Coca-Cola opened Wall Street trading strongly today, up 3.6%. This performance was driven by the release of its third-quarter 2025 results today, which exceeded expectations in terms of earnings and revenue, even though the company cautioned that demand for its soft drinks remains weak.

Third-quarter data showed global unit sales increased 1%. Net revenues grew 5% to $12.5 billion, while organic (non-GAAP) revenues grew 6%. Revenue performance, the Atlanta-based company's official press release emphasizes, "recorded 6% growth in price/mix, while concentrate sales remained flat."

Operating margin was 32% and comparable operating margin (non-GAAP) was 31.9%. The expansion in comparable operating margin (non-GAAP), the statement adds, "was driven by organic revenue growth (non-GAAP) and effective cost management, partially offset by increased marketing investments and unfavorable currency factors."

Earnings per share: EPS increased 30% to $0.86, including a negative currency effect of 4 points. Comparable (non-GAAP) EPS increased 6% to $0.82, including a negative currency effect of 6 points. In summary, Coca-Cola reported third-quarter net income attributable to shareholders of $3.7 billion, or 86 cents per share, up from $2.85 billion, or 66 cents per share, a year earlier. Adjusted EPS came in at 82 cents, well above the 78 cents expected.

Net revenue grew 5%, organic revenue (non-GAAP) grew 6%, operating income increased a whopping 59% to just under $4 billion, while comparable operating income at constant currency (non-GAAP) grew 15%.

Operating cash flow and free cash flow (non-GAAP) for the year to date were $3.7 billion and $2.4 billion, respectively, reflecting the $6.1 billion contingent consideration payment made in the first quarter in connection with the acquisition of Fairlife in 2020. Free cash flow for the year to date was $8.5 billion.

For the full year 2025, based on the current macroeconomic environment, the company expects organic revenue growth (non-GAAP) of between 5% and 6%. Regarding comparable net revenue (non-GAAP), the company expects a negative impact of 1% to 2% "due to foreign exchange developments as well as a negative impact of approximately 1% due to acquisitions, divestitures, and structural changes."

The company's operations are primarily local, the official statement explains, "however, they are subject to global trade dynamics, which may impact certain components of the company's cost structure in its markets. At this time, the company expects the impact to be manageable."

The company expects to deliver comparable currency EPS (non-GAAP) growth of approximately 8% and expects comparable EPS (non-GAAP) growth of approximately 3% to $2.88 in 2024. Coca-Cola also "expects to generate free cash flow of at least $9.8 billion, up from $9.5 billion previously estimated." This amount consists of cash flow from operations of approximately $12 billion, net of capital expenditures of approximately $2.2 billion.

"While the overall environment remains challenging, we have maintained our flexibility, adjusting plans where necessary and investing in growth," said James Quincey , Chairman and CEO of The Coca-Cola Company. "By offering a broad selection across our full beverage portfolio and leveraging the unique strengths of our franchising model, we are gaining traction and strengthening our leadership position. We are confident we can achieve our 2025 targets while also working toward our longer-term goals."