![]() ![]() ![]() ![]() | Contacts: Investors and Analysts: Tim Leveridge T +01 404.676.7563 Media: Petro Kacur T +01 404.676.2683 | The Coca-Cola Company Global Public Affairs & Communications Department P.O. Box 1734 Atlanta, GA 30301 |
• | Global volume growth of 2% for the full year and 1% in the quarter |
• | Reported net revenues declined 2% in the quarter; excluding the impact of structural items, comparable currency neutral net revenues grew 4% |
• | Fourth quarter reported EPS was $0.17; comparable EPS was $0.44 |
• | Gained global value share in nonalcoholic ready-to-drink beverages in both the quarter and full year |
• | Full-year cash from operations increased to $10.6 billion |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | 1 | 2 | |
Sparkling Beverages | 1 | 1 | |
Still Beverages | 2 | 4 | |
Concentrate Sales/Reported Volume | 3 | 1 | |
Price/Mix * | 1 | 1 | |
Currency | (4) | (2) | |
Structural Changes | (2) | (2) | |
Reported Net Revenues | (2) | (2) | |
Comparable CN Net Revenues (Structurally Adjusted) ** | 4 | 3 | |
Reported Operating Income | (31) | (5) | |
Comparable CN Operating Income (Structurally Adjusted) ** | 7 | 6 |
* | Price/mix includes the impact of certain economic (nondesignated) hedges. After adjusting for the impact of these economic hedges, price/mix increased 2% in the fourth quarter and 1% for the full year. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | We gained global value share and held volume share in nonalcoholic ready-to-drink (NARTD) beverages in the quarter. Additionally, we gained global volume and value share in sparkling and still beverages as well as in the juice and juice drinks, ready-to-drink tea and packaged water categories as we continue to strengthen our brands and our product portfolio across key markets and categories. |
• | Global sparkling beverage volume grew 1% in both the quarter and full year driven by growth in brand Coca-Cola, Sprite and Fanta. Brand Coca-Cola was up 1% in the quarter and grew slightly for the full year, rounding to even. |
• | Global still beverage volume grew 2% in the quarter and 4% for the full year driven by growth in ready-to-drink tea, sports drinks and packaged water. Volume growth in these beverage categories was partially offset by a decline in juice and juice drinks, due in part to price increases to cover higher input costs. |
• | We continue to take steps to strengthen our brand portfolio in fast-growing categories and key markets as evidenced by the addition of Gold Peak tea, FUZE TEA and I LOHAS mineral water to our portfolio of billion-dollar brands, bringing the total number of billion-dollar brands to 20. |
• | Comparable currency neutral net revenues (structurally adjusted) grew 4% in the quarter driven by positive price/mix and the impact of one additional selling day. We delivered favorable price/mix of 2 points, after adjusting for items impacting comparability, primarily attributable to 4 points of positive price/mix in North America driven by our continued rational approach to pricing and supported by incremental media investments and improving commercial execution. |
• | Comparable currency neutral operating income (structurally adjusted) grew 7% in the quarter driven by comparable currency neutral net revenue (structurally adjusted) growth, a slight benefit from commodity costs and efficient management of operating expenses, partially offset by continued investments in our brands including a double-digit increase in media investments. Fluctuations in foreign currency exchange rates resulted in a 7 point headwind on comparable operating income growth during the quarter. |
• | The reported effective tax rates for the quarter and full year were 28.3% and 23.6%, respectively. The underlying annual effective tax rate was 22.5% for the quarter and full year. The variance between the reported rates and the underlying rate was due to the tax effect of various items impacting comparability, separately disclosed in the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. The underlying effective tax rate does not reflect the impact of significant or unusual items and discrete events, which, if and when they occur, are separately recognized in the appropriate period. |
• | Reported EPS was $0.17 and comparable EPS was $0.44 for the quarter. Items impacting comparability reduced reported EPS by a net $0.27 and were primarily related to the impact of changing the exchange rate used to remeasure our Venezuelan subsidiary’s net monetary assets into U.S. dollars, a write-down on concentrate sales receivables from our bottling partner in Venezuela, noncash charges related to refranchising certain territories in North America and costs associated with our previously announced productivity program. Foreign currency was a 10 point headwind on comparable EPS growth during the quarter. |
• | Full-year cash from operations was $10.6 billion, up 1%, primarily due to the efficient management of working capital and cycling incremental pension contributions last year, partially offset by an unfavorable impact from foreign currency exchange rate fluctuations and the deconsolidation of the Company’s Brazilian bottling operations in July 2013. |
• | Full-year net share repurchases totaled $2.6 billion. |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | 3 | 4 | |
Sparkling Beverages | 3 | 3 | |
Still Beverages | 4 | 8 | |
Concentrate Sales | 7 | 3 | |
Price/Mix | (2) | 4 | |
Currency | (9) | (8) | |
Structural Changes | 0 | 0 | |
Reported Net Revenues | (4) | (1) | |
Comparable CN Net Revenues (Structurally Adjusted) * | 5 | 8 | |
Reported Operating Income | (7) | 0 | |
Comparable CN Operating Income * | 14 | 14 |
* | Comparable currency neutral (CN) net revenues (structurally adjusted) and comparable currency neutral operating income are non-GAAP financial measures that exclude or otherwise adjust for items impacting comparability and the impact of changes in foreign currency exchange rates. Additionally, comparable currency neutral net revenues (structurally adjusted) have been adjusted for the impact of structural items. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | Comparable currency neutral net revenues (structurally adjusted) grew 5% in the quarter driven by concentrate sales growth, including the benefit of one additional selling day, partially offset by unfavorable price/mix. The unfavorable price/mix was primarily due to geographic mix. Comparable currency neutral operating income grew 14% driven by comparable currency neutral net revenue growth and timing of operating expenses. |
• | Growth in concentrate sales outpaced growth in unit case sales in the quarter primarily due to timing of shipments in the Middle East & North Africa business unit in the prior year and the impact of one additional selling day. Concentrate sales and unit case sales were mostly in line for the full year. |
• | Unit case volume growth in the quarter resulted in value share gains in total NARTD beverages. Volume growth was relatively balanced with mid single-digit growth in our Southern Africa, Middle East & North Africa and Central, East & West Africa business units. Sparkling beverage volume grew 3%, led by Trademark Coca-Cola, resulting in volume and value share gains in sparkling beverages. Still beverage volume grew 4%, capturing value share in total still beverages as well as in the juice and juice drinks, sports drinks and packaged water categories. |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | (1) | (2) | |
Sparkling Beverages | (2) | (3) | |
Still Beverages | 7 | 1 | |
Concentrate Sales | 0 | (2) | |
Price/Mix | 2 | 4 | |
Currency | (4) | 2 | |
Structural Changes | 0 | 0 | |
Reported Net Revenues | (2) | 4 | |
Comparable CN Net Revenues (Structurally Adjusted) * | 2 | 2 | |
Reported Operating Income | (18) | 0 | |
Comparable CN Operating Income * | (5) | 0 |
* | Comparable currency neutral (CN) net revenues (structurally adjusted) and comparable currency neutral operating income are non-GAAP financial measures that exclude or otherwise adjust for items impacting comparability and the impact of changes in foreign currency exchange rates. Additionally, comparable currency neutral net revenues (structurally adjusted) have been adjusted for the impact of structural items. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | Comparable currency neutral net revenues (structurally adjusted) grew 2% in the quarter driven by positive price/mix and the benefit of one additional selling day. Comparable currency neutral operating income growth trailed comparable currency neutral net revenue (structurally adjusted) growth primarily due to timing of operating expenses. |
• | Europe’s full-year financial performance was impacted by the consolidation of the innocent juice and smoothie business in May 2013, which contributed 2 points of Europe’s full-year price/mix. Additionally, the consolidation of the innocent business unfavorably impacted operating margins due to the higher cost structure associated with finished goods businesses and our level of investment in innocent to continue building and expanding the business. |
