Coca-Cola raises guidance after beating revenue estimates

The Coca-Cola Company on Friday beat analysts' third quarter revenue expectations, leading the company to lift its full-year guidance for sales and operating income.

The beverages giant reported 8% year-on-year revenue growth to $9.5bn for the quarter, beating analysts' median estimate of $9.4bn, with the increase driven by price/mix growth of 6%.

Organic revenue grew by 5%, which Coca-Cola attributed to innovation, revenue growth management and improving execution.

The New York-listed company said its retail value grew by 6% compared to the same point last year, with the largest contributor being the flagship US market.

Stateside success was driven by continued double digit volume growth in Coca-Cola Zero Sugar, as well as strong growth in smaller drinks containers.

Operating margin stood at 26.3% in the quarter, down from 29.8% in the prior year after having been impacted by currency headwinds and net acquisitions.

Coca-Cola said it now expects full-year organic revenue growth to be "at least" 5%, versus a previous forecast of 5% growth, while operating income is now seen as climbing by 8% to 9% over the full year, up from prior expectations for growth of between 7% and 8%.

Chairman and chief executive James Quincey said: "Our performance gives us confidence that our strategies are taking hold with our consumers, customers and system. We are positioning the company to create a better shared future for all of our stakeholders by delivering on our vision and growing sustainably."

Coca-Cola shares were up 1.93% at $54.85 at 1443 BST.