Coca-Cola Consolidated (NASDAQ: COKE) grows Q2 sales while margins tighten
Rhea-AI Filing Summary
Coca-Cola Consolidated, Inc. reported strong top-line growth for the second quarter ended July 3, 2026, with net sales rising 10.6% to $2.1 billion and volume up 7.6%. Sparkling and Still categories grew 9.7% and 11.5% in net sales, supported by zero-sugar, flavor, sports drink and premium water brands, plus favorable Fourth of July timing.
Gross profit increased 4.8% to $778.4 million, but gross margin declined 210 basis points to 37.9% as elevated aluminum costs added about $45 million of input expense. Income from operations was essentially flat at $271.3 million, while second-quarter net income fell 15.2% to $158.8 million, hurt by higher interest expense and non-cash fair value adjustments. For the first half of 2026, income from operations grew 10.2% to $508.9 million and operating cash flows were $420.6 million. The company invested approximately $147 million in capital expenditures, repaid $275 million of term-loan debt early, and expects full-year 2026 capital expenditures of about $300 million.
Positive
- Q2 2026 net sales grew 10.6% to $2.1 billion, with volume up 7.6% and first-half operating cash flow reaching $420.6 million, supporting $275 million of early term-loan repayments.
Negative
- Profitability compressed despite strong sales, as Q2 gross margin fell 210 basis points to 37.9% and net income declined 15.2% to $158.8 million, driven by higher aluminum costs, interest expense and fair value adjustments.
Filing Explained
At July 3, cash was $171,687 thousand against $100,000 thousand of current debt and $2,413,112 thousand of long-term debt, with a $500,130 thousand stockholders’ deficit.
Form 8-K reports specified material events; this filing furnishes Coca-Cola Consolidated’s completed second-quarter and first-half 2026 results through
Its
The first-half financing cash flows also include
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Q2 2026 net sales: $2.1 billion
Q2 2026 volume: 97.6 million cases
Q2 2026 gross margin: 37.9%
+5 more
8 metrics
Q2 2026 net sales
$2.1 billion
Second quarter 2026 net sales, up 10.6% versus Q2 2025
Q2 2026 volume
97.6 million cases
Second quarter 2026 volume, up 7.6% versus Q2 2025
Q2 2026 gross margin
37.9%
Second quarter 2026 gross margin, down 210 basis points versus Q2 2025
Q2 2026 net income
$158.8 million
Second quarter 2026 net income, down 15.2% versus Q2 2025
First half 2026 income from operations
$508.9 million
Income from operations for the first half of 2026, up 10.2% versus first half 2025
First half 2026 operating cash flows
$420.6 million
Net cash provided by operating activities in the first half of 2026
Early term-loan repayments H1 2026
$275 million
Total year-to-date early repayments of term loan principal in the first half of 2026
Long-term debt at July 3, 2026
$2,413,112
Long-term debt balance as of July 3, 2026 (in thousands of dollars)
Key Terms
non-GAAP financial measures, fair value adjustment of acquisition related contingent consideration, commodity derivative instruments, operating margin, +2 more
6 terms
non-GAAP financial measures financial
"includes selected non-GAAP financial measures, such as “adjusted” results"
Non-GAAP financial measures are numbers companies use to show their financial performance that exclude certain expenses or income. They help investors see how the company might perform without one-time costs or other unusual items, giving a different perspective from official reports. However, since they can be adjusted, they don’t always tell the full story and should be looked at alongside standard financial figures.
commodity derivative instruments financial
"Fair value adjustments for commodity derivative instruments"
Contracts whose value is tied to physical goods like oil, metals, grain or natural gas, allowing parties to agree now on prices or payouts for those goods to be delivered or settled later. Think of them like a price lock or an agreed bet on the future cost of a commodity: businesses use them to protect against big swings in input costs, while investors use them to gain exposure or speculate. They matter because they can reduce or increase portfolio risk quickly and often involve leverage, magnifying gains or losses.
operating margin financial
"Operating margin for the second quarter of 2026 was 13.2%"
Operating margin shows how much profit a company makes from its core business activities after paying for costs like wages and materials. It’s useful because it tells you how efficiently a company is running—higher margins mean it keeps more money from each dollar of sales, which can indicate better management or stronger products.
standard physical case financial
"Volume is measured on a standard physical case basis"
cash flows from operating activities financial
"Net cash provided by operating activities"
Cash flows from operating activities are the actual cash a company receives and pays as a result of its core business — sales to customers, payments to suppliers and employees, and other day‑to‑day transactions. Investors care because this is the clearest measure of whether the business’s normal operations generate enough real cash to fund growth, service debt, and pay dividends; think of it like a household’s paycheck and bills, not one‑time sales or loans.