• | Growth in concentrate sales outpaced growth in unit case sales in the quarter primarily due to the impact of one additional selling day. Concentrate sales and unit case sales were in line for the full year. |
• | Unit case volume in the quarter continued to be unfavorably impacted by competitive pressures and softness in the macroeconomic environment. The decline in sparkling beverage volume also reflected the continued impact of downsizing our primary future consumption package in key markets to strengthen our price/pack architecture. Still beverage volume grew 7% as we captured value share in total still beverages as well as in the juice and juice drinks and sports drinks categories. |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | 2 | 1 | |
Sparkling Beverages | 1 | 0 | |
Still Beverages | 3 | 6 | |
Concentrate Sales | 4 | 0 | |
Price/Mix | 10 | 8 | |
Currency | (10) | (10) | |
Structural Changes | (5) | (4) | |
Reported Net Revenues | (1) | (6) | |
Comparable CN Net Revenues (Structurally Adjusted) * | 14 | 9 | |
Reported Operating Income | (48) | (20) | |
Comparable CN Operating Income * | 3 | 2 |
* | Comparable currency neutral (CN) net revenues (structurally adjusted) and comparable currency neutral operating income are non-GAAP financial measures that exclude or otherwise adjust for items impacting comparability and the impact of changes in foreign currency exchange rates. Additionally, comparable currency neutral net revenues (structurally adjusted) have been adjusted for the impact of structural items. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | Comparable currency neutral net revenues (structurally adjusted) grew 14% in the quarter driven primarily by a 10% increase in price/mix and the benefit of one additional selling day. The strong price/mix reflects positive pricing and favorable product mix in our Brazil and South Latin business units. Comparable currency neutral operating income growth trailed comparable currency neutral net revenue (structurally adjusted) growth primarily due to increased marketing investments and the impact of the provision enacted in Venezuela early in 2014 that imposes a maximum threshold on profit margins. |
• | Growth in concentrate sales outpaced growth in unit case sales in the quarter primarily due to timing of shipments and the impact of one additional selling day. Concentrate sales and unit case sales were mostly in line for the full year. |
• | Unit case volume growth in the quarter was driven primarily by 5% growth in both our Brazil and Latin Center business units, partially offset by a 1% decline in Mexico. We continue to implement strategies focused on affordability to help mitigate the impact of high inflation and declining consumer confidence in key markets. Sparkling beverage volume grew 1%, led by brand Coca-Cola, resulting in volume and value share gains in sparkling beverages. Growth in still beverage volume was attributable to packaged water, value-added dairy and sports drinks. |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | 1 | 0 | |
Sparkling Beverages | 0 | (1) | |
Still Beverages | 3 | 1 | |
Concentrate Sales | 0 | (1) | |
Price/Mix | 4 | 1 | |
Currency | 0 | 0 | |
Structural Changes | (2) | (1) | |
Reported Net Revenues | 2 | (1) | |
Comparable CN Net Revenues (Structurally Adjusted) * | 5 | 1 | |
Reported Operating Income | (22) | 1 | |
Comparable CN Operating Income * | 7 | 1 |
* | Comparable currency neutral (CN) net revenues (structurally adjusted) and comparable currency neutral operating income are non-GAAP financial measures that exclude or otherwise adjust for items impacting comparability and the impact of changes in foreign currency exchange rates. Additionally, comparable currency neutral net revenues (structurally adjusted) have been adjusted for the impact of structural items. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | Comparable currency neutral net revenues (structurally adjusted) grew 5% in the quarter primarily due to a 4% increase in price/mix and the benefit of one additional selling day. Comparable currency neutral operating income grew 7% reflecting strong comparable currency neutral net revenue (structurally adjusted) growth and a favorable impact from commodities, partially offset by increased brand investments and the impact of structural items. |
• | Growth in concentrate sales lagged growth in unit case sales in the quarter primarily due to timing of shipments, partially offset by the impact of one additional selling day. Concentrate sales and unit case sales were mostly in line for the full year. |
• | A continued rational approach to pricing, incremental media investments and disciplined price/pack strategies drove value share gains in total NARTD beverages, making this the 19th consecutive quarter of value share gains. We also gained volume and value share in sparkling and still beverages as well as in the juice and juice drinks and ready-to-drink tea categories. Brand Coca-Cola grew slightly in the United States in both the quarter and full year. |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | 1 | 5 | |
Sparkling Beverages | 3 | 5 | |
Still Beverages | (1) | 4 | |
Concentrate Sales | 2 | 5 | |
Price/Mix | (4) | (2) | |
Currency | (8) | (6) | |
Structural Changes | 0 | 1 | |
Reported Net Revenues | (10) | (2) | |
Comparable CN Net Revenues (Structurally Adjusted) * | (1) | 3 | |
Reported Operating Income | (10) | (1) | |
Comparable CN Operating Income * | 2 | 4 |
* | Comparable currency neutral (CN) net revenues (structurally adjusted) and comparable currency neutral operating income are non-GAAP financial measures that exclude or otherwise adjust for items impacting comparability and the impact of changes in foreign currency exchange rates. Additionally, comparable currency neutral net revenues (structurally adjusted) have been adjusted for the impact of structural items. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | Comparable currency neutral net revenues (structurally adjusted) declined 1% in the quarter primarily due to unfavorable price/mix partially offset by the benefit of one additional selling day. The unfavorable price/mix was primarily attributable to product and channel mix. Comparable currency neutral operating income growth was ahead of comparable currency neutral net revenue (structurally adjusted) growth primarily due to timing and efficient management of operating expenses. |
• | Growth in concentrate sales outpaced growth in unit case sales in the quarter primarily due to the impact of one additional selling day. Concentrate sales and unit case sales were in line for the full year. |
• | Unit case volume growth in the quarter reflected high single-digit growth in India, partially offset by a 1% decline in Japan and a 3% decline in China. In Japan, sparkling beverage volume grew 2% led by 2% growth in brand Coca-Cola, offset by a 1% decline in still beverage volume. In China, sparkling beverage volume grew 1% driven by 3% growth in brand Coca-Cola, offset by a high single-digit decline in still beverage volume primarily due to industry softness in the juice and juice drinks category. Importantly, despite the unit case volume declines in Japan and China, we gained volume and value share in total NARTD beverages in both of these markets in the quarter. |
Period Ended December 31, 2014 | |||
% Favorable / (Unfavorable) | |||
Three Months Ended | Year Ended | ||
Unit Case Volume | 3 | (2) | |
Reported Volume | 5 | 5 | |
Price/Mix | (4) | (2) | |
Currency | (4) | (2) | |
Structural Changes | (2) | (9) | |
Reported Net Revenues | (5) | (8) | |
Comparable CN Net Revenues (Structurally Adjusted) * | 1 | 3 | |
Reported Operating Income | 77 | (92) | |
Comparable CN Operating Income * | 87 | (13) |
* | Comparable currency neutral (CN) net revenues (structurally adjusted) and comparable currency neutral operating income are non-GAAP financial measures that exclude or otherwise adjust for items impacting comparability and the impact of changes in foreign currency exchange rates. Additionally, comparable currency neutral net revenues (structurally adjusted) have been adjusted for the impact of structural items. For details on these adjustments, refer to the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | Comparable currency neutral net revenues (structurally adjusted) grew 1% in the quarter driven by reported volume growth, including the benefit of one additional selling day, partially offset by unfavorable price/mix. |
• | Comparable currency neutral operating income growth in the quarter was driven by reported volume growth and lower commodity costs. |
• | As discussed during the Company’s December 2014 modeling call, we estimate that the net impact of structural items on full-year 2015 results will be as follows: |
◦ | a slight positive on net revenue growth; |
◦ | a 1 to 2 point headwind on gross profit growth; |
◦ | a 1 point headwind on operating income growth; and |
◦ | a slight headwind on profit before tax growth. |
