Georgia-based, world’s largest soft-drink maker, Coca-Cola Co. (NYSE: KO) reported results for the third quarter of 2012 ended Sep 28, 2012.
KO’s Revenues increased 1% to $12,340 million in the third quarter of 2012. Operating Income also increased 1% to $2,793 million in the third quarter. Net income for the quarter rose 4% to $2,311 million. Net cash from operations for the nine months ended Sep 2012 was $7,840 million.
Coca-Cola reported volume growth of 4% worldwide. KO’s unit case volume increased in all geographic regions including emerging and developed markets. The company’s Eurasia and Africa segment reported volume growth of 11%.
In spite of higher volume growth, net revenues increased only by 1%, mainly due to lower unit price and a 23% decrease in segmental revenues from ‘Corporate’.
KO’s adjusted gross margin was 60.3% slightly higher than the 60.2% reported for the same period in the prior year. Operating expenses increased more than revenues. This was due to company’s various productivity and reinvestment program as well as other restructuring initiatives.
Though the company’s interest income decreased by 16%, it was offset by a decrease of 12% in net interest expenses and a 40% increase in equity income. This led the income before taxes to rise by 5%. Net income grew only by 4% due to increase in income taxes by 11%.
As on Sep 28, 2012, KO had total assets of $86,654 million including $9,615 million worth of cash and its equivalents. Total liabilities were $53,064 million, among which 51% were current and the remaining was long term. Total Stockholders’ equity was $33,590 million.
KO’s shares have been quite volatile today. It has been trading so far today in the range of $37.44 and $38.22. At the last check, the stock was trading 0.43% lower at $37.9650 on volume of 14.52 million.
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