Global Unit Case Volume Grew 1% for the Quarter and was Even for the Full Year

Net Revenues Grew 2% for the Quarter and 2% for the Full Year; Organic Revenues (Non-GAAP) Grew 5% for the Quarter and 5% for the Full Year

Operating Income Declined 32% for the Quarter and Grew 38% for the Full Year; Comparable Currency Neutral Operating Income (Non-GAAP) Grew 13% for the Quarter and 13% for the Full Year

Fourth Quarter EPS Grew 4% to $0.53; Comparable EPS (Non-GAAP) Grew 6% to $0.58; Full Year EPS Grew 23% to $3.04; Comparable EPS (Non-GAAP) Grew 4% to $3.00

Cash Flow from Operations was $7.4 Billion for the Full Year; Free Cash Flow (Non-GAAP) was $5.3 Billion for the Full Year; Free Cash Flow Excluding the fairlife Contingent Consideration Payment (Non-GAAP) was $11.4 Billion for the Full Year

Company Provides 2026 Financial Outlook

The Coca-Cola Company today reported fourth quarter and full year 2025 results. "I'm encouraged by our performance in 2025 which showed both the resilience and momentum that define our business," said James Quincey, Chairman and CEO of The Coca-Cola Company. "Looking ahead, we will focus on executing our strategy even better and positioning our system for long-term success."

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20260210415728/en/

Highlights

Quarterly/Full Year Performance

Revenues: For the quarter, net revenues grew 2% to $11.8 billion, and organic revenues (non-GAAP) grew 5%, driven by a 4% increase in concentrate sales and 1% growth in price/mix. Concentrate sales were 3 points ahead of unit case volume, driven by the timing of concentrate shipments and one additional day. For the full year, net revenues grew 2% to $47.9 billion, and organic revenues (non-GAAP) grew 5%, driven by 4% growth in price/mix and a 1% increase in concentrate sales. Concentrate sales were 1 point ahead of unit case volume due to the timing of concentrate shipments.
Operating margin: For the quarter, operating margin was 15.6% versus 23.5% in the prior year, and comparable operating margin (non-GAAP) was 24.4% versus 24.0% in the prior year. For the full year, operating margin was 28.7% versus 21.2% in the prior year, while comparable operating margin (non-GAAP) was 31.2% versus 30.0% in the prior year. For the quarter, operating margin performance included items impacting comparability, including a non-cash impairment charge of $960 million related to the BODYARMOR trademark, as well as currency headwinds. For the full year, operating margin performance included items impacting comparability and currency headwinds. For both the quarter and the full year, comparable operating margin (non-GAAP) expansion was driven by organic revenue (non-GAAP) growth and effective cost management, partially offset by currency headwinds.
Earnings per share: For the quarter, EPS grew 4% to $0.53, while comparable EPS (non-GAAP) grew 6% to $0.58. EPS performance included the impact of a 9-point currency headwind, while comparable EPS (non-GAAP) performance included the impact of a 5-point currency headwind. For the full year, EPS grew 23% to $3.04, while comparable EPS (non-GAAP) grew 4% to $3.00. EPS performance included the impact of an 8-point currency headwind, while comparable EPS (non-GAAP) performance included the impact of a 5-point currency headwind.
Market share: For both the quarter and the full year, the company gained value share in total nonalcoholic ready-to-drink ("NARTD") beverages.
Cash flow: For the full year, cash flow from operations and free cash flow (non-GAAP) were $7.4 billion and $5.3 billion, respectively, which reflects $6.1 billion of the contingent consideration payment made during the first quarter in conjunction with the acquisition of fairlife, LLC ("fairlife") in 2020 ("fairlife contingent consideration payment"). Free cash flow excluding the fairlife contingent consideration payment (non-GAAP) was $11.4 billion.

