The Coca-Cola Company reported a 63% jump in Q2 2025 operating income, driven by a 6% increase in price/mix and strong cost controls, despite a 1% global volume decline. Net revenue rose 1% to $12.5 billion, while organic revenue grew 5%.
CEO James Quincey reaffirmed full-year guidance, citing the company’s focus and flexibility in navigating global challenges.
Asia Pacific volumes fell 3%, with growth in South Korea and the Philippines offset by declines in India and Thailand. Sparkling flavors and juice-based beverages underperformed, though price/mix rose 10%, helping boost margins. India remained a drag, with Bottling Investments volume down 5% due to refranchising and softer consumption.
Coca-Cola Zero Sugar continued to shine, posting 14% global volume growth, while sparkling soft drinks overall declined 1%. Marketing initiatives like the global “Share a Coke” relaunch and the Gen Z-focused Diet Coke campaign drove brand engagement.
Regional highlights included:
- EMEA: Volume +3%; value share gains in Türkiye, Nigeria, and Egypt.
- Latin America: Volume -2%, but price/mix +15%; operating income +38%.
- North America: Volume -1%; Diet Coke saw growth; operating income +18%.
EPS rose 58% to $0.88 (comparable EPS +4%). Free cash flow was $3.9 billion, excluding a $6.1 billion fairlife payment.
Outlook: Organic revenue growth remains 5–6%, with comparable EPS growth around 3% and expected free cash flow of $9.5 billion (ex-fairlife).
Despite challenges in Asia, Coca-Cola maintained resilience through premiumization and strategic market gains.
