Has Coca-Cola cracked the volume code?

ATLANTA — Unit case volume sales for The Coca-Cola Co. rose 3% during the first quarter of fiscal 2026, an improvement over the third and fourth quarters of fiscal 2025, when unit case volume sales rose 1% during each period. The volume growth combined with price/mix growth of 2% contributed to a strong quarter for the global beverage company.

“We harnessed the power of our brands, and our unmatched system reach to deliver 3% volume growth, and we grew volume across all segments,” said Henrique Braun, chief executive officer, during an April 28 conference call to discuss the first-quarter results.

Two regions that stood out in terms of volume growth were Asia Pacific with 5% and North America with 4%. In Asia Pacific, volume growth occurred across all its operating units. In North America, the company received strong results from trademark Coca-Cola, Fanta, Fresca, Bodyarmor, Powerade, Dasani, Smartwater and Minute Maide, Braun said.

“Trademark Coca-Cola also led the industry in retail sales growth,” he said. “Innovation contributed strongly to revenue growth. For example, we are tapping into the consumer insight favoring all things cherry, with Coca-Cola Cherry Float, Diet Coke Cherry, and Mr. Pibb. Also, Powerade Power Water and the expansion of mini cans into the convenience retail channel both had strong performance.”

Braun added that the company’s focus on affordability paid during the quarter.

“We are going where the consumer is,” he said. “Affordability (will) continue to be part of the revenue growth management architecture that we have, not only in the US, but in different parts of the world as well. The consumers that have pressure today are the low-income consumers, and we really dialed up our affordability options to get closer to them.”

Net income for the quarter ended April 3 was $3.9 billion, equal to 91¢ per share on the common stock, and an 18% increase from the first quarter of fiscal 2025 when the company earned $3.3 billion, equal to 77¢ per share.

Quarterly sales rose 12% to $12.5 billion from $11.1 billion the year before.

John Murphy, president and chief financial officer, said the strong quarter puts The Coca-Cola Co. on track to deliver on its fiscal 2026 guidance of organic sales growth of 4% to 5% and earnings per share growth of 7% to 8% versus $3 per share in fiscal 2025.

“We now expect growth in comparable currency-neutral earnings per share, excluding acquisitions and divestitures, of 6% to 7%,” he said. “Notwithstanding volatility in certain commodities like tea and coffee, we believe the overall impact on our cost basket is manageable at this time. However, uncertainty stemming from geopolitical tensions may cause this outlook to change.”