Company Updates

Recruiting the next generation of consumers through compelling local marketing platforms: During the quarter, the company used integrated marketing campaigns to drive volume growth across multiple global beverage brands. The company continues to focus on consumer passion points and key drinking occasions, coupled with strong commercial execution from bottling partners. For example, Trademark Coca-Cola's "Rings of Magic" platform engaged younger consumers across approximately 1,500 universities in eight key markets globally, strengthening the brand's connection to students with local "Study Break" activations. Fanta Halloween, activated in approximately 50 markets, offered immersive local experiences like "The Haunted Fanta Factory," a limited-time only product launch, five iconic horror-themed packaging designs and increased display and shelf space. Powerade's integrated activations at local sporting events – such as the FIFA World Cup 2026 CONMEBOL Qualifiers in Latin America and Major League Soccer playoffs in North America – offered exclusive in-person and digital experiences. These marketing activations, along with bold innovations like Powerade Power Water and Powerade Sours, drove increased shelf space, leading to sports drinks gaining global value share.
Adapting the company to drive enduring growth: To deepen market intimacy, unlock scale and deliver balanced topline growth, the company recently announced a number of key changes. First, to accelerate digital transformation and bring the business closer to consumers, the company has created the role of Chief Digital Officer. This role will unify digital, data and operational excellence, with a clear mandate to enhance speed, effectiveness and efficiency at every level – from consumers to customers to the company itself. Second, the company has appointed two seasoned operators across a set of key geographies to steward broader growth. Additionally, the company will establish innovation hubs and commercial centers of excellence in key markets across all operating segments. These collective actions aim to better position the business to recruit new consumers, lead with marketing and innovation and steer a future-ready system.

Operating Review – Three Months Ended December 31, 2025

Revenues and Volume

*Percent Change*	Concentrate Sales¹	Price/Mix	Currency Impact	Acquisitions and Divestitures	Reported Net Revenues	Organic Revenues²	Unit Case Volume³
Consolidated	4	1	(2)	(1)	2	5	1
Europe, Middle East & Africa	9	(3)	2	(3)	4	6	2
Latin America	4	6	(7)	0	3	10	2
North America	1	4	0	0	4	5	1
Asia Pacific	4	(3)	(8)	0	(7)	0	0
Bottling Investments	(2)	1	0	(2)	(2)	(1)	(6)


Operating Income and EPS

*Percent Change*	Reported Operating Income	Items Impacting Comparability	Currency Impact	Comparable Currency Neutral Operating Income²
Consolidated	(32)	(38)	(8)	13
Europe, Middle East & Africa	(9)	(3)	(4)	(2)
Latin America	0	2	(15)	13
North America	(65)	(80)	0	15
Asia Pacific	(36)	(29)	(4)	(3)
Bottling Investments	(4)	1	(3)	(2)

*Percent Change*	Reported EPS	Items Impacting Comparability	Currency Impact	Comparable Currency Neutral EPS²
Consolidated	4	(2)	(5)	11

Note: Certain rows may not add due to rounding.
¹	For Bottling Investments, this represents the percent change in net revenues attributable to the increase (decrease) in unit case volume computed based on total sales (rather than average daily sales) in each of the corresponding periods after considering the impact of structural changes, if any.
²	Organic revenues, comparable currency neutral operating income and comparable currency neutral EPS are non-GAAP financial measures. Refer to the Reconciliation of GAAP and Non-GAAP Financial Measures section.
³	Unit case volume is computed based on average daily sales.

Operating Review – Year Ended December 31, 2025

Revenues and Volume

*Percent Change*	Concentrate Sales¹	Price/Mix	Currency Impact	Acquisitions and Divestitures	Reported Net Revenues	Organic Revenues²	Unit Case Volume
Consolidated	1	4	(2)	(1)	2	5	0
Europe, Middle East & Africa	4	2	0	(1)	5	6	3
Latin America	(1)	11	(12)	0	(2)	10	0
North America	(1)	5	0	0	4	4	(1)
Asia Pacific	1	4	(3)	(1)	1	5	0
Bottling Investments	0	2	(2)	(7)	(8)	1	(8)


Operating Income and EPS

*Percent Change*	Reported Operating Income	Items Impacting Comparability	Currency Impact	Comparable Currency Neutral Operating Income²
Consolidated	38	31	(7)	13
Europe, Middle East & Africa	1	(2)	(4)	7
Latin America	(1)	0	(18)	17
North America	11	1	0	10
Asia Pacific	(5)	(6)	(4)	5
Bottling Investments	(14)	0	(2)	(12)

*Percent Change*	Reported EPS	Items Impacting Comparability	Currency Impact	Comparable Currency Neutral EPS²
Consolidated	23	19	(5)	9

Note: Certain rows may not add due to rounding.
¹	For Bottling Investments, this represents the percent change in net revenues attributable to the increase (decrease) in unit case volume after considering the impact of structural changes, if any.
²	Organic revenues, comparable currency neutral operating income and comparable currency neutral EPS are non-GAAP financial measures. Refer to the Reconciliation of GAAP and Non-GAAP Financial Measures section.

