Coca-Cola Beats Third Quarter Estimates and Raises Full Year Outlook

Coca-Cola reported third quarter 2026 results on Tuesday, October 27, that came in ahead of Wall Street estimates, and the company raised its full year guidance. Comparable earnings per share were $0.91, up 11 percent from a year earlier, while reported earnings per share were $0.93, up 8 percent. Barron's reported that the $0.91 comparable figure beat the FactSet consensus call of 88 cents.

Net revenues grew 7 percent to $13.4 billion, and organic revenues also grew 7 percent. Barron's reported that revenue of $13.4 billion beat the Wall Street estimate of $12.92 billion. The company said the organic growth was driven by a 7 percent increase in concentrate sales and 1 percent growth in price/mix.

The beat therefore covered both profit and revenue. Comparable earnings were above the consensus figure cited by Barron's, and revenue was also above the estimate cited by Barron's. Growth was not limited to one line in the release, because net revenue, organic revenue and operating income all rose in the quarter, with increases of 7 percent, 7 percent and 12 percent.

Volume growth led by four markets

Global unit case volume grew 5 percent, led by India, China, Mexico and Brazil. Within that total, Coca-Cola Zero Sugar volume grew 16 percent, while Trademark Coca-Cola volume grew 5 percent. The Zero Sugar increase was the fastest volume growth rate among the figures the company reported for the quarter, and it came alongside growth in the main Coca-Cola trademark.

North America was the exception to the global volume pattern. Unit case volume there was flat, as growth in Coca-Cola branded beverages was offset by declines in water, sports drinks, coffee and tea. Organic revenue in North America rose 3 percent, compared with 7 percent globally, so the region grew more slowly than the company as a whole on that measure.

Margins and cash flow

Operating income grew 12 percent, ahead of the 7 percent growth in net revenues. Operating margin was 33.4 percent, compared with 32.0 percent a year earlier. Comparable operating margin was 32.9 percent, compared with 31.9 percent a year earlier. Both margin measures were therefore higher than in the same quarter a year earlier.

Cash generation also featured in the release. Year to date, cash flow from operations was $12.5 billion, and free cash flow was $11.4 billion. The company reported those totals alongside the quarterly earnings, revenue and volume figures, giving investors a view of profit, sales and cash in the same update.

Guidance raised for the full year

Henrique Braun, CEO of The Coca-Cola Company, said: "Our results this quarter demonstrate our system's sustained momentum, giving us confidence in our updated full year guidance."

Coca-Cola raised its full year 2026 guidance to organic revenue growth of at least 5 percent and comparable earnings per share growth of at least 11 percent. The prior guidance was about 5 percent for organic revenue growth and 9 to 10 percent for comparable earnings per share growth. The clearest change was therefore on earnings, where the low end of the new outlook sits above the range given before.

Shares of Coca-Cola rose 1.1 percent in premarket trading on Tuesday, according to Barron's. The stock had advanced 34 percent in 2026 before the results were released.