Coca-Cola posts second-quarter profit ahead of expectations

Coca-Cola, the world’s largest soft drinks company, posted second-quarter profit that beat analysts’ estimates after increasing prices and cutting expenses.

Excluding some items, profit amounted to 63 cents a share, the Atlanta-based company said in a statement on Wednesday. Analysts had estimated 60 cents on average.

Higher drink prices have helped Coca-Cola weather stagnant sales overseas and changing consumer tastes in the US, where soda sales have declined over the past decade.

Chief executive officer Muhtar Kent has called 2015 a “transition year” as he waits for cost cuts and new marketing to take hold. Charging more for beverages has boosted Coke’s revenue as the company rides out the turbulence. Coca-Cola shares rose in early trading after the results were released. The stock had slipped 2.4 per cent this year up to the close of trading on Tuesday.

- Bloomberg