A supply truck driver unloads Coca-Cola Co. gentle drinks in Lawrenceburg, Kentucky, U.S., on Monday, Feb. 10, 2020.
Luke Sharrett | Bloomberg | Getty Photographs
Coca-Cola is predicted to announce its fourth-quarter earnings earlier than the bell Wednesday.
Here is what Wall Road analysts surveyed by Refinitiv predict:
- Earnings per share: 42 cents anticipated
- Income: $8.63 billion anticipated
The beverage large has been hit onerous by the coronavirus pandemic. Earlier than the disaster, about half of its income relied on shoppers shopping for drinks away from dwelling. Its third-quarter revenue fell by 9%, and all 4 of its drink segments noticed unit case quantity shrink.
One other wave of European lockdowns through the winter has doubtless put further stress on Coke’s enterprise, slowing down its restoration. CEO James Quincey informed analysts in October that the corporate anticipated that winter within the Northern Hemisphere can be its hardest season.
In response to the pandemic, Coke has accelerated its restructuring and slimmed down its portfolio. It lower drinks like Tab and Odwalla that weren’t promoting nicely and plans to lay off about 2,200 workers worldwide. However the transformation comes with its personal prices. In complete, Coke expects to spend $350 million to $550 million on severance prices. The corporate additionally reported a $160 million impairment cost throughout its third quarter tied to the Odwalla model.
Shares of Coke have fallen 16% during the last yr, dragging its market worth right down to $213.58 billion.