Revenue Growth Acceleration
Total revenue grew 12.1% YoY to $12.47B in Q1 FY2026, up from $11.13B in Q1 FY2025, reflecting strong top-line momentum across the business driven by pricing power and volume gains.
Source: 10-Q Income Statement
Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Coca-Cola delivered a strong Q1 FY2026 with revenue surging 12.1% YoY to $12.47B, net income rising 17.8% to $3.92B, and operating cash flow swinging to a positive $2.02B from a negative $5.20B in the prior year period.
Revenue
$12.47B
+12.07% YoY
EPS (Diluted)
$0.91
+18.18% YoY
Gross Margin
63.0%
+0.4 pts YoY
Operating Income
$4.36B
+19.13% YoY
Source: SEC XBRL
Coca Cola (KO) reported Q1 FY2026 revenue of $12.47B, up 12.1% year over year. Operating margin was 35.0%, up 2.1 points from 32.9% a year earlier. Operating cash flow was $2.02B. KO's fiscal Q1 FY2026 corresponds to calendar Q2 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 0.97 | 0.96 | Beat +1.0% |
| Mar 2026This filing | 0.86 | 0.84 | Beat +2.9% |
| Dec 2025 | 0.58 | 0.58 | Miss -0.1% |
| Sep 2025 | 0.82 | 0.80 | Beat +2.4% |
Adjusted (non-GAAP) EPS of $0.86 versus the $0.84 analyst consensus — a +2.9% beat for Mar 2026. Analyst consensus is quoted on the adjusted (non-GAAP) basis the street uses. GAAP diluted EPS for this quarter was $0.91.
Compiled by AI from this SEC filing
Total revenue grew 12.1% YoY to $12.47B in Q1 FY2026, up from $11.13B in Q1 FY2025, reflecting strong top-line momentum across the business driven by pricing power and volume gains.
Source: 10-Q Income Statement
Gross margin improved modestly to 62.96% from 62.59%, while operating margin expanded meaningfully by ~207 basis points to 34.95% from 32.88%, indicating effective cost discipline relative to revenue growth. SG&A grew only 7.4% versus revenue growth of 12.1%, demonstrating operating leverage.
Source: 10-Q Income Statement & Key Ratios
Operating cash flow swung dramatically from -$5.20B in Q1 FY2025 to +$2.02B in Q1 FY2026, a YoY improvement of $7.22B, signaling a significant normalization in working capital dynamics after the prior year's cash outflows.
Source: 10-Q Cash Flow Statement
Current assets rose 16.1% YoY to $30.39B while current liabilities fell 6.0% to $22.38B, pushing the current ratio to 1.36x. Cash and equivalents grew 25.6% YoY to $10.57B, reflecting improved liquidity. Stockholders' equity surged 28.4% to $33.63B.
Source: 10-Q Balance Sheet
Coca-Cola paid $2.28B in dividends in Q1 FY2026 (vs. $89M in Q1 FY2025) and repurchased $477M in shares (vs. $370M), underscoring its commitment to returning capital to shareholders even as it maintains strong liquidity.
Source: 10-Q Cash Flow Statement
Compiled by AI from this SEC filing · 1 high, 3 medium, 1 low
As a global beverage company generating significant revenue outside the United States, Coca-Cola is highly exposed to foreign currency fluctuations. Adverse movements in key currencies can materially impact reported revenues and earnings. The 12.1% revenue growth may partially mask underlying organic growth rates when currency headwinds are present.
Source: 10-Q Income Statement & Balance Sheet
Cost of revenue grew 11.0% YoY to $4.62B, reflecting ongoing input cost inflation in key commodities such as sugar, aluminum, and PET plastic. While gross margin held relatively stable at 62.96%, sustained commodity price increases could compress margins if pricing power weakens.
Source: 10-Q Income Statement
Dividends paid surged to $2.28B in Q1 FY2026 from just $89M in Q1 FY2025, a 2,462.9% increase, which may reflect timing of annual dividend payments. This level of cash outflow, if sustained, could constrain financial flexibility and limit reinvestment capacity.
Source: 10-Q Cash Flow Statement
Total assets of $104.22B against stockholders' equity of $33.63B implies significant leverage on the balance sheet. While the current ratio of 1.36x is adequate, the company carries substantial long-term obligations that could become burdensome in a rising interest rate environment.
Source: 10-Q Balance Sheet
ROA stands at only 3.77% despite strong net income of $3.92B, reflecting the capital-intensive and asset-heavy nature of Coca-Cola's global operations. This limits the company's ability to generate outsized returns relative to its total asset base of $104.22B.
Source: 10-Q Key Ratios & Balance Sheet
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 12.47 $B | 11.13 $B | +12.07% |
Cost of Revenue $B | 4.62 $B | 4.16 $B | +10.98% |
Gross Profit $B | 7.85 $B | 6.97 $B | +12.72% |
Operating Income $B | 4.36 $B | 3.66 $B | +19.13% |
Net Income $B | 3.92 $B | 3.33 $B | +17.84% |
EPS (Basic) $ | 0.91 $ | 0.77 $ | +18.18% |
EPS (Diluted) $ | 0.91 $ | 0.77 $ | +18.18% |
SG&A Expense $B | 3.47 $B | 3.23 $B | +7.36% |
Answers draw on this SEC filing and the data on this page
In 2026-Q3, The Coca-Cola Company delivered 7% revenue growth to $13.38B and expanded its operating margin to 34.9%, driven by 5% worldwide unit case volume growth and favorable pricing and currency impacts.
Coca-Cola delivered strong FY2025 results with revenue rising 1.9% to $47.9B, while net income surged 23.3% to $13.1B and operating margin expanded sharply to 28.7%, reflecting disciplined cost management and improved profitability.
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