Coca-Cola Earnings Rise 22 Pct
ATLANTA (AP) _ Despite lingering pockets of weak sales, Coca-Cola Co. said Wednesday that second-quarter net income rose 22 percent as its retooled North American marketing campaign has begun showing results.
The world’s biggest soft drink maker earned $1.1 billion, or 45 cents per share, in the April-June period. That beat consensus Wall Street forecasts by 2 cents per share. Coke earned $926 million, or 37 cents per share, in the same period of 2000.
Revenue was $5.29 billion, down 4 percent from $5.48 billion in the second quarter last year.
Coke shares fell 62 cents to $46.51 in early trading Wednesday on the New York Stock Exchange.
Chairman Douglas Daft said the company continues to struggle with performance problems, especially in Germany and Turkey. Case volume sales dropped 12 percent in Germany and 20 percent in Turkey.
``Despite our growth in a tough economic climate, we are still not satisfied that we are reaching our full potential in some key markets _ and we are determined to do so,″ Daft said.
The company said case volume sales grew 3 percent in the United States and Canada, its largest market.
The company launched a major advertising campaign during the quarter and is counting on heavy growth from its promotional links with a new Harry Potter movie to be released later this year.
Coke will spend more than $300 million on the overall effort, which it hopes will spur North American sales the rest of the year.
For the first six months of the year, Coke earned $1.98 billion, or 80 cents a share, up from $868 million, or 35 cents a share, a year ago. Revenue was $9.77 billion, up from $9.74 billion in the first half of 2000.
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