• | We expect fluctuations in foreign currency exchange rates to have an unfavorable impact on our reported results in 2015. Based on current spot rates, our existing hedge positions, and the cycling of our prior year rates, we estimate that currency will be an approximate 5 point headwind on net revenues and a 7 to 8 point headwind on profit before tax for the full year. For the first quarter of 2015, we estimate that currency will be an approximate 6 point headwind on net revenues and an approximate 8 point headwind on profit before tax. |
• | The underlying effective annual tax rate in 2015 is expected to be 22.5%. |
• | We are targeting full-year 2015 net share repurchases of $2.0 to $3.0 billion. |
• | Given the above, the Company expects full-year comparable currency neutral EPS growth to be mid single digits, roughly in line with our growth rate in 2014. |
• | For details on items impacting comparability in the quarter and for the full year, see the Reconciliation of GAAP and Non-GAAP Financial Measures schedule. |
• | All references to growth rate percentages and share compare the results of the period to those of the prior year comparable period. |
• | “Concentrate sales” represents the amount of concentrates, syrups, beverage bases and powders sold by, or used in finished beverages sold by, the Company to its bottling partners or other customers. |
• | For the Company’s geographic operating segments, “concentrate sales” growth rates shown in the tables represent the percentage change in net revenues attributable to the increase (decrease) in concentrate sales volume (expressed in equivalent unit cases) after considering the impact of structural items. For the Company’s Bottling Investments operating segment, “reported volume” growth rates shown in the table represent the percentage change in net revenues attributable to the increase (decrease) in unit case volume, computed on a reported basis, after considering the impact of structural items. Bottling Investments operating segment data reflects unit case volume for consolidated bottlers only. |
• | “Sparkling beverages” means NARTD beverages with carbonation, including carbonated energy drinks and waters. |
• | “Still beverages” means nonalcoholic beverages without carbonation, including noncarbonated waters, flavored waters and enhanced waters, juices and juice drinks, teas, coffees, sports drinks and noncarbonated energy drinks. |
• | All references to volume and volume percentage changes indicate unit case volume, unless otherwise noted. All volume percentage changes are computed based on average daily sales, unless otherwise noted. “Unit case” means a unit of measurement equal to 24 eight-ounce servings of finished beverage. “Unit case volume” means the number of unit cases (or unit case equivalents) of Company beverages directly or indirectly sold by the Company and its bottling partners to customers. |
• | First quarter 2014 financial results were impacted by one less selling day, and fourth quarter 2014 financial results were impacted by one additional selling day. Unit case volume results for the quarters are not impacted by the variance in selling days due to the average daily sales computation referenced above. |
• | As previously announced, effective Jan. 1, 2014, the Company renamed its Pacific operating segment the Asia Pacific operating segment. |
• | The Company reports its financial results in accordance with accounting principles generally accepted in the United States (GAAP). However, management believes that certain non-GAAP financial measures provide users with additional meaningful financial information that should be considered when assessing the Company’s ongoing performance. Management also uses these non-GAAP financial measures in making financial, operating and planning decisions and in evaluating the Company’s performance. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company’s reported results prepared in accordance with GAAP. The Company’s non-GAAP financial information does not represent a comprehensive basis of accounting. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||
Condensed Consolidated Statements of Income | ||||||||||
(UNAUDITED) | ||||||||||
(In millions except per share data) | ||||||||||
Three Months Ended | ||||||||||
December 31, 2014 | December 31, 2013 | % Change1 | ||||||||
Net Operating Revenues | $ | 10,872 | $ | 11,040 | (2 | ) | ||||
Cost of goods sold | 4,357 | 4,315 | 1 | |||||||
Gross Profit | 6,515 | 6,725 | (3 | ) | ||||||
Selling, general and administrative expenses | 4,338 | 4,319 | 0 | |||||||
Other operating charges | 726 | 301 | 142 | |||||||
Operating Income | 1,451 | 2,105 | (31 | ) | ||||||
Interest income | 158 | 153 | 3 | |||||||
Interest expense | 139 | 149 | (7 | ) | ||||||
Equity income (loss) — net | 239 | 65 | 268 | |||||||
Other income (loss) — net | (633 | ) | 54 | — | ||||||
Income Before Income Taxes | 1,076 | 2,228 | (52 | ) | ||||||
Income taxes | 305 | 520 | (41 | ) | ||||||
Consolidated Net Income | 771 | 1,708 | (55 | ) | ||||||
Less: Net income (loss) attributable to noncontrolling interests | 1 | (2 | ) | — | ||||||
Net Income Attributable to Shareowners of The Coca-Cola Company | $ | 770 | $ | 1,710 | (55 | ) | ||||
Diluted Net Income Per Share2 | $ | 0.17 | $ | 0.38 | (54 | ) | ||||
Average Shares Outstanding — Diluted2 | 4,437 | 4,482 |
1 | Certain growth rates may not recalculate using the rounded dollar amounts provided. |
2 | For the three months ended December 31, 2014 and December 31, 2013, basic net income per share was $0.18 for 2014 and $0.39 for 2013 based on average shares outstanding — basic of 4,375 million for 2014 and 4,410 million for 2013. Basic net income per share and diluted net income per share are calculated based on net income attributable to shareowners of The Coca-Cola Company. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||
Condensed Consolidated Statements of Income | ||||||||||
(UNAUDITED) | ||||||||||
(In millions except per share data) | ||||||||||
Year Ended | ||||||||||
December 31, 2014 | December 31, 2013 | % Change1 | ||||||||
Net Operating Revenues | $ | 45,998 | $ | 46,854 | (2 | ) | ||||
Cost of goods sold | 17,889 | 18,421 | (3 | ) | ||||||
Gross Profit | 28,109 | 28,433 | (1 | ) | ||||||
Selling, general and administrative expenses | 17,218 | 17,310 | (1 | ) | ||||||
Other operating charges | 1,183 | 895 | 32 | |||||||
Operating Income | 9,708 | 10,228 | (5 | ) | ||||||
Interest income | 594 | 534 | 11 | |||||||
Interest expense | 483 | 463 | 4 | |||||||
Equity income (loss) — net | 769 | 602 | 28 | |||||||
Other income (loss) — net | (1,263 | ) | 576 | — | ||||||
Income Before Income Taxes | 9,325 | 11,477 | (19 | ) | ||||||
Income taxes | 2,201 | 2,851 | (23 | ) | ||||||
Consolidated Net Income | 7,124 | 8,626 | (17 | ) | ||||||
Less: Net income (loss) attributable to noncontrolling interests | 26 | 42 | (38 | ) | ||||||
Net Income Attributable to Shareowners of The Coca-Cola Company | $ | 7,098 | $ | 8,584 | (17 | ) | ||||
Diluted Net Income Per Share2 | $ | 1.60 | $ | 1.90 | (16 | ) | ||||
Average Shares Outstanding — Diluted2 | 4,450 | 4,509 |
1 | Certain growth rates may not recalculate using the rounded dollar amounts provided. |
2 | For the years ended December 31, 2014 and December 31, 2013, basic net income per share was $1.62 for 2014 and $1.94 for 2013 based on average shares outstanding — basic of 4,387 million for 2014 and 4,434 million for 2013. Basic net income per share and diluted net income per share are calculated based on net income attributable to shareowners of The Coca-Cola Company. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||
Condensed Consolidated Balance Sheets | |||||||
(UNAUDITED) | |||||||
(In millions except par value) | |||||||
December 31, 2014 | December 31, 2013 | ||||||
ASSETS | |||||||
Current Assets | |||||||
Cash and cash equivalents | $ | 8,958 | $ | 10,414 | |||
Short-term investments | 9,052 | 6,707 | |||||
Total Cash, Cash Equivalents and Short-Term Investments | 18,010 | 17,121 | |||||
Marketable securities | 3,665 | 3,147 | |||||
Trade accounts receivable, less allowances of $331 and $61, respectively | 4,466 | 4,873 | |||||
Inventories | 3,100 | 3,277 | |||||
Prepaid expenses and other assets | 3,066 | 2,886 | |||||
Assets held for sale | 679 | — | |||||
Total Current Assets | 32,986 | 31,304 | |||||
Equity Method Investments | 9,947 | 10,393 | |||||
Other Investments | 3,678 | 1,119 | |||||
Other Assets | 4,407 | 4,661 | |||||
Property, Plant and Equipment — net | 14,633 | 14,967 | |||||
Trademarks With Indefinite Lives | 6,533 | 6,744 | |||||
Bottlers' Franchise Rights With Indefinite Lives | 6,689 | 7,415 | |||||
Goodwill | 12,100 | 12,312 | |||||
Other Intangible Assets | 1,050 | 1,140 | |||||
Total Assets | $ | 92,023 | $ | 90,055 | |||
LIABILITIES AND EQUITY | |||||||
Current Liabilities | |||||||
Accounts payable and accrued expenses | $ | 9,234 | $ | 9,577 | |||
Loans and notes payable | 19,130 | 16,901 | |||||
Current maturities of long-term debt | 3,552 | 1,024 | |||||
Accrued income taxes | 400 | 309 | |||||
Liabilities held for sale | 58 | — | |||||
Total Current Liabilities | 32,374 | 27,811 | |||||
Long-Term Debt | 19,063 | 19,154 | |||||
Other Liabilities | 4,389 | 3,498 | |||||