In addition to the data in the preceding tables, operating results included the following:

Consolidated

Unit case volume grew 1% for the quarter, led by growth in Brazil, the United States and Japan. For the full year, unit case volume was even, as growth in Central Asia, North Africa and Brazil was offset by declines in Mexico, the United States and Thailand.

Unit case volume performance included the following:

Sparkling soft drinks were even for both the quarter and the full year. For the quarter, growth in Europe, Middle East and Africa ("EMEA") was offset by a decline in Asia Pacific and, for the full year, growth in EMEA was offset by declines in Asia Pacific and Latin America. Trademark Coca-Cola grew 1% for the quarter and was even for the full year. For the quarter, growth was driven by all geographic operating segments and, for the full year, growth in EMEA and Asia Pacific was offset by declines in Latin America and North America. Coca-Cola Zero Sugar grew 13% for the quarter and 14% for the full year, both driven by growth across all geographic operating segments. Diet Coke/Coca-Cola Light grew 2% for the quarter and was even for the full year. For the quarter, growth was driven by North America and Asia Pacific and, for the full year, growth in North America and Asia Pacific was offset by declines in Latin America and EMEA. Sparkling flavors declined 1% for both the quarter and the full year, as growth in EMEA was more than offset by a decline in Asia Pacific.
Juice, value-added dairy and plant-based beverages declined 3% for both the quarter and the full year, as growth in Latin America was more than offset by declines in Asia Pacific and EMEA. During the quarter, growth in fairlife and Santa Clara was more than offset primarily by the sale of the company's finished product operations in Nigeria.
Water, sports, coffee and tea grew 3% for the quarter and 2% for the full year. Water grew 4% for the quarter and 2% for the full year. For the quarter, water performance was driven by growth in Latin America, Asia Pacific and North America and, for the full year, growth in Asia Pacific, EMEA and Latin America. Sports drinks grew 5% for the quarter and 1% for the full year, both primarily driven by North America and EMEA. Coffee was even for both the quarter and the full year. For the quarter, growth in EMEA was offset by a decline in Asia Pacific and, for the full year, growth in Asia Pacific was offset by a decline in North America. Tea grew 5% during the quarter and 2% for the full year. For both the quarter and the full year, growth was driven by Latin America, Asia Pacific and EMEA.

Price/mix grew 1% for the quarter and 4% for the full year. For the quarter, performance was driven by pricing actions in the marketplace, partially offset by unfavorable mix. Concentrate sales were 3 points ahead of unit case volume due to the timing of concentrate shipments and one additional day. For the full year, performance was primarily driven by pricing actions in the marketplace. Concentrate sales were 1 point ahead of unit case volume due to the timing of concentrate shipments.
Operating income declined 32% for the quarter and grew 38% for the full year. For the quarter, operating income performance included items impacting comparability, including a non-cash impairment charge of $960 million related to the BODYARMOR trademark, as well as currency headwinds. For the full year, operating income performance included items impacting comparability and currency headwinds. Comparable currency neutral operating income (non-GAAP) grew 13% for both the quarter and the full year with performance driven by organic revenue (non-GAAP) growth and effective cost management, partially offset by an increase in marketing expenses and higher input costs.

Europe, Middle East & Africa

Unit case volume grew 2% for the quarter, primarily driven by growth in Trademark Coca-Cola and sparkling flavors.
Price/mix declined 3% for the quarter, as pricing actions in the marketplace were more than offset by unfavorable mix. For the quarter, concentrate sales were 7 points ahead of unit case volume due to the timing of concentrate shipments and one additional day.
Operating income declined 9% for the quarter, which included a currency headwind and items impacting comparability. Comparable currency neutral operating income (non-GAAP) declined 2% for the quarter, as organic revenue (non-GAAP) growth was more than offset by higher operating expenses.
For the full year, the company gained value share in total NARTD beverages, led by share gains in Egypt and Nigeria.

Latin America

Unit case volume grew 2% for the quarter, primarily driven by growth across all global beverage categories.

Price/mix grew 6% for the quarter, driven by pricing actions in the marketplace and favorable mix. For the quarter, concentrate sales were 2 points ahead of unit case volume due to one additional day and the timing of concentrate shipments.
Operating income was even for the quarter, which included items impacting comparability and a currency headwind. Comparable currency neutral operating income (non-GAAP) grew 13% for the quarter, primarily driven by organic revenue (non-GAAP) growth, partially offset by an increase in marketing expenses.
For the full year, the company gained value share in total NARTD beverages, led by share gains in Argentina and Brazil.

