Coca-cola Company (the) · NYSE:KO
Coca-cola Company (the) — The Coca-Cola Company — Q3 2016 Earnings Presentation
18 slides from Coca-cola Company (the)'s earnings presentation, Oct 26, 2016
Slide 1: The Coca-Cola Company 3rd Quarter 2016 Earnings Call
The Coca-Cola Company 3rd Quarter 2016 Earnings Call October 26, 2016
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain statements, estimates or projections that constitute “forward-looking statements” as defined under U.S. federal securities laws. Generally, the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “will” and similar expres
Slide 3: Agenda
Agenda Highlights Operational Review Financial Review Q&A
Slide 4: Delivered Third Quarter Results In Line with Expectations
Delivered Third Quarter Results In Line with Expectations Q3 YTD Value Share Value Share Core Business*** 3% Revenue* 4% Revenue* Developed Markets 2% Volume Emerging Markets Taking Action Margin** > 50 bps Profit**** 7% *Organic revenue (non-GAAP) ** Comparable currency neutral operating margin exp
Slide 5: Strengthening and Evolving Our Global System
Strengthening and Evolving Our Global System Progress in Q3 2016 NORTH AMERICA ASIA PACIFIC EUROPE, MIDDLE EAST LATIN AMERICA & AFRICA • 6 Signed Definitive Agreements • CCW and CCEJ Signed Definitive • Joint Value Creation with • CCEP Closed and Executing • Closed on 4 Territories Agreement to Merg
Slide 6: We Are Transforming Our Company
We Are Transforming Our Company Implemented revenue growth management strategies Reshaping our brand portfolio across sparkling and still beverages New marketing campaign for Trademark Coca-Cola $3 billion productivity program remains on track Re-architecting the bottling system for the future Bette
Slide 7: Operational Review
Operational Review
Slide 8: Delivered Third Quarter Results In Line with Expectations
Delivered Third Quarter Results In Line with Expectations Q3 YTD Unit Case 1% 1% Volume Revenue* 3% 2% Core Business* 3% 4% Bottling Investments* 2% 0% Profit** 2% 7% *Organic revenue (non-GAAP) 8 **Comparable currency neutral income before taxes (structurally adjusted) (non-GAAP)
Slide 9: Performance in Key Markets
Performance in Key Markets We continue to push hard where we have momentum, take action where needed, and manage through difficult operating conditions Russia • Signs of Slight Improvement Western Europe • Aided by the Stabilization of Oil Prices •Solid Marketing & Innovation •Increased Alignment wi
Slide 10: We Have a Growing and Evolving Brand Portfolio
We Have a Growing and Evolving Brand Portfolio With 20 Billion-Dollar Brands, including 14 Still Brands 20 Billion-Dollar Brands #1 In Sparkling, Juice & JD, RTD Coffee #2 In Energy*, Water, Sports/Water+, RTD Tea 10 Source: Internal estimates based on 2015 value share *Energy brands owned by Monste
Slide 11: We Are Taking Action to Expand Our Stills Portfolio
We Are Taking Action to Expand Our Stills Portfolio Our system sold 5.8 billion incremental servings of our still brands year-to-date, capturing over 25% of the value growth in stills globally. Japan North America Europe Bolt-on M&A 11
Slide 12: In Sparkling, We Are Doing Things Differently
In Sparkling, We Are Doing Things Differently Outpacing a category that is growing retail value by 3% year-to-date Taste the Feeling More Sugar-Free Product Small Pack Sizes Options Reformulation 12
Slide 13: Financial Performance
Financial Performance
Slide 14: Q3 Financial Highlights
Q3 Financial Highlights Key Metrics Results • 3% organic revenue (non-GAAP) growth driven equally by volume and price/mix Top Line • Price/mix driven by both rate and mix, partially offset by 1 point of segment mix • Expanded ~45 bps • Positive price/mix, a slightly favorable cost environment and pr
Slide 15: We Generate Strong Cash Flow and Returns to Shareowners
We Generate Strong Cash Flow and Returns to Shareowners Cash From Operations Net Share Value Returned to $6.7B Dividends Paid* Repurchases** Shareowners YTD YTD $4.5B $1.2B $5.7B *Includes third quarter dividend paid on October 3rd 15 **Non-GAAP
Slide 16: Full Year 2016 Outlook
Full Year 2016 Outlook Top Line • 3% organic revenue*growth – NO CHANGE • 6 to 7% headwind from acquisitions, divestitures & structural items – NO CHANGE • 2 to 3% currency headwind – NO CHANGE Profit • 6 to 8% income before tax** growth – NO CHANGE • 4% structural headwind – NO CHANGE • 8 to 9% cur
Slide 17: Fourth Quarter Considerations
Fourth Quarter Considerations • 2 additional days benefit top line Top Line • 11% headwind from acquisitions, divestitures & structural items • 1 to 2% currency headwind Profit • 6 to 7% structural headwind • 8 to 9% currency headwind 17
Slide 18: Q&A
Q&A
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