Coca-Cola today reported a 28% decline in fourth-quarter profit from a year ago, but beat Wall Street estimates as the soft drink giant wrapped up a year of 'transition.'
Coca-Cola said it earned $864m, or 36 cents a share, with revenue rising to $5.55 billion. But the company's profit excluding special items amounted to 46 cents a share, two cents better than the average Wall Street estimates. Sales also topped the Wall Street forecast of $5.41 billion.
For the full year 2005, profit was essentially flat at $4.87 billion.
In December, chief executive Neville Isdell said the company, facing stagnant volumes across its traditional lines and few successful new products, had made progress in 2005. Isdell said Coke would meet its target of boosting earnings as much as 8% in the long-term and that it would roll out a coffee drink in 2006.
'This quarter we made further progress toward achieving consistent top-line growth in our business,' the CEO said.
'It completes a transition year in which the company delivered solid unit case volume growth that was well balanced between carbonated soft drinks and noncarbonated beverages. Given our performance in 2005, including progress in key markets, and a well-developed pipeline of innovation and marketing, we will assess ourselves against our long-term growth targets beginning in 2006 and beyond,' he added.
