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Mar 29, 2024
Coca-Cola Consolidated Q1 2024 Earnings Report
Coca-Cola Consolidated reported solid first quarter results driven by improved profit margins and strong free cash flow, and announced intention to repurchase up to $3.1 billion of its common stock.
Key Takeaways
Coca-Cola Consolidated's first quarter 2024 results showed a net sales increase of 1% to $1.6 billion. The company's operating income increased by 5% to $215.4 million, and the operating margin improved by 40 basis points to 13.5%. They also announced the intention to repurchase up to $3.1 billion of its common stock.
Net sales increased by 1% to $1.6 billion, driven by annual price increases.
Operating income rose by 5% to $215.4 million, with an operating margin of 13.5%.
Gross profit increased by 3% to $640.6 million, with gross margin improving to 40.2%.
The company intends to repurchase up to $3.1 billion of its common stock.
Coca-Cola Consolidated
Coca-Cola Consolidated
Coca-Cola Consolidated Revenue by Segment
Revenue by Segment
Sparkling beverages Revenue
CapyFin.comStill beverages Revenue
CapyFin.com Forward Guidance
The company intends to utilize its solid financial position and projected strong cash flow to delever over the coming years while maintaining our current regular quarterly dividend and a solid investment grade rating profile.
Positive Outlook
- Optimize balance sheet by raising a prudent amount of debt
- Return cash to stockholders
- Maintain current regular quarterly dividend
- Maintain solid investment grade rating profile
- Projected strong cash flow
Challenges Ahead
- Increased costs due to inflation
- Disruption of supply or unavailability or shortages of raw materials, fuel and other supplies
- Changes in public and consumer perception and preferences
- Changes in government regulations related to nonalcoholic beverages
- Failure to attract, train and retain qualified employees while controlling labor costs, and other labor issues
Revenue & Expenses
Visualization of income flow from segment revenue to net income