Coca-Cola reports strong Q4 and full-year 2023 financial results, demonstrating market resilience

In a year marked by challenges and dynamic global market conditions, The Coca-Cola Company today announced its fourth-quarter and full-year results for 2023, reflecting a strong testament to its resilience and strategic agility. Under the leadership of Chairman and CEO James Quincey, the company has navigated the complexities of the global landscape to deliver commendable financial performance and operational excellence.

Quarterly and Annual Revenue Growth: The Coca-Cola Company reported a 7% increase in net revenues for the quarter, reaching $10.8 billion, with organic revenues (non-GAAP) growing 12%. This growth was propelled by a 9% rise in price/mix and a 3% increase in concentrate sales. The inclusion of an additional day contributed a 1-point tailwind to revenue growth. For the full year, the company saw a 6% growth in net revenues to $45.8 billion, with organic revenues (non-GAAP) up by 12%, driven by a robust 10% growth in price/mix and 2% in concentrate sales. This performance underscores Coca-Cola’s strong market positioning across all operating segments.

Operating Margin and Earnings Per Share (EPS): The fourth quarter witnessed an operating margin of 21.0%, an improvement from 20.5% in the prior year, while the comparable operating margin (non-GAAP) reached 23.1%, up from 22.7%. Annually, the operating margin stood at 24.7%, with the comparable operating margin (non-GAAP) at 29.1%, indicating a strategic balance of topline growth and investment in marketing, despite currency headwinds. EPS for the quarter slightly declined by 2% to $0.46, with comparable EPS (non-GAAP) growing by 10% to $0.49. The full year saw EPS growth of 13% to $2.47, with comparable EPS (non-GAAP) increasing by 8% to $2.69.

Market Share and Cash Flow: The Coca-Cola Company continued to gain value share in the total nonalcoholic ready-to-drink (NARTD) beverages market for both the quarter and the full year. Cash flow from operations was $11.6 billion for the year, up 5%, driven by strong business performance and effective working capital initiatives. Free cash flow (non-GAAP) for the year stood at $9.7 billion, marking a 2% increase.

Global Unit Case Volume Growth: The company achieved a 2% growth in global unit case volume for both the quarter and the full year, reflecting Coca-Cola’s ability to meet consumer demand effectively across different markets.

James Quincey’s confidence in Coca-Cola’s “all-weather strategy, powerful portfolio, and harmonized system” is not just rhetoric but is reflected in the company’s consistent performance and strategic initiatives aimed at creating long-term value for stakeholders. As Coca-Cola steps into 2024, its focus on innovation, sustainability, and global market leadership positions it for continued success in a competitive and ever-changing industry landscape.