Earnings Snapshot
Q2 2026 net sales: $2.1 billion · Guidance included
Second quarter and first half of fiscal 2026
Q2 2026 net sales
$2.1 billion
up 10.6% versus Q2 2025
Q2 2026 net income
$158.8 million
down 15.2% versus Q2 2025
Q2 2026 gross margin
37.9%
down 210 basis points versus Q2 2025
First half 2026 income from operations
$508.9 million
up 10.2% versus first half 2025
First half 2026 net sales
$3,899.1 million
up 13.5% versus first half 2025
First half 2026 operating cash flows
$420.6 million
versus $406.2 million in first half 2025
Guidance
The company expects fiscal 2026 capital expenditures of approximately $300 million.
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
How did Coca-Cola Consolidated (COKE) perform in Q2 2026 on revenue and volume?
Coca-Cola Consolidated reported Q2 2026 net sales of $2.1 billion, up 10.6%, with volume increasing 7.6% versus Q2 2025. Both Sparkling and Still categories contributed, with net sales up 9.7% and 11.5%, respectively.
What were Coca-Cola Consolidated (COKE) earnings and margins in Q2 2026?
In Q2 2026, net income was $158.8 million, down 15.2% year over year, and gross margin was 37.9%, down 210 basis points. Income from operations was $271.3 million, essentially flat versus $272.1 million a year earlier.
How did Coca-Cola Consolidated (COKE) perform in the first half of 2026?
For the first half of 2026, income from operations was $508.9 million, up 10.2%, and net income was $270.4 million. Net sales reached $3.9 billion, and results included six additional selling days compared with the first half of 2025.
What were Coca-Cola Consolidated (COKE) cash flow and debt actions in the first half of 2026?
Coca-Cola Consolidated generated $420.6 million of cash flows from operations in the first half of 2026. The company invested about $147 million in capital expenditures and made $275 million of early repayments on a term loan facility.
How are higher aluminum costs affecting Coca-Cola Consolidated (COKE)?
Higher aluminum costs added approximately $45 million of input expenses in Q2 2026, outpacing pricing actions. This pressure contributed to a 210-basis-point decline in gross margin and a 150-basis-point decrease in reported operating margin versus Q2 2025.
What capital spending does Coca-Cola Consolidated (COKE) expect for 2026?
Coca-Cola Consolidated expects fiscal 2026 capital expenditures of approximately $300 million. In the first half of 2026, the company had already invested about $147 million in property, plant and equipment to support operations and growth initiatives.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): August 5, 2026
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
| (Address of principal executive offices) | (Zip Code) | |||||||||||||
Registrant’s telephone number, including area code: (980) 392-8298
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02. Results of Operations and Financial Condition.
On August 5, 2026, Coca-Cola Consolidated, Inc. (the “Company”) issued a news release reporting its financial results for the second quarter ended July 3, 2026 and the first half of fiscal 2026. A copy of the news release is furnished as Exhibit 99.1 hereto and is incorporated herein by reference.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit No. | Description | Incorporated by Reference or Filed/Furnished Herewith | ||||||||||||
| 99.1 | News release issued on August 5, 2026, reporting the Company’s financial results for the second quarter ended July 3, 2026 and the first half of fiscal 2026. | Furnished herewith. | ||||||||||||
| 104 | Cover Page Interactive Data File – the cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | Filed herewith. | ||||||||||||
The information in this Current Report on Form 8-K, including Exhibit 99.1 attached hereto, is being furnished and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in any such filing.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| COCA-COLA CONSOLIDATED, INC. | ||||||||||||||
Date: August 5, 2026 | By: | /s/ Matthew J. Blickley | ||||||||||||
| Matthew J. Blickley Chief Financial Officer and Chief Accounting Officer | ||||||||||||||
Exhibit 99.1
 | ||||||||||||||
| News Release | ||||||||||||||
Coca-Cola Consolidated Reports
Second Quarter and First Half 2026 Results
■Second quarter of 2026 net sales increased 11% versus the second quarter of 2025.
■Gross profit in the second quarter of 2026 was $778 million, an increase of 5% versus the second quarter of 2025. On an adjusted(a) basis, gross profit was $788 million, an increase of 6%(b).
■Income from operations for the second quarter of 2026 was $271 million, which was flat compared to the second quarter of 2025. On an adjusted(a) basis, income from operations increased by $15 million, or 6%.