North America

Unit case volume grew 1% for the quarter, primarily driven by growth in water, sports, coffee and tea and Trademark Coca-Cola.
Price/mix grew 4% for the quarter, primarily driven by pricing actions in the marketplace. For the quarter, concentrate sales were in line with unit case volume, as the benefit of one additional day was offset by the timing of concentrate shipments.
Operating income declined 65% for the quarter, driven by items impacting comparability, including a non-cash impairment charge of $960 million related to the BODYARMOR trademark. Comparable currency neutral operating income (non-GAAP) grew 15% for the quarter, primarily driven by organic revenue (non-GAAP) growth, partially offset by an increase in marketing expenses.
For the full year, the company gained value share in total NARTD beverages, led by share gains in juice, value-added dairy and plant-based beverages and water, sports, coffee and tea.

Asia Pacific

Unit case volume was even for the quarter, as growth in water, sports, coffee and tea and Trademark Coca-Cola was offset by a decline in sparkling flavors.
Price/mix declined 3% for the quarter, primarily driven by the timing of investments and unfavorable mix. For the quarter, concentrate sales were 4 points ahead of unit case volume due to the timing of concentrate shipments and one additional day.
Operating income declined 36% for the quarter, which included items impacting comparability and a currency headwind. Comparable currency neutral operating income (non-GAAP) declined 3% for the quarter, primarily driven by higher input costs.
For the full year, the company gained value share in total NARTD beverages, led by share gains in the Philippines and South Korea.

Bottling Investments

Unit case volume declined 6% for the quarter, largely due to a decline in India and the impact of refranchising bottling operations.
Price/mix grew 1% for the quarter, driven by pricing actions in the marketplace, partially offset by unfavorable mix.
Operating income declined 4% for the quarter, which included a currency headwind and the impact of refranchising bottling operations. Comparable currency neutral operating income (non-GAAP) declined 2% for the quarter, primarily driven by a decline in organic revenue (non-GAAP), partially offset by a decrease in operating expenses.

Capital Allocation Update

Reinvesting in the business: The company continued to invest in its various lines of business and spent $2.1 billion on capital expenditures in 2025, an increase of 2% versus the prior year.
Continuing to grow the dividend: The company paid $8.8 billion in dividends during 2025. The company has increased its dividend in each of the last 63 years.
M&A initiatives: In 2025, the company did not make any significant acquisitions. The company continues to evaluate inorganic growth opportunities through brands and capabilities. In 2025, with respect to divestitures, the company made progress towards refranchising company-owned bottling operations and advancing its asset-light agenda.
Share repurchases: In 2025, the company issued $0.3 billion of shares in connection with the exercise of stock options by employees and purchased $0.7 billion of shares. Consequently, net share repurchases (non-GAAP) were $0.4 billion. The company's remaining share repurchase authorization is approximately $5.2 billion.

Outlook

The 2026 outlook information provided below includes forward-looking non-GAAP financial measures, which management uses in measuring performance. The company is not able to reconcile full year 2026 projected organic revenues (non-GAAP) to full year 2026 projected reported net revenues, full year 2026 projected comparable net revenues (non-GAAP) to full year 2026 projected reported net revenues, full year 2026 projected underlying effective tax rate (non-GAAP) to full year 2026 projected reported effective tax rate, full year 2026 projected comparable currency neutral EPS excluding acquisitions and divestitures (non-GAAP) to full year 2026 projected reported EPS, or full year 2026 projected comparable EPS (non-GAAP) to full year 2026 projected reported EPS without unreasonable efforts because it is not possible to predict with a reasonable degree of certainty the exact timing and exact impact of acquisitions and divestitures throughout 2026; the exact timing and exact amount of items impacting comparability throughout 2026; and the exact impact of fluctuations in foreign currency exchange rates throughout 2026. The unavailable information could have a significant impact on the company's full year 2026 reported financial results.

Full Year 2026

The company expects to deliver organic revenue (non-GAAP) growth of 4% to 5%.

For comparable net revenues (non-GAAP), the company expects an approximate 1% currency tailwind based on the current rates and including the impact of hedged positions. In addition, the company expects an approximate 4% headwind from acquisitions and divestitures. This assumes the pending sale of Coca-Cola Beverages Africa ("CCBA") closes during the second half of 2026, subject to regulatory approvals.