Deferred Income Taxes | 5,636 | 6,152 | |||||
The Coca-Cola Company Shareowners' Equity | |||||||
Common stock, $0.25 par value; Authorized — 11,200 shares; Issued — 7,040 and 7,040 shares, respectively | 1,760 | 1,760 | |||||
Capital surplus | 13,154 | 12,276 | |||||
Reinvested earnings | 63,408 | 61,660 | |||||
Accumulated other comprehensive income (loss) | (5,777 | ) | (3,432 | ) | |||
Treasury stock, at cost — 2,674 and 2,638 shares, respectively | (42,225 | ) | (39,091 | ) | |||
Equity Attributable to Shareowners of The Coca-Cola Company | 30,320 | 33,173 | |||||
Equity Attributable to Noncontrolling Interests | 241 | 267 | |||||
Total Equity | 30,561 | 33,440 | |||||
Total Liabilities and Equity | $ | 92,023 | $ | 90,055 |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||
Condensed Consolidated Statements of Cash Flows | |||||||
(UNAUDITED) | |||||||
(In millions) | |||||||
Year Ended | |||||||
December 31, 2014 | December 31, 2013 | ||||||
Operating Activities | |||||||
Consolidated net income | $ | 7,124 | $ | 8,626 | |||
Depreciation and amortization | 1,976 | 1,977 | |||||
Stock-based compensation expense | 209 | 227 | |||||
Deferred income taxes | (40 | ) | 648 | ||||
Equity (income) loss — net of dividends | (371 | ) | (201 | ) | |||
Foreign currency adjustments | 415 | 168 | |||||
Significant (gains) losses on sales of assets — net | 831 | (670 | ) | ||||
Other operating charges | 761 | 465 | |||||
Other items | 149 | 234 | |||||
Net change in operating assets and liabilities | (439 | ) | (932 | ) | |||
Net cash provided by operating activities | 10,615 | 10,542 | |||||
Investing Activities | |||||||
Purchases of investments | (17,800 | ) | (14,782 | ) | |||
Proceeds from disposals of investments | 12,986 | 12,791 | |||||
Acquisitions of businesses, equity method investments and nonmarketable securities | (389 | ) | (353 | ) | |||
Proceeds from disposals of businesses, equity method investments and nonmarketable securities | 148 | 872 | |||||
Purchases of property, plant and equipment | (2,406 | ) | (2,550 | ) | |||
Proceeds from disposals of property, plant and equipment | 223 | 111 | |||||
Other investing activities | (268 | ) | (303 | ) | |||
Net cash provided by (used in) investing activities | (7,506 | ) | (4,214 | ) | |||
Financing Activities | |||||||
Issuances of debt | 41,674 | 43,425 | |||||
Payments of debt | (36,962 | ) | (38,714 | ) | |||
Issuances of stock | 1,532 | 1,328 | |||||
Purchases of stock for treasury | (4,162 | ) | (4,832 | ) | |||
Dividends | (5,350 | ) | (4,969 | ) | |||
Other financing activities | (363 | ) | 17 | ||||
Net cash provided by (used in) financing activities | (3,631 | ) | (3,745 | ) | |||
Effect of Exchange Rate Changes on Cash and Cash Equivalents | (934 | ) | (611 | ) | |||
Cash and Cash Equivalents | |||||||
Net increase (decrease) during the year | (1,456 | ) | 1,972 | ||||
Balance at beginning of year | 10,414 | 8,442 | |||||
Balance at end of year | $ | 8,958 | $ | 10,414 |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||
Operating Segments | |||||||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||
Net Operating Revenues | Operating Income (Loss) | Income (Loss) Before Income Taxes | |||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | % Fav. / (Unfav.) | December 31, 2014 | December 31, 2013 | % Fav. / (Unfav.) | December 31, 2014 | December 31, 2013 | % Fav. / (Unfav.) | |||||||||||||||||||||||||
Eurasia & Africa | $ | 631 | $ | 660 | (4 | ) | $ | 226 | $ | 242 | (7 | ) | $ | 232 | $ | 241 | (4 | ) | |||||||||||||||
Europe | 1,245 | 1,269 | (2 | ) | 489 | 598 | (18 | ) | 494 | 605 | (18 | ) | |||||||||||||||||||||
Latin America | 1,251 | 1,266 | (1 | ) | 362 | 699 | (48 | ) | 362 | 707 | (49 | ) | |||||||||||||||||||||
North America | 5,370 | 5,271 | 2 | 432 | 557 | (22 | ) | 40 | 555 | (93 | ) | ||||||||||||||||||||||
Asia Pacific | 1,133 | 1,253 | (10 | ) | 407 | 454 | (10 | ) | 405 | 452 | (10 | ) | |||||||||||||||||||||
Bottling Investments | 1,483 | 1,568 | (5 | ) | (17 | ) | (71 | ) | 77 | 234 | 2 | — | |||||||||||||||||||||
Corporate | 10 | 30 | (66 | ) | (448 | ) | (374 | ) | (20 | ) | (691 | ) | (334 | ) | (107 | ) | |||||||||||||||||
Eliminations | (251 | ) | (277 | ) | 10 | — | — | — | — | — | — | ||||||||||||||||||||||
Consolidated | $ | 10,872 | $ | 11,040 | (2 | ) | $ | 1,451 | $ | 2,105 | (31 | ) | $ | 1,076 | $ | 2,228 | (52 | ) |
Note: | Certain growth rates may not recalculate using the rounded dollar amounts provided. |
• | Intersegment revenues were $162 million for Europe, $14 million for Latin America, $4 million for North America, $57 million for Asia Pacific and $14 million for Bottling Investments. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $25 million for Eurasia and Africa, $109 million for Europe, $20 million for Latin America, $89 million for North America, $26 million for Asia Pacific, $69 million for Bottling Investments and $70 million for Corporate due to charges related to the Company's productivity and reinvestment program as well as other restructuring initiatives. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $10 million for Bottling Investments as a result of the restructuring and transition of the Company's Russian juice operations to an existing joint venture with an unconsolidated bottling partner. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $1 million for Asia Pacific due to a charge associated with certain of the Company's fixed assets. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $15 million for Corporate due to noncapitalizable transaction costs. |
• | Income (loss) before income taxes was reduced by $2 million for Europe and increased by $4 million for Bottling Investments due to the Company's proportionate share of unusual or infrequent items recorded by certain of our equity method investees. |
• | Income (loss) before income taxes was reduced by $389 million for North America due to the refranchising of certain territories. |
• | Income (loss) before income taxes was reduced by $164 million for Corporate due to the remeasurement of the net monetary assets of our local Venezuelan subsidiary into U.S. dollars using the SICAD 2 exchange rate, and for the impairment of a Venezuelan trademark. |
• | Income (loss) before income taxes was reduced by $275 million for Latin America due to a write-down on concentrate sales receivables from our bottling partner in Venezuela. |
• | Income (loss) before income taxes was increased by $46 million for Bottling Investments due to the elimination of intercompany profit resulting from a write-down the Company recorded on concentrate sales receivables from our bottling partner in Venezuela, an equity method investee. |
• | Income (loss) before income taxes was reduced by $32 million for Corporate as a result of a Brazilian bottling entity's majority interest owners exercising their option to acquire from us an additional equity interest at an exercise price less than that of our carrying value. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||||||||||
Operating Segments | ||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||
(In millions) | ||||||||||||||||||
Three Months Ended (continued) |
• | Intersegment revenues were $169 million for Europe, $22 million for Latin America, $3 million for North America, $66 million for Asia Pacific and $17 million for Bottling Investments. |
• | Operating income (loss) and income (loss) before taxes were reduced by $50 million for Europe, $92 million for North America, $10 million for Asia Pacific, $108 million for Bottling Investments and $24 million for Corporate due to charges related to the Company's productivity and reinvestment program as well as other restructuring initiatives. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $5 million for Corporate due to impairment charges recorded on certain of the Company's intangible assets. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $11 million for Asia Pacific due to a charge associated with certain of the Company's fixed assets. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $1 million for Corporate due to transaction costs associated with certain of the Company's bottling partners. |
• | Income (loss) before income taxes was reduced by a net $134 million for Bottling Investments due to the Company's proportionate share of unusual or infrequent items recorded by certain of our equity method investees. |
• | Income (loss) before income taxes was reduced by $30 million for Corporate due to a charge the Company recognized on the early extinguishment of certain long-term debt. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||
Operating Segments | |||||||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||
Year Ended | |||||||||||||||||||||||||||||||||
Net Operating Revenues | Operating Income (Loss) | Income (Loss) Before Income Taxes | |||||||||||||||||||||||||||||||
December 31, 2014 | December 31, 2013 | % Fav. / (Unfav.) | December 31, 2014 | December 31, 2013 | % Fav. / (Unfav.) | December 31, 2014 | December 31, 2013 | % Fav. / (Unfav.) | |||||||||||||||||||||||||
Eurasia & Africa | $ | 2,730 | $ | 2,763 | (1 | ) | $ | 1,084 | $ | 1,087 | 0 | $ | 1,125 | $ | 1,109 | 1 | |||||||||||||||||