■For the first half of 2026, income from operations was $509 million, an increase of $47 million, or 10%; adjusted(a) income from operations increased 4%.
Key Results
Second Quarter | First Half | |||||||||||||||||||||||||||||||||||||
| (in millions) | 2026 | 2025 | Change | 2026 | 2025 | Change | ||||||||||||||||||||||||||||||||
Volume(1) | 97.6 | 90.7 | 7.6% | 184.6 | 167.4 | 10.3% | ||||||||||||||||||||||||||||||||
| Net sales | $2,052.4 | $1,855.5 | 10.6% | $3,899.1 | $3,435.5 | 13.5% | ||||||||||||||||||||||||||||||||
| Gross profit | $778.4 | $742.5 | 4.8% | $1,505.5 | $1,369.6 | 9.9% | ||||||||||||||||||||||||||||||||
| Gross margin | 37.9 | % | 40.0 | % | 38.6 | % | 39.9 | % | ||||||||||||||||||||||||||||||
| Income from operations | $271.3 | $272.1 | (0.3)% | $508.9 | $461.9 | 10.2% | ||||||||||||||||||||||||||||||||
| Operating margin | 13.2 | % | 14.7 | % | 13.1 | % | 13.4 | % | ||||||||||||||||||||||||||||||
| Beverage Sales | Second Quarter | First Half | ||||||||||||||||||||||||||||||||||||
| (in millions) | 2026 | 2025 | Change | 2026 | 2025 | Change | ||||||||||||||||||||||||||||||||
| Sparkling bottle/can | $1,184.3 | $1,080.0 | 9.7% | $2,274.1 | $2,013.8 | 12.9% | ||||||||||||||||||||||||||||||||
| Still bottle/can | $697.9 | $626.1 | 11.5% | $1,303.0 | $1,135.2 | 14.8% | ||||||||||||||||||||||||||||||||
(1) Volume is measured on a standard physical case basis and is used to standardize differing package configurations delivered via direct store delivery.
Second Quarter and First Half 2026 Review
CHARLOTTE, August 5, 2026 – Coca‑Cola Consolidated, Inc. (NASDAQ: COKE) today reported operating results for the second quarter ended July 3, 2026 and the first half of fiscal 2026.
“We delivered a very strong second quarter, with volume growth of 7.6% and revenue growth of 10.6%, as enthusiasm around America250™ and the FIFA World Cup helped drive robust demand across our portfolio,” said J. Frank Harrison, III, Chairman and Chief Executive Officer. “While driving strong operating results, we remained focused on improving the strength of our balance sheet, paying down $275 million of our debt in the first half of the year. I could not be more proud of our team for their steady focus on excellence every day, which is evident in the continued strength of our business results.”
Volume was up 7.6% in the second quarter of 2026 and up 10.3% in the first half of the year, or 7.1% on an adjusted(a) basis for the first half of 2026. Our Sparkling category volume increased 7.0% in the second quarter of 2026 and 9.4% in the first half of 2026, or 6.2% on an adjusted(a) basis. Sparkling volume growth reflected broad-based gains across the portfolio, led by our zero-sugar and flavor offerings. Still category volume increased 9.4% in the second quarter of 2026 and 12.9% in the first half of 2026, or 9.8% on an adjusted(a) basis. The Still category volume growth was driven by strong performance across many brands, including Core Power, Powerade, smartwater and Monster. Dasani casepack water, which carries a lower net selling price as compared to other Still products, also contributed to a portion of the growth within our Still category. In addition, total volume in the second quarter of 2026 was also higher as compared to the second quarter of 2025 due to the timing of the Fourth of July holiday, which we estimate impacted total volume by approximately 1.0%.
Net sales increased 10.6% to $2.1 billion in the second quarter of 2026. The growth in net sales was primarily the result of our volume growth and annual pricing actions, as well as a shift in the timing of the Fourth of July holiday. Sparkling and Still net sales increased 9.7% and 11.5%, respectively, in the second quarter of 2026 compared to the second quarter of 2025. The increase in Sparkling category net sales was driven primarily by sales of multi-pack, take-home aluminum can packages sold within our large store, club and value channels. Net sales of our Still products were especially strong in our convenience and value store channels.
Gross profit in the second quarter of 2026 was $778.4 million, an increase of $35.9 million, or 4.8%. On an adjusted(a) basis, gross profit increased $47.3 million, or 6.4%. Gross margin in the second quarter of 2026 decreased 210 basis points to 37.9%. Adjusted(a) gross margin in the second quarter of 2026 decreased 150 basis points to 38.4%. The reduction in gross margin resulted primarily from an increase in aluminum costs, which was caused by geopolitical conflicts, supply constraints and the impact of elevated tariffs. These elevated aluminum costs resulted in approximately $45 million in additional input costs compared to the second quarter of 2025, which outpaced our annual pricing actions.
