What it does
The company states that it is a total beverage company operating through concentrate operations and finished product operations. It owns or licenses and markets beverage brands across sparkling drinks; water, sports, coffee and tea; juice, value-added dairy and plant-based beverages; and emerging beverages. Its concentrate operations sell concentrates, syrups and certain finished beverages to authorized bottlers. Its finished product operations sell sparkling soft drinks and other finished beverages to retailers, distributors and wholesalers. The filing also states that the company has entered alcohol beverage categories in numerous markets outside the United States.
Source: CocaCola Company (The) Form 10-K for fiscal 2025, Item 1 — sec.gov
How it makes money
The company states that concentrate operations typically generate net operating revenues by selling beverage concentrates, syrups, including fountain syrups, and certain finished beverages to authorized bottling operations. Bottlers use concentrates or syrups to produce finished beverages, which they package and sell to retailers, sometimes through wholesalers or other bottlers. Finished product operations generate net operating revenues from sales of finished beverages to retailers, distributors and wholesalers. The filing states that finished product operations generally generate higher net operating revenues but lower gross profit margins than concentrate operations. Concentrate operations are included in geographic operating segments, while consolidated bottling and distribution operations are primarily in Bottling Investments.
Source: CocaCola Company (The) Form 10-K for fiscal 2025, Item 1 — sec.gov
Customers and geography
The company states that its branded beverage products are available in more than 200 countries and territories through independent bottling partners, distributors, wholesalers and retailers, alongside consolidated bottling and distribution operations. Its customers include authorized bottlers that buy concentrates and syrups, as well as retailers, distributors and wholesalers that buy finished beverages. The filing lists EMEA, Latin America, North America and Asia Pacific as geographic operating segments, plus Bottling Investments. It states that the five largest independent bottlers represented 44% of worldwide unit case volume in 2025 and that bottlers are independent contractors rather than the company’s agents.
Source: CocaCola Company (The) Form 10-K for fiscal 2025, Item 1 — sec.gov
Competition
The filing states that the commercial beverage industry is highly competitive, including global, regional, local and smaller companies. It identifies PepsiCo, Inc. as a primary competitor in many countries. Other significant competitors named in the filing include Nestlé S.A., Keurig Dr Pepper Inc., Danone S.A., Suntory Beverage & Food Limited, Anheuser-Busch InBev, Kirin Holdings, Heineken N.V., Diageo plc and Red Bull GmbH. The company also states that it competes with regional and local companies, companies selling microbrands through e-commerce, and, in some markets, retailers’ store or private-label beverage brands.
Source: CocaCola Company (The) Form 10-K for fiscal 2025, Item 1 — sec.gov
Key risks
- Unfavorable general economic and geopolitical conditions could negatively impact financial results.
- Increased competition could hurt the business.
- If the company is not successful in its innovation activities, financial results may be negatively affected.
- Changes in the retail landscape or the loss of key customers could adversely affect financial results.
- If the company is unable to expand its business in emerging and developing markets, growth could be negatively affected.
- Disruption of the supply chain, including increased commodity, raw material, packaging, energy, transportation and other input costs, may adversely affect financial condition or results of operations.
Source: CocaCola Company (The) Form 10-K for fiscal 2025, Item 1A — sec.gov
People and operations
The company had 65,900 employees as of December 31, 2025. The filing states that approximately 8,900 employees were located in the United States and that the decline in total employees was primarily due to 2025 divestiture activity. Through its divisions and subsidiaries, the company is party to numerous collective bargaining agreements; approximately 400 North America employees were covered by such agreements at year-end. The company states that sales of ready-to-drink beverages are somewhat seasonal, with the second and third calendar quarters historically having the highest sales volumes, and that weather conditions may affect beverage sales volume.
Source: CocaCola Company (The) Form 10-K for fiscal 2025, Item 1 — sec.gov