Europe | 5,536 | 5,334 | 4 | 2,852 | 2,859 | 0 | 2,892 | 2,923 | (1 | ) | |||||||||||||||||||||||
Latin America | 4,657 | 4,939 | (6 | ) | 2,316 | 2,908 | (20 | ) | 2,319 | 2,920 | (21 | ) | |||||||||||||||||||||
North America | 21,479 | 21,590 | (1 | ) | 2,447 | 2,432 | 1 | 1,633 | 2,434 | (33 | ) | ||||||||||||||||||||||
Asia Pacific | 5,746 | 5,869 | (2 | ) | 2,448 | 2,478 | (1 | ) | 2,464 | 2,494 | (1 | ) | |||||||||||||||||||||
Bottling Investments | 7,039 | 7,676 | (8 | ) | 9 | 115 | (92 | ) | 715 | 679 | 5 | ||||||||||||||||||||||
Corporate | 136 | 154 | (12 | ) | (1,448 | ) | (1,651 | ) | 12 | (1,823 | ) | (1,082 | ) | (68 | ) | ||||||||||||||||||
Eliminations | (1,325 | ) | (1,471 | ) | 10 | — | — | — | — | — | — | ||||||||||||||||||||||
Consolidated | $ | 45,998 | $ | 46,854 | (2 | ) | $ | 9,708 | $ | 10,228 | (5 | ) | $ | 9,325 | $ | 11,477 | (19 | ) |
Note: | Certain growth rates may not recalculate using the rounded dollar amounts provided. |
• | Intersegment revenues were $692 million for Europe, $60 million for Latin America, $17 million for North America, $489 million for Asia Pacific and $67 million for Bottling Investments. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $26 million for Eurasia and Africa, $111 million for Europe, $20 million for Latin America, $281 million for North America, $36 million for Asia Pacific, $211 million for Bottling Investments and $124 million for Corporate due to charges related to the Company's productivity and reinvestment program as well as other restructuring initiatives. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $42 million for Bottling Investments as a result of the restructuring and transition of the Company's Russian juice operations to an existing joint venture with an unconsolidated bottling partner. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $2 million for Asia Pacific due to a charge associated with certain of the Company's fixed assets. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $7 million for Corporate due to a charge related to our indemnification of a previously consolidated entity. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $15 million for Corporate due to noncapitalizable transaction costs. |
• | Income (loss) before income taxes was reduced by $2 million for Europe and $16 million for Bottling Investments due to the Company's proportionate share of unusual or infrequent items recorded by certain of our equity method investees. |
• | Income (loss) before income taxes was reduced by $799 million for North America due to the refranchising of certain territories. |
• | Income (loss) before income taxes was reduced by $275 million for Latin America and $411 million for Corporate due to the remeasurement of the net monetary assets of our local Venezuelan subsidiary into U.S. dollars using the SICAD 2 exchange rate, an impairment of a Venezuelan trademark, and a write-down the Company recorded on the concentrate sales receivables from our bottling partner in Venezuela. |
• | Income (loss) before income taxes was increased by $25 million for Bottling Investments due to the elimination of intercompany profit resulting from a write-down we recorded on the concentrate sales receivables from our bottling partner in Venezuela, an equity method investee, partially offset by our proportionate share of their remeasurement loss. |
• | Income (loss) before income taxes was reduced by $32 million for Corporate as a result of a Brazilian bottling entity's majority interest owners exercising their option to acquire from us an additional equity interest at an exercise price less than that of our carrying value. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||||||||||
Operating Segments | ||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||
(In millions) | ||||||||||||||||||
Year Ended (continued) |
• | Intersegment revenues were $689 million for Europe, $191 million for Latin America, $16 million for North America, $497 million for Asia Pacific and $78 million for Bottling Investments. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $2 million for Eurasia and Africa, $57 million for Europe, $282 million for North America, $26 million for Asia Pacific, $194 million for Bottling Investments and $121 million for Corporate due to charges related to the Company's productivity and reinvestment program as well as other restructuring initiatives. Operating income (loss) and income (loss) before income taxes were increased by $2 million for North America due to the refinement of previously established accruals related to the Company's integration of Coca-Cola Enterprises Inc.'s former North America business. Operating income (loss) and income (loss) before income taxes were increased by $1 million for Asia Pacific and $1 million for Corporate due to the refinement of previously established accruals related to the Company's 2008-2011 productivity initiatives. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $195 million for Corporate due to impairment charges recorded on certain of the Company's intangible assets. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $22 million for Asia Pacific due to charges associated with certain of the Company's fixed assets. |
• | Operating income (loss) and income (loss) before income taxes were reduced by $8 million for Corporate due to transaction costs associated with certain of the Company's bottling partners. |
• | Operating income (loss) and income (loss) before income taxes were increased by $3 million for North America due to the refinement of previously established accruals related to the loss or damage of certain fixed assets as a result of Hurricane Sandy. |
• | Income (loss) before income taxes was increased by $615 million for Corporate due to a gain the Company recognized on the deconsolidation of our Brazilian bottling operations as a result of their combination with an independent bottling partner. |
• | Income (loss) before income taxes was reduced by $9 million for Bottling Investments and $140 million for Corporate due to the devaluation of the Venezuelan bolivar, including our proportionate share of the charge incurred by an equity method investee which has operations in Venezuela. |
• | Income (loss) before income taxes was reduced by a net $114 million for Corporate due to the merger of four of the Company's Japanese bottling partners in which we held equity method investments prior to their merger. |
• | Income (loss) before income taxes was increased by $139 million for Corporate due to a gain the Company recognized as a result of Coca-Cola FEMSA issuing additional shares of its own stock during the period at a per share amount greater than the carrying value of the Company's per share investment. |
• | Income (loss) before income taxes was reduced by a net $159 million for Bottling Investments due to the Company’s proportionate share of unusual or infrequent items recorded by certain of our equity method investees. |
• | Income (loss) before income taxes was reduced by $53 million for Corporate due to charges the Company recognized on the early extinguishment of certain long-term debt. These charges include both the difference between the reacquisition price and the net carrying amount of the debt extinguished as well as hedge accounting adjustments reclassified from accumulated comprehensive income to earnings. |
THE COCA-COLA COMPANY AND SUBSIDIARIES |
Reconciliation of GAAP and Non-GAAP Financial Measures |
(UNAUDITED) |
THE COCA-COLA COMPANY AND SUBSIDIARIES |
Reconciliation of GAAP and Non-GAAP Financial Measures |
(UNAUDITED) |
THE COCA-COLA COMPANY AND SUBSIDIARIES |
Reconciliation of GAAP and Non-GAAP Financial Measures |
(UNAUDITED) |
THE COCA-COLA COMPANY AND SUBSIDIARIES |
Reconciliation of GAAP and Non-GAAP Financial Measures |
(UNAUDITED) |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | ||||||||||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||||||||||
(In millions except per share data) | ||||||||||||||||||||||||||||||||
Three Months Ended December 31, 2014 | ||||||||||||||||||||||||||||||||
Net operating revenues | Cost of goods sold | Gross profit | Gross margin | Selling, general and administrative expenses | Other operating charges | Operating income | Operating margin | |||||||||||||||||||||||||
Reported (GAAP) | $ | 10,872 | $ | 4,357 | $ | 6,515 | 59.9 | % | $ | 4,338 | $ | 726 | $ | 1,451 | 13.3 | % | ||||||||||||||||
Items Impacting Comparability: | ||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | (66 | ) | 66 | |||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | (342 | ) | 342 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | ||||||||||||||||||||||||||
Equity Investees | — | — | — | — | — | — | ||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | ||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | (15 | ) | 15 | |||||||||||||||||||||||||
Other Items | 29 | (75 | ) | 104 | (48 | ) | (303 | ) | 455 | |||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | — | — | ||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 10,901 | $ | 4,282 | $ | 6,619 | 60.7 | % | $ | 4,290 | $ | — | $ | 2,329 | 21.4 | % | ||||||||||||||||