“Solid operational execution drove strong second quarter results, despite continued macroeconomic uncertainty and higher input costs that continued to pressure gross margins,” said Dave Katz, President and Chief Operating Officer. “Our fifth consecutive quarter of market share growth was led by our Sparkling, particularly zero-sugar and flavors, and Sports Drink categories. As we look to the back half of the year, we remain focused on delivering affordability to consumers while driving strong marketplace execution to continue the commercial momentum we have built. We will also cycle our incremental investment in front-line teammates from last year, which we expect will moderate operating expenses growth for the remainder of the year. I remain confident in our team that we will carry this momentum throughout the balance of the year and deliver a strong 2026.”
Selling, delivery and administrative (“SD&A”) expenses in the second quarter of 2026 increased $36.7 million, or 7.8%. SD&A expenses as a percentage of net sales decreased to 24.7% in the second quarter of 2026 from 25.4% in the second quarter of 2025. The increase in SD&A expenses was primarily driven by an additional investment in the base wages of our front-line teammates, which became effective at the beginning of the third quarter of 2025. The growth in SD&A expenses was also driven by an increase in labor costs related to annual wage adjustments, higher employee benefit costs and elevated fuel costs. In addition, increased volume in the second quarter was also a driver of variable expenses during the quarter. SD&A expenses in the first half of 2026 increased $88.9 million or 9.8%. Approximately $25.0 million of the increase was related to the six additional days in the first half of 2026.
Income from operations in the second quarter of 2026 was $271.3 million, compared to $272.1 million in the second quarter of 2025, a decrease of $0.7 million, or 0.3%. On an adjusted(a) basis, income from operations in the second quarter of 2026 was $284.9 million, an increase of $14.9 million. Operating margin for the second quarter of 2026 was 13.2% as compared to 14.7% for the second quarter of 2025, a decrease of 150 basis points. Adjusted(a) operating margin for the second quarter of 2026 was 13.9% as compared to 14.6% for the second quarter of 2025, a decrease of 70 basis points. For the first half of 2026, income from operations increased $47.0 million, or 10.2%. The six additional selling days in the first half of 2026 accounted for approximately $30.0 million of the increase in income from operations.
Net income in the second quarter of 2026 was $158.8 million, compared to $187.4 million in the second quarter of 2025, a decline of $28.6 million, or 15.2%. On an adjusted(a) basis, net income in the second quarter of 2026 was $187.7 million, compared to $195.2 million in the second quarter of 2025, a decrease of $7.5 million, or 3.8%. Net income in the second quarter of 2026 was adversely impacted by non-cash, fair value adjustments to both our acquisition related contingent consideration and commodity hedging instruments, as well as an increase in net interest expense.
Net income for the first half of 2026 was $270.4 million, compared to $291.0 million in the first half of 2025, a decline of $20.6 million, or 7.1%. Net income for the first half of 2026 was adversely impacted by an increase in net interest expense and non-cash, fair value adjustments to our acquisition related contingent consideration. These decreases in net income were offset by the six additional days in the first half of 2026, which increased net income by approximately $22.6 million during the period. Income tax expense in the first half of 2026 was $96.0 million, compared to $101.5 million in the first half of 2025, resulting in an effective income tax rate of approximately 26% for both periods.
Cash flows from operations for the first half of 2026 were $420.6 million, compared to $406.2 million for the first half of 2025. During the first half of 2026, we invested approximately $147 million in capital expenditures. In fiscal year 2026, we expect capital expenditures to be approximately $300 million. During the second quarter of 2026, we made early repayments of $125 million of principal on one of our term loans, for total year-to-date early term loan repayments of $275 million.
As noted above, the first quarter of 2026 included six extra days as compared to the first quarter of 2025. The fourth quarter of 2026 will include six fewer days as compared to the fourth quarter of 2025. The full fiscal years of 2026 and 2025 have the same number of days.
(a) The discussion of the operating results for the second quarter ended July 3, 2026 and the first half of 2026 includes selected non-GAAP financial information, such as “adjusted” results. The schedules in this news release reconcile such non-GAAP financial measures to the most directly comparable GAAP financial measures.
