The Coca-Cola Company (NYSE: KO) is expected to report its fiscal 2011 first-quarter financial results on Tuesday, April 26, 2011. In fiscal 2010, reported earnings per share exceeded analysts' consensus estimates by margins of 6.70 percent, 2.90 percent and 3.40 percent in the first three quarters. The company met expectations in the last quarter of 2010 with an EPS of $0.72.
The Coca-Cola Company is the world's largest beverage company. Led by Coca-Cola, reputed to be the world's most valuable brand, the company's portfolio features 14 billion dollar brands including Diet Coke, Fanta, Sprite, Coca-Cola Zero, vitaminwater, Powerade, Minute Maid, Simply and Georgia. Globally, the company is the top provider of sparkling beverages, juices and juice drinks and ready-to-drink teas and coffees.
For the fourth quarter 2010, reported net revenue was $10.5 billion, with comparable currency neutral net revenue also at $10.5 billion, up 45 percent, including a 37 percent benefit from structural changes, principally related to the CCE transaction. For the full year, reported net revenue was $35.1 billion, with comparable currency neutral net revenue of $34.5 billion, up 14percent, including an 8 percent benefit from structural changes, principally related to the CCE transaction. Fourth quarter reported EPS was $2.46, with comparable EPS at $0.72, up 9 percent, including a $0.02 dilutive impact to comparable EPS as a result of the Coca-ColaEnterprises (CCE) transaction. Full-year reported EPS was $5.06, with comparable EPS at $3.49, up 14 percent.
The company returned $7.2 billion to shareowners in 2010 through $4.1 billion in dividends and $3.1 billion in share repurchases. In 2011, the company expects to repurchase $2.0 billion to $2.5 billion in stock over the course. The board of directors approved the company's 49th consecutive annual dividend increase during the quarter, raising the quarterly dividend 7 percent from 44 cents to 47 cents per common share. This is equivalent to an annual dividend of $1.88 per share, up from $1.76 per share in 2010. The first quarterly dividend was payable April 1, 2011, to shareowners of record as of March 15, 2011.
As part of the 125th anniversary of The Coca-Cola Co., The Coca-Cola Foundation donated $1 million to the Community Foundation of Greater Atlanta to support Atlanta Mayor Kasim Reed's "Centers of Hope" initiative, an effort to re-open the city's previously closed recreation centers and provide educational tutoring programs.
Analysts have estimated an average EPS of $0.87 for the first quarter of fiscal 2011. The average revenue estimate for the quarter has been increased to $10.54 billion from $7.52 billion in the prior year's period. This is an estimated increase of approximately 40 percent. In the last 52 weeks, the stock has been trading in the range of $49.47 to $67.84. The target price of the stock is estimated between the range of $66 and $75 with a mean target price of $72.20.