Three Months Ended December 31, 2013 | ||||||||||||||||||||||||||||||||
Net operating revenues | Cost of goods sold | Gross profit | Gross margin | Selling, general and administrative expenses | Other operating charges | Operating income | Operating margin | |||||||||||||||||||||||||
Reported (GAAP) | $ | 11,040 | $ | 4,315 | $ | 6,725 | 60.9 | % | $ | 4,319 | $ | 301 | $ | 2,105 | 19.1 | % | ||||||||||||||||
Items Impacting Comparability: | ||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | (107 | ) | 107 | |||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | (182 | ) | 182 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | ||||||||||||||||||||||||||
Equity Investees | — | — | — | — | — | — | ||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | ||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | (1 | ) | 1 | |||||||||||||||||||||||||
Other Items | (7 | ) | 13 | (20 | ) | 3 | (11 | ) | (12 | ) | ||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | — | — | ||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 11,033 | $ | 4,328 | $ | 6,705 | 60.8 | % | $ | 4,322 | $ | — | $ | 2,383 | 21.6 | % | ||||||||||||||||
Currency Neutral: | ||||||||||||||||||||||||||||||||
Net operating revenues | Cost of goods sold | Gross profit | Selling, general and administrative expenses | Other operating charges | Operating income | |||||||||||||||||||||||||||
% Change — Reported (GAAP) | (2) | 1 | (3) | 0 | 142 | (31) | ||||||||||||||||||||||||||
% Currency Impact | (4) | (2) | (5) | (4) | — | (8) | ||||||||||||||||||||||||||
% Change — Currency Neutral Reported | 2 | 3 | 2 | 4 | — | (24) | ||||||||||||||||||||||||||
% Structural Impact | (2) | (1) | (2) | (1) | — | (3) | ||||||||||||||||||||||||||
% Change — Currency Neutral Reported and Adjusted for Structural Items | 4 | 5 | 4 | 6 | — | (21) | ||||||||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | (1) | (1) | (1) | (1) | — | (2) | ||||||||||||||||||||||||||
% Currency Impact After Considering Items (Non-GAAP) | (4) | (2) | (5) | (4) | — | (7) | ||||||||||||||||||||||||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 3 | 1 | 4 | 3 | — | 5 | ||||||||||||||||||||||||||
% Structural Impact After Considering Items (Non-GAAP) | (2) | (1) | (2) | (1) | — | (2) | ||||||||||||||||||||||||||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP) | 4 | 3 | 5 | 4 | — | 7 |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||||||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||||||||||
(In millions except per share data) | |||||||||||||||||||||||||||||||||||||
Three Months Ended December 31, 2014 | |||||||||||||||||||||||||||||||||||||
Interest expense | Equity income (loss) — net | Other income (loss) — net | Income before income taxes | Income taxes | Effective tax rate | Net income (loss) attributable to noncontrolling interests | Net income attributable to shareowners of The Coca-Cola Company | Diluted net income per share1 | |||||||||||||||||||||||||||||
Reported (GAAP) | $ | 139 | $ | 239 | $ | (633 | ) | $ | 1,076 | $ | 305 | 28.3 | % | $ | 1 | $ | 770 | $ | 0.17 | ||||||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | 66 | — | — | 66 | 0.01 | |||||||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | 342 | 95 | — | 247 | 0.06 | |||||||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Equity Investees | — | (2 | ) | — | (2 | ) | 3 | — | (5 | ) | — | ||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | 421 | 436 | 149 | — | 287 | 0.06 | |||||||||||||||||||||||||||||
Other Items | — | (46 | ) | 170 | 579 | 14 | — | 565 | 0.13 | ||||||||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | (5 | ) | — | 5 | — | ||||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 139 | $ | 191 | $ | (42 | ) | $ | 2,497 | $ | 561 | 22.5 | % | $ | 1 | $ | 1,935 | $ | 0.44 | ||||||||||||||||||
Three Months Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||
Interest expense | Equity income (loss) — net | Other income (loss) — net | Income before income taxes | Income taxes | Effective tax rate | Net income (loss) attributable to noncontrolling interests | Net income attributable to shareowners of The Coca-Cola Company | Diluted net income per share2 | |||||||||||||||||||||||||||||
Reported (GAAP) | $ | 149 | $ | 65 | $ | 54 | $ | 2,228 | $ | 520 | 23.3 | % | $ | (2 | ) | $ | 1,710 | $ | 0.38 | ||||||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | 107 | — | — | 107 | 0.02 | |||||||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | 182 | 60 | — | 122 | 0.03 | |||||||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | 1 | — | (1 | ) | — | ||||||||||||||||||||||||||||
Equity Investees | — | 134 | — | 134 | 12 | — | 122 | 0.03 | |||||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | 1 | — | — | 1 | — | |||||||||||||||||||||||||||||
Other Items | (30 | ) | — | — | 18 | 7 | — | 11 | — | ||||||||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | 15 | — | (15 | ) | — | ||||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 119 | $ | 199 | $ | 54 | $ | 2,670 | $ | 615 | 23.0 | % | $ | (2 | ) | $ | 2,057 | $ | 0.46 | ||||||||||||||||||
Interest expense | Equity income (loss) — net | Other income (loss) — net | Income before income taxes | Income taxes | Net income (loss) attributable to noncontrolling interests | Net income attributable to shareowners of The Coca-Cola Company | Diluted net income per share | ||||||||||||||||||||||||||||||
% Change — Reported (GAAP) | (7) | 268 | — | (52) | (41) | — | (55) | (54) | |||||||||||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | 17 | (4) | — | (6) | (8) | — | (6) | (5) |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
1 | 4,437 million average shares outstanding — diluted |
2 | 4,482 million average shares outstanding — diluted |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | ||||||||||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||||||||||
(In millions except per share data) | ||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | ||||||||||||||||||||||||||||||||
Net operating revenues | Cost of goods sold | Gross profit | Gross margin | Selling, general and administrative expenses | Other operating charges | Operating income | Operating margin | |||||||||||||||||||||||||
Reported (GAAP) | $ | 45,998 | $ | 17,889 | $ | 28,109 | 61.1 | % | $ | 17,218 | $ | 1,183 | $ | 9,708 | 21.1 | % | ||||||||||||||||
Items Impacting Comparability: | ||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | (208 | ) | 208 | |||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | (601 | ) | 601 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | ||||||||||||||||||||||||||
Equity Investees | — | — | — | — | — | — | ||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | ||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | (22 | ) | 22 | |||||||||||||||||||||||||
Other Items | 14 | 13 | 1 | (62 | ) | (352 | ) | 415 | ||||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | — | — | ||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 46,012 | $ | 17,902 | $ | 28,110 | 61.1 | % | $ | 17,156 | $ | — | $ | 10,954 | 23.8 | % | ||||||||||||||||
Year Ended December 31, 2013 | ||||||||||||||||||||||||||||||||
Net operating revenues | Cost of goods sold | Gross profit | Gross margin | Selling, general and administrative expenses | Other operating charges | Operating income | Operating margin | |||||||||||||||||||||||||
Reported (GAAP) | $ | 46,854 | $ | 18,421 | $ | 28,433 | 60.7 | % | $ | 17,310 | $ | 895 | $ | 10,228 | 21.8 | % | ||||||||||||||||
Items Impacting Comparability: | ||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | (383 | ) | 383 | |||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | (494 | ) | 494 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | 2 | (2 | ) | |||||||||||||||||||||||||
Equity Investees | — | — | — | — | — | — | ||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | 2 | (2 | ) | |||||||||||||||||||||||||
Transaction Gains/Losses | 78 | 18 | 60 | (5 | ) | (3 | ) | 68 | ||||||||||||||||||||||||
Other Items | 3 | (68 | ) | 71 | (1 | ) | (19 | ) | 91 | |||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | — | — | ||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 46,935 | $ | 18,371 | $ | 28,564 | 60.9 | % | $ | 17,304 | $ | — | $ | 11,260 | 24.0 | % | ||||||||||||||||
Currency Neutral: | ||||||||||||||||||||||||||||||||
Net operating revenues | Cost of goods sold | Gross profit | Selling, general and administrative expenses | Other operating charges | Operating income | |||||||||||||||||||||||||||
% Change — Reported (GAAP) | (2) | (3) | (1) | (1) | 32 | (5) | ||||||||||||||||||||||||||
% Currency Impact | (2) | (1) | (3) | (2) | — | (6) | ||||||||||||||||||||||||||
% Change — Currency Neutral Reported | 1 | (2) | 2 | 1 | — | 1 | ||||||||||||||||||||||||||
% Structural Impact | (2) | (2) | (2) | (2) | — | (3) | ||||||||||||||||||||||||||
% Change — Currency Neutral Reported and Adjusted for Structural Items | 3 | 0 | 4 | 3 | — | 4 | ||||||||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | (2) | (3) | (2) | (1) | — | (3) | ||||||||||||||||||||||||||