(b) All comparisons are to the corresponding period in the prior year unless specified otherwise.
| CONTACTS: | ||||||||
| Brian K. Little (Media) | Matt Blickley (Investors) | |||||||
| Vice President, Corporate Communications Officer | Chief Financial Officer and Chief Accounting Officer | |||||||
| (980) 378-5537 | (704) 557-4910 | |||||||
| Brian.Little@cokeconsolidated.com | Matt.Blickley@cokeconsolidated.com | |||||||
About Coca-Cola Consolidated, Inc.
Headquartered in Charlotte, N.C., Coca‑Cola Consolidated (NASDAQ: COKE) is the largest Coca‑Cola bottler in the United States. We make, sell and distribute beverages of The Coca‑Cola Company, and other partner companies, in more than 300 brands and flavors across 14 states and the District of Columbia, to approximately 60 million consumers.
For over 124 years, we have been deeply committed to the consumers, customers and communities we serve and passionate about the broad portfolio of beverages and services we offer. Our Purpose is to honor God in all we do, to serve others, to pursue excellence and to grow profitably.
More information about the Company is available at www.cokeconsolidated.com. Follow Coca‑Cola Consolidated on Facebook, X, Instagram and LinkedIn.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this news release are “forward-looking statements” subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties which we expect will or may occur in the future and may impact our business, financial condition and results of operations. The words “anticipate,” “believe,” “expect,” “intend,” “project,” “may,” “will,” “should,” “could” and similar expressions are intended to identify those forward-looking statements. These forward-looking statements reflect the Company’s best judgment based on current information, and, although we base these statements on circumstances that we believe to be reasonable when made, there can be no assurance that future events will not affect the accuracy of such forward-looking information. As such, the forward-looking statements are not guarantees of future performance, and actual results may vary materially from the projected results and expectations discussed in this news release. Factors that might cause the Company’s actual results to differ materially from those anticipated in forward-looking statements include, but are not limited to: increased costs (including due to inflation or uncertainty around tariffs) or disruption, unavailability or shortages of raw materials, fuel and other supplies; the reliance on purchased finished products from external sources; changes in public and consumer perception and preferences, including concerns related to product safety and sustainability, artificial ingredients, brand reputation and obesity; changes in government regulations related to nonalcoholic beverages, including regulations related to obesity, public health, artificial ingredients, recycling, sustainability, product safety and benefit programs, including supplemental nutrition assistance programs; decreases from historic levels of marketing funding support provided to us by The Coca‑Cola Company and other beverage companies; material changes in the performance requirements for marketing funding support or our inability to meet such requirements; decreases from historic levels of advertising, marketing and product innovation spending by The Coca‑Cola Company and other beverage companies, or advertising campaigns that are negatively perceived by the public; any failure of the several Coca‑Cola system governance entities of which we are a participant to function efficiently or in our best interest and any failure or delay of ours to receive anticipated benefits from these governance entities; provisions in our beverage distribution and manufacturing agreements with The Coca‑Cola Company that could delay or prevent a change in control of us or a sale of our Coca‑Cola distribution or manufacturing businesses; the concentration of our capital stock ownership; our inability to meet requirements under our beverage distribution and manufacturing agreements; changes in the inputs used to calculate our acquisition related contingent consideration liability; technology failures or cyberattacks on our information technology systems or our effective response to technology failures or cyberattacks on our third-party service providers’, business partners’, customers’, suppliers’ or other third parties’ information technology systems; unfavorable changes in the general economy; changes in trade policies, including the imposition of, or increase in, tariffs on imported goods; the concentration risks among our customers and suppliers; lower than expected net pricing of our products resulting from continued and increased customer and competitor consolidations and marketplace competition; the effect of changes in our level of debt, borrowing costs and credit ratings on our access to capital and credit markets, operating flexibility and ability to obtain additional financing to fund future needs; the failure to attract, train and retain qualified employees while controlling labor costs and other labor issues; the failure to maintain productive relationships with our employees covered by collective bargaining agreements, including failing to renegotiate collective bargaining agreements; changes in accounting standards; our use of estimates and assumptions; changes in tax laws, disagreements with tax authorities or additional tax liabilities; changes in legal contingencies; natural disasters, changing weather patterns and unfavorable weather, or the increased frequency of any such events due to climate change, and public expectations around combatting climate change or legislative or regulatory responses to such change. These and other factors are discussed in the Company’s regulatory filings with the United States Securities and Exchange Commission, including those in “Item 1A. Risk Factors” of the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025. The forward-looking statements contained in this news release speak only as of this date, and the Company does not assume any obligation to update them, except as may be required by applicable law.
