Coca-Cola (KO) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Tue, April 28, 2026 astatine 11:12 AM CDT 42 min read

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DATE

Tuesday, April 28, 2026 astatine 8:30 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Henrique Braun

• President and Chief Financial Officer — John Murphy

Full Conference Call Transcript

Henrique Braun: Thanks, Todd, and bully morning, everyone. We are disconnected to a bully commencement this year. We delivered beardown archetypal 4th results contempt a analyzable outer environment. I'd similar to convey our strategy associates for their continued commitment. We are focusing connected becoming much consumer-centric, remaining constructively discontent, and leveraging our integer capabilities to make enduring value. I'm assured we are good positioned to present connected our updated 2026 guidance. This morning, I volition supply the position connected the planetary operating scenery earlier diving into our concern performance. Then I volition stock however we are getting person to consumers by operating with some granularity and scale. Finally, John volition sermon our fiscal results and 2026 guidance.

During the quarter, the outer situation differed greatly crossed our market. While galore consumers stay resilient, others are nether unit owed to persistent inflation, greater macroeconomic uncertainty and volatility driven by the struggle successful the Middle East. Against this backdrop, we are operating successful an expanding industry. We harness the powerfulness of our brands and our unmatched strategy reached to present 3% measurement growth, and we grew measurement crossed each segments. We besides extended our streak of gaining wide worth stock for the past 20 consecutive quarters. Excluding the interaction from 6 other days successful the 4th and the timing of ore shipments, integrated gross maturation is connected way with our afloat twelvemonth guidance.

We besides expanded comparable operating margin, which contributed to double-digit comparable net per stock growth. We are ever pushing ourselves to bash adjacent amended and focusing connected getting much for much markets and much from our brands to thrust balanced growth. Starting with North America. While we benefited from cycling an easier examination versus the anterior twelvemonth we delivered coagulated performance. We gained some measurement and worth stock and grew volume, gross and profit. The softness successful price/mix tin beryllium attributed to Easter timing, coupled with unfavorable class premix from packaged h2o and constrained accumulation capableness for Topo Chico and Felli.

We had broad-based spot crossed our full beverage portfolio. a consecutive people Coca-Cola, Fanta, Prescot Body Arbor Powerade the sunny smartwater and Minuteman each grew volume. Trademark Coca-Cola besides led the manufacture successful retail income growth. Innovation contributed powerfully to gross growth. For example, we are tapping into the user penetration favoring each things Cherry, with Coca-Cola Cherry flow, Diet Coke Cherry and Mr. Peak, besides powered powerfulness h2o and the enlargement of Minicans into the convenience retail channel, some had beardown performance. In Latin America, we gained worth stock and grew volume, gross and nett by focusing connected less but much impactful initiatives. -- measurement maturation successful Brazil and Central America much than offset declines successful Mexico and Argentina.