Coca-Cola profits for Q2

Coca-Cola

Unsurprisingly as it is arguably the most popular drink in the world, Coca-Cola's Q2 profits grew by 16 percent, defying Wall Street predictions and earning it a cool $2.37 billion.

In a statement, the Atlanta-based company said it earned $1.02 a share last quarter, compared with 88 cents a share ($2.04 billion), in the year-earlier period. Excluding one-time items, it earned $1.06 a share, beating estimates from analysts for $1.03.

Sales of the popular beverage reportedly rose by five percent last quarter to $8.67 billion, falling just short of Wall Street's prediction of $8.7 billion, however the company's stock prices still rose impressively by 1.43 percent to $54.

Worldwide growth

As well as the increase in profits, Coca-Cola said its worldwide volumes grew by five percent last quarter, including two percent in North America. While Latin America volumes rose seven percent, Europe volumes fell one percent. Russia, India and Brazil were noted as individual strong markets.

CEO Muhtar Kent said he was "pleased" with the company's performance last period and called it a "solid" quarter.

In a statement, Kent said, "It is clear, however, that the state of the global economy remains uncertain in many regions, affected by ongoing deficit concerns in Europe, recent downward revisions to China's economy and weakened consumer confidence."

"While this uncertainty weighs on us all, we remain resolute in our commitment to invest in our global operations and our brands for the long-term."

Coca-Cola has fared better than its main rival PepsiCo, who this week announced a three percent fall in its Q2 earnings, but a stronger-than-expected non-GAAP profit of $1.09.

Dr Pepper is one of the few carbonated soft-drink brands that continues to grow, even as many consumers turn to juices, teas, sports drinks and bottled water. The move is part of Coca-Cola's $12 billion deal to acquire Coca-Cola Enterprises. Coca-Cola is expected to complete its acquisition of bottler Coca-Cola Enterprises later in the year.

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