###
 | FINANCIAL STATEMENTS CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) | |||||||
| Second Quarter | First Half | |||||||||||||||||||||||||
| (in thousands, except per share data) | 2026 | 2025 | 2026 | 2025 | ||||||||||||||||||||||
| Net sales | $ | 2,052,420 | $ | 1,855,519 | $ | 3,899,088 | $ | 3,435,496 | ||||||||||||||||||
| Cost of sales | 1,274,007 | 1,113,023 | 2,393,595 | 2,065,896 | ||||||||||||||||||||||
| Gross profit | 778,413 | 742,496 | 1,505,493 | 1,369,600 | ||||||||||||||||||||||
| Selling, delivery and administrative expenses | 507,074 | 470,412 | 996,630 | 907,696 | ||||||||||||||||||||||
| Income from operations | 271,339 | 272,084 | 508,863 | 461,904 | ||||||||||||||||||||||
| Interest expense, net | 30,481 | 5,948 | 62,544 | 12,822 | ||||||||||||||||||||||
| Other expense, net | 25,738 | 13,144 | 79,980 | 56,617 | ||||||||||||||||||||||
| Income before taxes | 215,120 | 252,992 | 366,339 | 392,465 | ||||||||||||||||||||||
| Income tax expense | 56,299 | 65,605 | 95,962 | 101,467 | ||||||||||||||||||||||
| Net income | $ | 158,821 | $ | 187,387 | $ | 270,377 | $ | 290,998 | ||||||||||||||||||
| Basic net income per share: | ||||||||||||||||||||||||||
| Common Stock | $ | 2.39 | $ | 2.15 | $ | 4.06 | $ | 3.34 | ||||||||||||||||||
| Weighted average number of Common Stock shares outstanding | 56,517 | 76,969 | 56,517 | 77,048 | ||||||||||||||||||||||
| Class B Common Stock | $ | 2.39 | $ | 2.15 | $ | 4.06 | $ | 3.34 | ||||||||||||||||||
| Weighted average number of Class B Common Stock shares outstanding | 10,047 | 10,047 | 10,047 | 10,047 | ||||||||||||||||||||||
| Diluted net income per share: | ||||||||||||||||||||||||||
| Common Stock | $ | 2.38 | $ | 2.15 | $ | 4.06 | $ | 3.34 | ||||||||||||||||||
| Weighted average number of Common Stock shares outstanding – assuming dilution | 66,649 | 87,157 | 66,649 | 87,236 | ||||||||||||||||||||||
| Class B Common Stock | $ | 2.38 | $ | 2.15 | $ | 4.05 | $ | 3.33 | ||||||||||||||||||
| Weighted average number of Class B Common Stock shares outstanding – assuming dilution | 10,132 | 10,188 | 10,132 | 10,188 | ||||||||||||||||||||||
| FINANCIAL STATEMENTS CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||||||
| (in thousands) | July 3, 2026 | December 31, 2025 | ||||||||||||
| ASSETS | ||||||||||||||
| Current Assets: | ||||||||||||||
| Cash and cash equivalents | $ | 171,687 | $ | 281,918 | ||||||||||
| Trade accounts receivable, net | 695,679 | 574,601 | ||||||||||||
| Other accounts receivable | 181,923 | 125,086 | ||||||||||||
| Inventories | 371,185 | 336,401 | ||||||||||||
| Prepaid expenses and other current assets | 106,174 | 108,668 | ||||||||||||
| Total current assets | 1,526,648 | 1,426,674 | ||||||||||||
| Property, plant and equipment, net | 1,638,914 | 1,604,605 | ||||||||||||
| Right-of-use assets - operating leases | 105,859 | 116,611 | ||||||||||||
| Leased property under financing leases, net | 957 | 1,160 | ||||||||||||
| Other assets | 235,828 | 216,428 | ||||||||||||
| Goodwill | 165,903 | 165,903 | ||||||||||||
| Other identifiable intangible assets, net | 758,366 | 771,617 | ||||||||||||
| Total assets | $ | 4,432,475 | $ | 4,302,998 | ||||||||||
| LIABILITIES AND (DEFICIT)/EQUITY | ||||||||||||||
| Current Liabilities: | ||||||||||||||
| Current portion of debt | $ | 100,000 | $ | 100,000 | ||||||||||
| Current portion of obligations under operating leases | 23,637 | 24,412 | ||||||||||||
| Current portion of obligations under financing leases | 422 | 556 | ||||||||||||
| Accounts payable and accrued expenses | 1,136,182 | 1,003,689 | ||||||||||||
| Total current liabilities | 1,260,241 | 1,128,657 | ||||||||||||
| Deferred income taxes | 137,432 | 143,738 | ||||||||||||
