Coca Cola Income Statement

Coca-Cola Company is the world’s largest beverage company, refreshing consumers with than 500 sparkling and still brands. The company and its bottling partners are dedicated and focused on five key areas. There are profit, people, portfolio, partners and planet. Coca-Cola has the scale but lacks the agility to adapt.

The profit margin ratio demonstrates the ability of a company to increase the percentage of net income earned for every dollar of sales. For example: “this ratio shows the percentage of each sales dollar earned as net income”. (Harrison Jr., Horngen, Tomas, 2013) The Hershey Company was able to increase the profit margin ratio from 10 percent in 2012 to 11 percent in 2013. The increase in profit margin from the previous year 2012 shows that the performance of the company is increasing which means that revenue is increasing or expenses are decreasing. Furthermore, The Hershey Company is managing their performance efficiently and this is directly reflected in profit margin ratio.

Gross profit margin ratio will define an organizations financial health by revealing the proportion of money left over from revenues after accounting for the cost of goods sold (Investopedia). The gross profit margin literally measures how much of every dollar of sales a company is able to actually keep (Answers, 2009).

Increasing gross margin is a positive parameter and shows the firm’s developing healthy. Gross margin is calculated by subtracting the cost of goods with the total sales revenue and then dividing it by the total

There are many competitors in the food and beverage industry in such that it can be classified as a fragmented industry. The Coca-Cola Company is one of PepsiCo’s largest competitors on the beverage side. The companies compete for the highest profits and market share. The constant battle between these two companies often benefits the consumers with sales and promotions, new products and better quality. There are numerous generic brand sodas that are offered to compete with the brand names that PepsiCo offers. The rivalry intensifies due to number of substitute products that are offered. The pressure in the industry is fierce due to the large number of competitors.

Coca cola is one of the largest multinational soft drink companies in the world. It does its production in Cambodia, Ethiopia, Kenya, Mozambique, Namibia, Nepal and many other countries. The functional area is two type. They are internal and external.

The analysis of the changes in the net margin shows that the profitability of Dunkin’ Brands has reduced over the three-year period. The net profit margin rises from 42.69% in 2013 to 45.26% in 2014 only to reduce to 39.41 in 2015. This shows that the company generates lower net incomes than it did in the previous years. This could be a result of an increase in costs and could account for the decrease in net income even as the revenue of the company

The net profit margin helps investors understand how profitable a company is. This explains how much profit a company has per dollar of sales. ABC SDN. BHD. has a net profit margin of

Here the profit margin is 30% while it was 28.70% in previous year. This means each dollar of sales revenue produced 30% in profits. There is not much difference compared to previous

Profitability ratios are used to assess a business’s ability to generate earnings as compared to its expenses and other relevant costs incurred during a specific period of time. For the majority of these ratios, a higher value relative to a competitor’s ratio or the same ratio from a previous period indicates that the company is doing well. The gross profit margin is a measurement of a company 's manufacturing and distribution efficiency during the production process. A company that boasts a higher gross profit margin than its competitors and industry is more efficient. KO has a gross profit margin of 63.86% compared to DPS’s 60.20%. I

The graph above is displaying the gross profit margin of Bank of America, Morgan Stanley, and JP Morgan Chase. All three corporations suffered declines in their gross profit margins from 2007 through 2009. This decrease is in relation to the economic downfall that occurred during that time period. These corporations suffered decreases in revenue. While their revenues decreased, their cost of goods sold continued to increase. They were not able to account for the increase in expenses until year 2010 when their revenues picked back up.

Coca-Cola shows impressive performance in profitable growth. Coca-Cola’s current gross profit margin is very high, which is good because this indicates that the company has done an exceptional job in cutting costs. Coca-Cola is making considerable effort in making use of costs of goods sold. The management team at Coca-Cola is effectively using raw materials, labor, and manufacturing supplies. According to Muhtar Kent, it

The Net Profit Margin in 2012 was 10.5% while in 2013 it was 66.6%. This increase in the Net Profit Margin can be attributed to the increase in net profits after taxes despite the fact that there was a slight decrease in revenues.

The gross profit margin appears to be more stable compared to the sales value and volumes that usually show mobility. However, a small change in gross profit margin indicates a substantial change in overall profits.

Coca-Cola Company is the world’s largest beverage company with almost 500 different types of brands, such as Coca-Cola, Diet Coke, Fanta, Sprite and etc… Coca-Cola is founded is Georgia 1886 by the pharmacist call Dr. John Smith. Dr John Smith caramel color liquid and carried out to the street with a jug. The drink was accepted by the customers and they commented this drink is special. So they sold it through the pharmacy for 5 cent per glass.