% Currency Impact After Considering Items (Non-GAAP) | (2) | (1) | (3) | (2) | — | (6) | ||||||||||||||||||||||||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 1 | (1) | 2 | 1 | — | 3 | ||||||||||||||||||||||||||
% Structural Impact After Considering Items (Non-GAAP) | (2) | (2) | (2) | (2) | — | (3) | ||||||||||||||||||||||||||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP) | 3 | 1 | 4 | 3 | — | 6 |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||||||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||||||||||
(In millions except per share data) | |||||||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||||||||||||||||||
Interest expense | Equity income (loss) — net | Other income (loss) — net | Income before income taxes | Income taxes | Effective tax rate | Net income (loss) attributable to noncontrolling interests | Net income attributable to shareowners of The Coca-Cola Company | Diluted net income per share1 | |||||||||||||||||||||||||||||
Reported (GAAP) | $ | 483 | $ | 769 | $ | (1,263 | ) | $ | 9,325 | $ | 2,201 | 23.6 | % | $ | 26 | $ | 7,098 | $ | 1.60 | ||||||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | 208 | — | — | 208 | 0.05 | |||||||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | 601 | 191 | — | 410 | 0.09 | |||||||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Equity Investees | — | 18 | — | 18 | 6 | — | 12 | — | |||||||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | 831 | 853 | 296 | — | 557 | 0.13 | |||||||||||||||||||||||||||||
Other Items | — | (25 | ) | 368 | 758 | (41 | ) | — | 799 | 0.18 | |||||||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | (7 | ) | — | 7 | — | ||||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 483 | $ | 762 | $ | (64 | ) | $ | 11,763 | $ | 2,646 | 22.5 | % | $ | 26 | $ | 9,091 | $ | 2.04 | ||||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||||||||
Interest expense | Equity income (loss) — net | Other income (loss) — net | Income before income taxes | Income taxes | Effective tax rate | Net income (loss) attributable to noncontrolling interests | Net income attributable to shareowners of The Coca-Cola Company | Diluted net income per share2 | |||||||||||||||||||||||||||||
Reported (GAAP) | $ | 463 | $ | 602 | $ | 576 | $ | 11,477 | $ | 2,851 | 24.8 | % | $ | 42 | $ | 8,584 | $ | 1.90 | |||||||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | 383 | — | — | 383 | 0.08 | |||||||||||||||||||||||||||||
Productivity & Reinvestment | — | — | — | 494 | 175 | — | 319 | 0.07 | |||||||||||||||||||||||||||||
Productivity Initiatives | — | — | — | (2 | ) | — | — | (2 | ) | — | |||||||||||||||||||||||||||
Equity Investees | — | 159 | — | 159 | 7 | — | 152 | 0.03 | |||||||||||||||||||||||||||||
CCE Transaction | — | — | — | (2 | ) | (1 | ) | — | (1 | ) | — | ||||||||||||||||||||||||||
Transaction Gains/Losses | — | — | (641 | ) | (573 | ) | (307 | ) | — | (266 | ) | (0.06 | ) | ||||||||||||||||||||||||
Other Items | (53 | ) | 9 | 140 | 293 | 53 | — | 240 | 0.05 | ||||||||||||||||||||||||||||
Certain Tax Matters | — | — | — | — | 35 | — | (35 | ) | (0.01 | ) | |||||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 410 | $ | 770 | $ | 75 | $ | 12,229 | $ | 2,813 | 23.0 | % | $ | 42 | $ | 9,374 | $ | 2.08 | |||||||||||||||||||
Interest expense | Equity income (loss) — net | Other income (loss) — net | Income before income taxes | Income taxes | Net income (loss) attributable to noncontrolling interests | Net income attributable to shareowners of The Coca-Cola Company | Diluted net income per share | ||||||||||||||||||||||||||||||
% Change — Reported (GAAP) | 4 | 28 | — | (19) | (23) | (38) | (17) | (16) | |||||||||||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | 18 | (1) | — | (4) | (6) | (38) | (3) | (2) |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
1 | 4,450 million average shares outstanding — diluted |
2 | 4,509 million average shares outstanding — diluted |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||
(UNAUDITED) | |||||
Income Before Income Taxes and Diluted Net Income Per Share: | |||||
Three Months Ended December 31, 2014 | |||||
Income before income taxes | Diluted net income per share | ||||
% Change — Reported (GAAP) | (52) | (54) | |||
% Currency Impact | (19) | (18) | |||
% Change — Currency Neutral Reported | (33) | (37) | |||
% Structural Impact | (2) | N/A | |||
% Change — Currency Neutral Reported and Adjusted for Structural Items | (31) | N/A | |||
% Change — After Considering Items (Non-GAAP) | (6) | (5) | |||
% Currency Impact After Considering Items (Non-GAAP) | (10) | (10) | |||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 4 | 5 | |||
% Structural Impact After Considering Items (Non-GAAP) | (2) | N/A | |||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP) | 6 | N/A | |||
Year Ended December 31, 2014 | |||||
Income before income taxes | Diluted net income per share | ||||
% Change — Reported (GAAP) | (19) | (16) | |||
% Currency Impact | (9) | (10) | |||
% Change — Currency Neutral Reported | (9) | (6) | |||
% Structural Impact | (2) | N/A | |||
% Change — Currency Neutral Reported and Adjusted for Structural Items | (8) | N/A | |||
% Change — After Considering Items (Non-GAAP) | (4) | (2) | |||
% Currency Impact After Considering Items (Non-GAAP) | (7) | (7) | |||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 3 | 5 | |||
% Structural Impact After Considering Items (Non-GAAP) | (2) | N/A | |||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP) | 5 | N/A | |||
Note: | Certain columns may not add due to rounding. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Net Operating Revenues by Segment: | |||||||||||||||||||||||||||||
Three Months Ended December 31, 2014 | |||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Eliminations | Consolidated | |||||||||||||||||||||
Reported (GAAP) | $ | 631 | $ | 1,245 | $ | 1,251 | $ | 5,370 | $ | 1,133 | $ | 1,483 | $ | 10 | $ | (251 | ) | $ | 10,872 | ||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Other Items | — | — | — | 28 | — | — | 1 | — | 29 | ||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 631 | $ | 1,245 | $ | 1,251 | $ | 5,398 | $ | 1,133 | $ | 1,483 | $ | 11 | $ | (251 | ) | $ | 10,901 | ||||||||||
Three Months Ended December 31, 2013 | |||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Eliminations | Consolidated | |||||||||||||||||||||
Reported (GAAP) | $ | 660 | $ | 1,269 | $ | 1,266 | $ | 5,271 | $ | 1,253 | $ | 1,568 | $ | 30 | $ | (277 | ) | $ | 11,040 | ||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Other Items | — | — | — | (2 | ) | — | — | (5 | ) | — | (7 | ) | |||||||||||||||||
After Considering Items (Non-GAAP) | $ | 660 | $ | 1,269 | $ | 1,266 | $ | 5,269 | $ | 1,253 | $ | 1,568 | $ | 25 | $ | (277 | ) | $ | 11,033 | ||||||||||
Currency Neutral Net Operating Revenues by Segment: | |||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Eliminations | Consolidated | |||||||||||||||||||||
% Change — Reported (GAAP) | (4) | (2) | (1) | 2 | (10) | (5) | (66) | — | (2) | ||||||||||||||||||||
% Currency Impact | (9) | (4) | (10) | 0 | (8) | (4) | (21) | — | (4) | ||||||||||||||||||||
% Change — Currency Neutral Reported | 5 | 2 | 9 | 2 | (1) | (1) | (44) | — | 2 | ||||||||||||||||||||
% Structural Impact | 0 | 0 | (5) | (2) | 0 | (2) | 0 | — | (2) | ||||||||||||||||||||
% Change — Currency Neutral Reported and Adjusted for Structural Items | 5 | 2 | 14 | 4 | (1) | 1 | (44) | — | 4 | ||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | (4) | (2) | (1) | 2 | (10) | (5) | (57) | — | (1) | ||||||||||||||||||||
% Currency Impact After Considering Items (Non-GAAP) | (9) | (4) | (10) | 0 | (8) | (4) | (3) | — | (4) | ||||||||||||||||||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 5 | 2 | 9 | 3 | (1) | (1) | (55) | — | 3 | ||||||||||||||||||||
% Structural Impact After Considering Items (Non-GAAP) | 0 | 0 | (5) | (2) | 0 | (2) | 0 | — | (2) | ||||||||||||||||||||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items(Non-GAAP) | 5 | 2 | 14 | 5 | (1) | 1 | (55) | — | 4 |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||
Net Operating Revenues by Segment: | |||||||||||||||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Eliminations | Consolidated | |||||||||||||||||||||
Reported (GAAP) | $ | 2,730 | $ | 5,536 | $ | 4,657 | $ | 21,479 | $ | 5,746 | $ | 7,039 | $ | 136 | $ | (1,325 | ) | $ | 45,998 | ||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Other Items | — | — | — | 37 | — | (20 | ) | (3 | ) | — | 14 | ||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 2,730 | $ | 5,536 | $ | 4,657 | $ | 21,516 | $ | 5,746 | $ | 7,019 | $ | 133 | $ | (1,325 | ) | $ | 46,012 | ||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Eliminations | Consolidated | |||||||||||||||||||||
Reported (GAAP) | $ | 2,763 | $ | 5,334 | $ | 4,939 | $ | 21,590 | $ | 5,869 | $ | 7,676 | $ | 154 | $ | (1,471 | ) | $ | 46,854 | ||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity & Reinvestment | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||
Transaction Gains/Losses | — | — | 5 | — | 73 | — | — | — | 78 | ||||||||||||||||||||
