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16 Oct 2012 11:32 #106118
by chairman
NEW YORK — The Coca-Cola Co. has a formula for growth in the volatile economic climate: sell more of its drinks in emerging markets and evolve its stable of products at home, where concerns over sugary drinks are intensifying.
The world's biggest beverage maker, which makes Sprite, Fanta and Dasani water, said the strategy helped it sell more of its drinks in every region during the third quarter, with global sales volume up 4 percent. But the Atlanta-based company was nevertheless hit by unfavorable currency exchange rates as well as pressures to keep price hikes in check, particularly in economically hard-hit regions in Asia and Europe.
Total revenue rose just 1 percent as a result, which was shy of Wall Street expectations.
In its flagship North American market, Coca-Cola has been relying on a shifting mix of drinks in response to changing consumer tastes and criticism over the role sugary drinks play in fueling obesity rates.
The 2 percent increase in sales volume in the region was driven by what Coca-Cola refers to as its "still beverages," such as Powerade sports drinks and Fuze teas. Coke Zero, which was introduced in 2005 as a better-tasting alternative to traditional diet sodas, saw growth of 9 percent. But overall sales volume of its sodas in the region was flat from a year ago.
In Europe, volume rose 1 percent but revenue declined 8 percent because of unfavorable currency exchange rates and a less profitable mix of products.
Companies that do a lot of their business overseas are hurt when the dollar is strong because sales in other countries' currencies translate into fewer dollars back home.
As growth slows in developed markets, countries such as India have become a greater focus for Coca-Cola. During the quarter, sales volume in the country rose 15 percent with the Coca-Cola brand up 34 percent. Coca-Cola announced this summer that it would accelerate investment in the country over the next eight years.
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16 Oct 2012 11:57 #106123
by chairman
Good marning everyone. Wishing you all a day full of sunshine, laughter and beautiful smiles
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16 Oct 2012 12:12 #106130
by chairman
Happy Navratri to every one may this festival brighting your life with joy and prosperity may the goddess durga remove all obstacles and shower us with bounties have a happy and blessed navratri
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