Coca-Cola lifts 2026 outlook on FIFA World Cup momentum

For the three months ended July 3, Coca-Cola reported 5% global unit case volume growth, a 7% increase in net revenue to US$13.4 billion, and double-digit earnings-per-share growth compared with the corresponding period a year earlier. 

The performance, supported by its FIFA World Cup campaign, consumer-led innovation, and broad geographic momentum, prompted the beverage group to raise its full-year 2026 guidance. 

Reported operating income increased 9%. Comparable currency-neutral operating income rose 6%, reflecting organic revenue growth and lower operating expenses. Those benefits were partially offset by higher input costs and increased marketing investment. 

Coca-Cola also gained value share across the global non-alcoholic ready-to-drink beverage market.

CEO Henrique Braun says the company has remained close to evolving consumer and customer needs. “While we continue to see a dynamic consumer landscape, we leveraged our powerful brands and system to gain value share, delivering revenue, profit, and earnings growth while also investing for the long term.”

Coca-Cola outperforms competition

Coca-Cola outperformed PepsiCo in the second quarter of 2026, recording stronger organic revenue, beverage volumes, adjusted earnings, and margins. PepsiCo’s underlying margin contracted, while its North American beverage volumes declined.

Coca-Cola’s Zero Zero beverage achieved “strong results” in Europe and is now being expanded into Asia Pacific and Latin American markets.

A major driver of Coca-Cola’s growth has been this year’s FIFA World Cup, including its hydration breaks and other advertising opportunities. The cup’s top sponsor’s financials reveal a boost in sports drinks sold as a result of these commercials.

“I’m not sure whether these hydration breaks are going to be a permanent feature of the soccer world, but we were not unhappy with them in the World Cup,” CFO John Murphy told Reuters in an interview earlier this week, noting a particular boost for the company’s Powerade brand.

Innovation supports quarterly growth

Coca-Cola said innovation contributed to its 5% global volume growth during the quarter.

The soft drinks giant is establishing innovation hubs across each operating unit. The hubs are intended to turn consumer insights into locally relevant products and allow successful innovations to be transferred more quickly between markets.

One example is Coca-Cola Zero Zero, which offers zero sugar, zero calories, and zero caffeine in redesigned packaging. Following “strong results and consumer reception” in Europe, the product has been expanded into Asia Pacific and Latin American markets.

In China, Coca-Cola adapted its US Sprite+Tea concept with a more lemon-forward flavor profile. The localized product supported Sprite’s volume growth during the quarter.

The company is also expanding its functional-beverage portfolio. Bodyarmor Fit, a sparkling sports drink, combines zero sugar with electrolytes and caffeine and is positioned as providing metabolism support.

First-half revenue and volume performance

For the six months ended July 3, reported net revenue increased 9%, while organic revenue rose 8%. Unit case volume grew 4%.

Concentrate sales increased 6%, price and mix contributed 2%, currency provided a 2% benefit, and acquisitions and divestitures reduced growth by 1%.

Meanwhile, reported operating income increased 14% during the first six months, and comparable currency-neutral operating income rose 9%.

First-half reported EPS increased 17%. Comparability items contributed three percentage points to the difference between reported and comparable performance, while currency contributed another three points. Comparable currency-neutral EPS rose 12%.

Coca-Cola raises full-year outlook

Following the second-quarter performance, Coca-Cola raised several elements of its 2026 guidance.

The company now expects organic revenue growth of approximately 5%. Its previous forecast called for growth of between 4–5%.

Comparable currency-neutral EPS, excluding acquisitions and divestitures, is now expected to grow between 7–8%, up from the previous range of 6–7%.

Comparable EPS is forecast to increase between 9–10%, compared with the prior outlook of 8–9%. The current forecast includes an estimated three-percentage-point currency benefit and an approximately one-point headwind from acquisitions and divestitures.