Other Items | — | — | — | — | — | — | 3 | — | 3 | ||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 2,763 | $ | 5,334 | $ | 4,944 | $ | 21,590 | $ | 5,942 | $ | 7,676 | $ | 157 | $ | (1,471 | ) | $ | 46,935 | ||||||||||
Currency Neutral Net Operating Revenues by Segment: | |||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Eliminations | Consolidated | |||||||||||||||||||||
% Change — Reported (GAAP) | (1) | 4 | (6) | (1) | (2) | (8) | (12) | — | (2) | ||||||||||||||||||||
% Currency Impact | (8) | 2 | (10) | 0 | (6) | (2) | 0 | — | (2) | ||||||||||||||||||||
% Change — Currency Neutral Reported | 8 | 2 | 5 | 0 | 4 | (7) | (12) | — | 1 | ||||||||||||||||||||
% Structural Impact | 0 | 0 | (4) | (1) | 1 | (9) | 0 | — | (2) | ||||||||||||||||||||
% Change — Currency Neutral Reported and Adjusted for Structural Items | 8 | 2 | 9 | 1 | 3 | 3 | (12) | — | 3 | ||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | (1) | 4 | (6) | 0 | (3) | (9) | (16) | — | (2) | ||||||||||||||||||||
% Currency Impact After Considering Items (Non-GAAP) | (8) | 2 | (10) | 0 | (6) | (1) | (4) | — | (2) | ||||||||||||||||||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 8 | 2 | 5 | 0 | 3 | (7) | (12) | — | 1 | ||||||||||||||||||||
% Structural Impact After Considering Items (Non-GAAP) | 0 | 0 | (4) | (1) | 0 | (10) | 0 | — | (2) | ||||||||||||||||||||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items(Non-GAAP) | 8 | 2 | 9 | 1 | 3 | 3 | (12) | — | 3 |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||
Operating Income (Loss) by Segment: | |||||||||||||||||||||||||||||||||
Three Months Ended December 31, 2014 | |||||||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Consolidated | ||||||||||||||||||||||||||
Reported (GAAP) | $ | 226 | $ | 489 | $ | 362 | $ | 432 | $ | 407 | $ | (17 | ) | $ | (448 | ) | $ | 1,451 | |||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | 66 | — | 66 | |||||||||||||||||||||||||
Productivity & Reinvestment | 25 | 109 | 20 | 89 | 26 | 3 | 70 | 342 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | — | — | 15 | 15 | |||||||||||||||||||||||||
Other Items | — | — | 275 | 151 | 1 | 9 | 19 | 455 | |||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 251 | $ | 598 | $ | 657 | $ | 672 | $ | 434 | $ | 61 | $ | (344 | ) | $ | 2,329 | ||||||||||||||||
Three Months Ended December 31, 2013 | |||||||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Consolidated | ||||||||||||||||||||||||||
Reported (GAAP) | $ | 242 | $ | 598 | $ | 699 | $ | 557 | $ | 454 | $ | (71 | ) | $ | (374 | ) | $ | 2,105 | |||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | 102 | 5 | 107 | |||||||||||||||||||||||||
Productivity & Reinvestment | — | 50 | — | 92 | 10 | 6 | 24 | 182 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | — | — | 1 | 1 | |||||||||||||||||||||||||
Other Items | — | — | — | (19 | ) | 11 | — | (4 | ) | (12 | ) | ||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 242 | $ | 648 | $ | 699 | $ | 630 | $ | 475 | $ | 37 | $ | (348 | ) | $ | 2,383 | ||||||||||||||||
Currency Neutral Operating Income (Loss) by Segment: | |||||||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Consolidated | ||||||||||||||||||||||||||
% Change — Reported (GAAP) | (7) | (18) | (48) | (22) | (10) | 77 | (20) | (31) | |||||||||||||||||||||||||
% Currency Impact | (10) | (3) | (9) | 0 | (11) | 0 | 0 | (8) | |||||||||||||||||||||||||
% Change — Currency Neutral Reported | 3 | (15) | (39) | (22) | 0 | 77 | (20) | (24) | |||||||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | 4 | (8) | (6) | 7 | (8) | 66 | 2 | (2) | |||||||||||||||||||||||||
% Currency Impact After Considering Items (Non-GAAP) | (10) | (3) | (9) | 0 | (10) | (21) | 2 | (7) | |||||||||||||||||||||||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 14 | (5) | 3 | 7 | 2 | 87 | 0 | 5 |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||||||||||||||||||||||||||||
(UNAUDITED) | |||||||||||||||||||||||||||||||||
(In millions) | |||||||||||||||||||||||||||||||||
Operating Income (Loss) by Segment: | |||||||||||||||||||||||||||||||||
Year Ended December 31, 2014 | |||||||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Consolidated | ||||||||||||||||||||||||||
Reported (GAAP) | $ | 1,084 | $ | 2,852 | $ | 2,316 | $ | 2,447 | $ | 2,448 | $ | 9 | $ | (1,448 | ) | $ | 9,708 | ||||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | 208 | — | 208 | |||||||||||||||||||||||||
Productivity & Reinvestment | 26 | 111 | 20 | 281 | 36 | 3 | 124 | 601 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||
CCE Transaction | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||
Transaction Gains/Losses | — | — | — | — | — | — | 22 | 22 | |||||||||||||||||||||||||
Other Items | — | — | 275 | 61 | 1 | 39 | 39 | 415 | |||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 1,110 | $ | 2,963 | $ | 2,611 | $ | 2,789 | $ | 2,485 | $ | 259 | $ | (1,263 | ) | $ | 10,954 | ||||||||||||||||
Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Consolidated | ||||||||||||||||||||||||||
Reported (GAAP) | $ | 1,087 | $ | 2,859 | $ | 2,908 | $ | 2,432 | $ | 2,478 | $ | 115 | $ | (1,651 | ) | $ | 10,228 | ||||||||||||||||
Items Impacting Comparability: | |||||||||||||||||||||||||||||||||
Asset Impairments/Restructuring | — | — | — | — | — | 188 | 195 | 383 | |||||||||||||||||||||||||
Productivity & Reinvestment | 2 | 57 | — | 282 | 26 | 6 | 121 | 494 | |||||||||||||||||||||||||
Productivity Initiatives | — | — | — | — | (1 | ) | — | (1 | ) | (2 | ) | ||||||||||||||||||||||
CCE Transaction | — | — | — | (2 | ) | — | — | — | (2 | ) | |||||||||||||||||||||||
Transaction Gains/Losses | — | — | 5 | — | 55 | — | 8 | 68 | |||||||||||||||||||||||||
Other Items | — | — | — | 66 | 22 | (1 | ) | 4 | 91 | ||||||||||||||||||||||||
After Considering Items (Non-GAAP) | $ | 1,089 | $ | 2,916 | $ | 2,913 | $ | 2,778 | $ | 2,580 | $ | 308 | $ | (1,324 | ) | $ | 11,260 | ||||||||||||||||
Currency Neutral Operating Income (Loss) by Segment: | |||||||||||||||||||||||||||||||||
Eurasia & Africa | Europe | Latin America | North America | Asia Pacific | Bottling Investments | Corporate | Consolidated | ||||||||||||||||||||||||||
% Change — Reported (GAAP) | 0 | 0 | (20) | 1 | (1) | (92) | 12 | (5) | |||||||||||||||||||||||||
% Currency Impact | (12) | 2 | (12) | 0 | (8) | (4) | 1 | (6) | |||||||||||||||||||||||||
% Change — Currency Neutral Reported | 11 | (2) | (8) | 1 | 7 | (88) | 12 | 1 | |||||||||||||||||||||||||
% Change — After Considering Items (Non-GAAP) | 2 | 2 | (10) | 0 | (4) | (16) | 5 | (3) | |||||||||||||||||||||||||
% Currency Impact After Considering Items (Non-GAAP) | (12) | 2 | (12) | 0 | (8) | (3) | 0 | (6) | |||||||||||||||||||||||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 14 | 0 | 2 | 1 | 4 | (13) | 4 | 3 |
Note: | Certain columns may not add due to rounding. Certain growth rates may not recalculate using the rounded dollar amounts provided. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | |||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | |||||||
(UNAUDITED) | |||||||
Operating Expense Leverage: | |||||||
Three Months Ended December 31, 2014 | |||||||
Operating income | Gross profit | Operating expense leverage1 | |||||
% Change — Reported (GAAP) | (31) | (3) | (28) | ||||
% Change — Currency Neutral Reported | (24) | 2 | (25) | ||||
% Change — Currency Neutral Reported and Adjusted for Structural Items | (21) | 4 | (24) | ||||
% Change — After Considering Items (Non-GAAP) | (2) | (1) | (1) | ||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 5 | 4 | 1 | ||||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP) | 7 | 5 | 2 | ||||
Year Ended December 31, 2014 | |||||||
Operating income | Gross profit | Operating expense leverage1 | |||||
% Change — Reported (GAAP) | (5) | (1) | (4) | ||||
% Change — Currency Neutral Reported | 1 | 2 | (1) | ||||
% Change — Currency Neutral Reported and Adjusted for Structural Items | 4 | 4 | 0 | ||||
% Change — After Considering Items (Non-GAAP) | (3) | (2) | (1) | ||||
% Change — Currency Neutral After Considering Items (Non-GAAP) | 3 | 2 | 1 | ||||
% Change — Currency Neutral After Considering Items and Adjusted for Structural Items (Non-GAAP) | 6 | 4 | 2 | ||||
Note: | Certain rows may not add due to rounding. |
THE COCA-COLA COMPANY AND SUBSIDIARIES | ||||||||||
Reconciliation of GAAP and Non-GAAP Financial Measures | ||||||||||
(UNAUDITED) | ||||||||||
(In millions) | ||||||||||
Purchases and Issuances of Stock: | ||||||||||
Year Ended December 31, 2014 | Year Ended December 31, 2013 | |||||||||
Reported (GAAP) | ||||||||||
Issuances of Stock | $ | 1,532 | $ | 1,328 | ||||||
Purchases of Stock for Treasury | (4,162 | ) | (4,832 | ) | ||||||
Net Change in Stock Issuance Receivables1 | (14 | ) | — | |||||||
Net Change in Treasury Stock Payables2 | 38 | (5 | ) | |||||||
Net Treasury Share Repurchases (Non-GAAP) | $ | (2,606 | ) | $ | (3,509 | ) |
1 | Represents the net change in receivables related to employee stock options exercised but not settled prior to the end of the quarter. |
2 | Represents the net change in payables for treasury shares repurchased but not settled prior to the end of the quarter. |