| Pension and postretirement benefit obligations and other liabilities | 1,035,898 | 988,053 | ||||||||||||
| Noncurrent portion of obligations under operating leases | 84,875 | 95,076 | ||||||||||||
| Noncurrent portion of obligations under financing leases | 1,047 | 1,188 | ||||||||||||
| Long-term debt | 2,413,112 | 2,686,009 | ||||||||||||
| Total liabilities | 4,932,605 | 5,042,721 | ||||||||||||
| (Deficit)/Equity: | ||||||||||||||
| Stockholders’ (deficit)/equity | (500,130) | (739,723) | ||||||||||||
| Total liabilities and (deficit)/equity | $ | 4,432,475 | $ | 4,302,998 | ||||||||||
| FINANCIAL STATEMENTS CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) | |||||||
| First Half | ||||||||||||||
| (in thousands) | 2026 | 2025 | ||||||||||||
| Cash Flows from Operating Activities: | ||||||||||||||
| Net income | $ | 270,377 | $ | 290,998 | ||||||||||
| Depreciation expense, amortization of intangible assets and deferred proceeds, net | 115,053 | 108,138 | ||||||||||||
| Fair value adjustment of acquisition related contingent consideration | 78,114 | 55,118 | ||||||||||||
| Deferred income taxes | (7,119) | (15,985) | ||||||||||||
| Change in current assets and current liabilities | (39,707) | (17,821) | ||||||||||||
| Change in noncurrent assets and noncurrent liabilities | (2,216) | (14,034) | ||||||||||||
| Other | 6,145 | (193) | ||||||||||||
| Net cash provided by operating activities | $ | 420,647 | $ | 406,221 | ||||||||||
| Cash Flows from Investing Activities: | ||||||||||||||
| Additions to property, plant and equipment | $ | (147,354) | $ | (157,383) | ||||||||||
| Purchases and disposals of short-term investments | — | (45,659) | ||||||||||||
| Other | (9,593) | (4,317) | ||||||||||||
| Net cash used in investing activities | $ | (156,947) | $ | (207,359) | ||||||||||
| Cash Flows from Financing Activities: | ||||||||||||||
| Payments on term loan facility | $ | (275,000) | $ | — | ||||||||||
| Payments of acquisition related contingent consideration | (37,126) | (35,209) | ||||||||||||
| Cash dividends paid | (33,282) | (43,589) | ||||||||||||
| Payments related to share repurchases | (27,972) | (34,410) | ||||||||||||
| Other | (551) | (1,553) | ||||||||||||
| Net cash used in financing activities | $ | (373,931) | $ | (114,761) | ||||||||||
| Net (decrease) increase in cash and cash equivalents during period | $ | (110,231) | $ | 84,101 | ||||||||||
| Cash and cash equivalents at beginning of period | 281,918 | 1,135,824 | ||||||||||||
| Cash and cash equivalents at end of period | $ | 171,687 | $ | 1,219,925 | ||||||||||
| NON-GAAP FINANCIAL MEASURES(c) The following tables reconcile reported results (GAAP) to adjusted results (non-GAAP): | |||||||
| Second Quarter 2026 | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except per share data) | Net sales | Gross profit | SD&A expenses | Income from operations | Income before taxes | Net income | Basic net income per share | |||||||||||||||||||||||||||||||||||||
| Reported results (GAAP) | $ | 2,052,420 | $ | 778,413 | $ | 507,074 | $ | 271,339 | $ | 215,120 | $ | 158,821 | $ | 2.39 | ||||||||||||||||||||||||||||||
| Fair value adjustment of acquisition related contingent consideration | — | — | — | — | 24,723 | 18,617 | 0.28 | |||||||||||||||||||||||||||||||||||||
| Fair value adjustments for commodity derivative instruments | — | 10,086 | (3,523) | 13,609 | 13,609 | 10,248 | 0.16 | |||||||||||||||||||||||||||||||||||||
| Total reconciling items | — | 10,086 | (3,523) | 13,609 | 38,332 | 28,865 | 0.44 | |||||||||||||||||||||||||||||||||||||
| Adjusted results (non-GAAP) | $ | 2,052,420 | $ | 788,499 | $ | 503,551 | $ | 284,948 | $ | 253,452 | $ | 187,686 | $ | 2.83 | ||||||||||||||||||||||||||||||
Adjusted % Change vs. Second Quarter 2025 | 10.6 | % | 6.4 | % | 6.9 | % | 5.5 | % | ||||||||||||||||||||||||||||||||||||