The company's underlying effective tax rate (non-GAAP) is estimated to be 20.9%. This does not include the impact of ongoing tax litigation with the U.S. Internal Revenue Service, if the company were not to prevail.

The company expects to deliver comparable currency neutral EPS excluding acquisitions and divestitures (non-GAAP) growth of 5% to 6% and comparable EPS (non-GAAP) growth of 7% to 8% versus $3.00 in 2025.

Comparable EPS (non-GAAP) percentage growth is expected to include an approximate 3% currency tailwind based on the current rates and including the impact of hedged positions. In addition, the company expects an approximate 1% headwind from acquisitions and divestitures. This assumes the pending sale of CCBA closes during the second half of 2026, subject to regulatory approvals.

The company expects to generate free cash flow (non-GAAP) of approximately $12.2 billion. This consists of cash flow from operations of approximately $14.4 billion, less capital expenditures of approximately $2.2 billion.

First Quarter 2026 Considerations

Comparable net revenues (non-GAAP) are expected to include a 2% currency tailwind based on the current rates and including the impact of hedged positions, in addition to a 1% headwind from acquisitions and divestitures.

Comparable EPS (non-GAAP) percentage growth is expected to include a 2% currency tailwind based on the current rates and including the impact of hedged positions.

The first quarter has six additional days compared to the first quarter of 2025.

Notes

All references to growth rate percentages and share compare the results of the period to those of the prior year comparable period, unless otherwise noted.
All references to volume and volume percentage changes indicate unit case volume, unless otherwise noted. All volume percentage changes are computed based on average daily sales in the fourth quarter, unless otherwise noted, and are computed on a reported basis for the full year. "Unit case" means a unit of measurement equal to 192 U.S. fluid ounces of finished beverage (24 eight-ounce servings), with the exception of unit case equivalents for Costa non-ready-to-drink beverage products, which are primarily measured in number of transactions. "Unit case volume" means the number of unit cases (or unit case equivalents) of company beverages directly or indirectly sold by the company and its bottling partners to customers or consumers.
"Concentrate sales" represents the amount of concentrates, syrups, beverage bases, source waters and powders/minerals (in all instances expressed in unit case equivalents) sold by, or used in finished beverages sold by, the company to its bottling partners or other customers. For Costa non-ready-to-drink beverage products, "concentrate sales" represents the amount of beverages, primarily measured in number of transactions (in all instances expressed in unit case equivalents), sold by the company to customers or consumers. In the reconciliation of reported net revenues, "concentrate sales" represents the percent change in net revenues attributable to the increase (decrease) in concentrate sales volume for the geographic operating segments after considering the impact of acquisitions and divestitures, if any. For the Bottling Investments operating segment for the fourth quarter, this represents the percent change in net revenues attributable to the increase (decrease) in unit case volume computed based on total sales (rather than average daily sales) in each of the corresponding periods after considering the impact of structural changes, if any. For the Bottling Investments operating segment for the full year, this represents the percent change in net revenues attributable to the increase (decrease) in unit case volume after considering the impact of structural changes, if any. The Bottling Investments operating segment reflects unit case volume growth for consolidated bottlers only.
"Price/mix" represents the change in net operating revenues caused by factors such as price changes, the mix of products and packages sold, and the mix of channels and geographic territories where the sales occurred.
First quarter 2025 financial results were impacted by two fewer days as compared to first quarter 2024, and fourth quarter 2025 financial results were impacted by one additional day as compared to fourth quarter 2024. Unit case volume results for the quarters are not impacted by the variances in days due to the average daily sales computation referenced above.

Conference Call

The company is hosting a conference call with investors and analysts to discuss fourth quarter and full year 2025 operating results today, Feb. 10, 2026, at 8:30 a.m. ET. The company invites participants to listen to a live webcast of the conference call on the company's website, http://www.coca-colacompany.com, in the "Investors" section. An audio replay in downloadable digital format and a transcript of the call will be available on the website within 24 hours following the call. Further, the "Investors" section of the website includes certain supplemental information and a reconciliation of non-GAAP financial measures to the company's results as reported under GAAP, which may be used during the call when discussing financial results.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260210415728/en/

Investors and Analysts: Robin Halpern, koinvestorrelations@coca-cola.com

Media: Scott Leith, sleith@coca-cola.com

Coca-Cola Reports Fourth Quarter and Full Year 2025 Results