Coca-Cola Bottling Co. Consolidated COKE expects to release its financial results for the second quarter of 2015 on Aug 4, 2015. The company is the largest independent bottler of products of The Coca-Cola Company KO in the U.S.
Last quarter, Coca-Cola Bottling posted a year-over-year earnings increase of 52.8%.
Revenue management, distribution cost management, product innovation and beverage portfolio expansion have remained the company’s core strengths over many of the past quarters. We believe these growth initiatives will help to drive financial results in the to-be-reported quarter. Meanwhile, the company continues to focus on pricing and volume increase.
On May 13, Coca-Cola Bottling signed a non-binding letter of intent with The Coca-Cola Company to expand its franchise territory. The transaction is expected to close by fall 2015.
According to the letter, Coca-Cola Bottling Co. will be given exclusive distribution rights in additional territories of Delaware, the District of Columbia, Illinois, Indiana, Kentucky, Maryland, North Carolina, Ohio, Pennsylvania, Virginia and West Virginia.
As a result, Coca-Cola Bottling will serve major markets of Baltimore, MD; Alexandria, Norfolk and Richmond, VA; Cincinnati, Columbus and Dayton, OH; Indianapolis, IN and Washington, D.C.
These transactions are part of the franchise territory expansion agreement between the company and The Coca-Cola Company.
Expansion of franchise territories is expected to boost Coca-Cola Bottling’s sales and profits in the upcoming quarters.
Other Stocks to Consider
Some stocks in the beverage industry worth considering include Cott Corp. COT, and Dr Pepper Snapple Group, Inc. DPS. While Cott sports a Zacks Rank #1 (Strong Buy), Dr Pepper Snapple carries a Zacks Rank #2 (Buy).
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