Coca-Cola surprises on emerging market sales

US DRINKS giant Coca-Cola yesterday reported a slowdown in sales in North America, but still posted better-than-expected earnings on strength in emerging markets such as China and Russia.

Coke reported net income of $2.8bn (£1.12bn), or $1.20 per share for the quarter to 1 July up from $2.37bn a year earlier.

Excluding one-time items, earnings were $1.17 per share, topping analysts’ average estimate by one cent.

Revenue jumped 47 per cent to $12.74bn, slightly above expectations, fuelled by last year’s purchase of North American bottling operations, price increases and a six per cent benefit from foreign exchange rates.

Volatility in commodity markets has also led to increased costs for packaging, sweeteners and fruit, the maker of Sprite and Powerade said.