Third-Quarter Coca-Cola Profits Up By 8.4%

Coca-Cola profits continued to increase through a testy third-quarter, up by 8.4 percent. The soda maker has seen a steady improvement in the North American market and a marked improvement in markets like Russia and Brazil.

In North America, Coca-Cola grew by only two percent, a marked improvement from recent tepid sales during the same quarter last year which saw stagnant growth. Internationally Coca-Cola fared much better, recording healthy profits from the same period last year.

Coca-Cola reported a profit of $2.06 billion, or 88 cents a share, up from $1.9 billion, or 81 cents a share, a year earlier. Excluding restructuring and other impacts, earnings climbed to 92 cents from 82 cents as revenue increased five percent to $8.43 billion.

According to the Wall Street Journal, sparkling beverages, which include Coke's carbonated-drinks business, had world-wide volume growth of 3 percent in the quarter from last year, including 4 percent growth internationally.

Coca-Cola's largest recorded growth volume occurred in Eurasia and Africa, which grew 12 percent - including 30 percent volume growth in Russia - while volume in the Pacific grew 11 percent in the quarter, supported by 12 percent growth in China, 11 percent in Japan and 19 percent in the Philippines.

"We continue to build on our momentum, delivering solid volume, revenue and profit growth this quarter, with our results exceeding all of our long-term targets and generating sustainable value for our shareowners," said Muhtar Kent, Coke's Chief Executive Officer.

In addition, Coke has said it will buy back $2 billion in shares before 2011. Shares were up 1.3% to $60.75 in recent premarket trading as the results beat analysts' expectations, according to the Journal.

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