Coca-Cola Co. (NYSE: KO) reported that its quarterly profit and sales rose year-over-year. For the second quarter, Coca-Cola reported a profit of $2.61 billion, or 61 cents a share, compared with a profit of $2.32 billion, or 54 cents a share, a year ago. The company reported revenue of $10 billion, up from $9.42 billion in the same quarter of last year.
The company’s results were helped by higher demand for its namesake soft drinks. In its core soda business, volumes rose 4 percent in the quarter, with volumes of Coke Zero Sugar rising more than 10 percent globally. However, the company’s water brands and its main sports drink, Powerade, have been under pressure this year.
The introduction of some new products also helped results. Orange Vanilla Coca-Cola, Coke’s first new flavor in a decade, performed strongly in the U.S. Coca-Cola Energy, the company’s first energy drink product, is now available in more than a dozen countries. Coke has also been rolling out an alcoholic beverage called Lemon-do in Japan.
Coke closed its $5.1 billion acquisition of British coffee shop-chain Costa earlier this year. About 1,200 Costa vending machines have been placed in current Costa markets so far, with plans for many more this year. The company expects to launch the bottled coffee in six markets before the end of the year and the long-term plan is to eventually have a global footprint for the brand.
The company lifted its forecasts for revenue growth and operating profits for the full year. The company now expects revenue to rise by 5 percent in 2019, up from its previous forecast of 4 percent growth. It now expects its operating income to increase between 11 percent and 12 percent, up from previous estimates of an increase between 10 percent and 11 percent. The company’s shares rose 6 percent on the news.