment
KO Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.