Reported margin percentage(d) | 37.9 | % | 13.2 | % | ||||||||||||||||||||||||||||||||||||||||
Adjusted margin percentage(d) | 38.4 | % | 13.9 | % | ||||||||||||||||||||||||||||||||||||||||
| Second Quarter 2025 | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except per share data) | Net sales | Gross profit | SD&A expenses | Income from operations | Income before taxes | Net income | Basic net income per share | |||||||||||||||||||||||||||||||||||||
| Reported results (GAAP) | $ | 1,855,519 | $ | 742,496 | $ | 470,412 | $ | 272,084 | $ | 252,992 | $ | 187,387 | $ | 2.15 | ||||||||||||||||||||||||||||||
| Fair value adjustment of acquisition related contingent consideration | — | — | — | — | 12,390 | 9,275 | 0.11 | |||||||||||||||||||||||||||||||||||||
| Fair value adjustments for commodity derivative instruments | — | (1,320) | 689 | (2,009) | (2,009) | (1,511) | (0.02) | |||||||||||||||||||||||||||||||||||||
| Total reconciling items | — | (1,320) | 689 | (2,009) | 10,381 | 7,764 | 0.09 | |||||||||||||||||||||||||||||||||||||
| Adjusted results (non-GAAP) | $ | 1,855,519 | $ | 741,176 | $ | 471,101 | $ | 270,075 | $ | 263,373 | $ | 195,151 | $ | 2.24 | ||||||||||||||||||||||||||||||
Reported margin percentage(d) | 40.0 | % | 14.7 | % | ||||||||||||||||||||||||||||||||||||||||
Adjusted margin percentage(d) | 39.9 | % | 14.6 | % | ||||||||||||||||||||||||||||||||||||||||
Results for the first half of 2026 include six additional days compared to the first half of 2025. For comparison purposes, the estimated impact of the additional days in the first half of 2026 has been excluded from our adjusted(a) volume and financial results below.
| First Half 2026 | ||||||||||||||||||||
| (in millions) | Sparkling | Still | Total | |||||||||||||||||
| Volume | 138.0 | 46.7 | 184.6 | |||||||||||||||||
| Volume related to extra days in fiscal period | (4.1) | (1.3) | (5.4) | |||||||||||||||||
| Adjusted volume | 133.9 | 45.4 | 179.3 | |||||||||||||||||
| First Half 2025 | ||||||||||||||||||||
| (in millions) | Sparkling | Still | Total | |||||||||||||||||
| Volume | 126.1 | 41.3 | 167.4 | |||||||||||||||||
Reported % Change vs. First Half 2025 | 9.4 | % | 12.9 | % | 10.3 | % | ||||||||||||||
Adjusted % Change vs. First Half 2025 | 6.2 | % | 9.8 | % | 7.1 | % | ||||||||||||||
| First Half 2026 | ||||||||||||||||||||
| (in millions) | Sparkling | Still | Total | |||||||||||||||||
| Bottle/can beverage sales | $ | 2,274.1 | $ | 1,303.0 | $ | 3,577.1 | ||||||||||||||
| Bottle/can beverage sales related to extra days in fiscal period | (75.8) | (42.1) | (117.9) | |||||||||||||||||
| Adjusted bottle/can beverage sales | $ | 2,198.3 | $ | 1,260.9 | $ | 3,459.2 | ||||||||||||||
| First Half 2025 | ||||||||||||||||||||
| (in millions) | Sparkling | Still | Total | |||||||||||||||||
| Bottle/can beverage sales | $ | 2,013.8 | $ | 1,135.2 | $ | 3,149.0 | ||||||||||||||
Reported % Change vs. First Half 2025 | 12.9 | % | 14.8 | % | 13.6 | % | ||||||||||||||
Adjusted % Change vs. First Half 2025 | 9.2 | % | 11.1 | % | 9.8 | % | ||||||||||||||
| First Half 2026 | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except per share data) | Net sales | Gross profit | SD&A expenses | Income from operations | Income before taxes | Net income | Basic net income per share | |||||||||||||||||||||||||||||||||||||
| Reported results (GAAP) | $ | 3,899,088 | $ | 1,505,493 | $ | 996,630 | $ | 508,863 | $ | 366,339 | $ | 270,377 | $ | 4.06 | ||||||||||||||||||||||||||||||
| Fair value adjustment of acquisition related contingent consideration | — | — | — | — | 78,114 | 58,820 | 0.88 | |||||||||||||||||||||||||||||||||||||
| Fair value adjustments for commodity derivative instruments | — | 7,588 | 6,854 | 734 | 734 | 553 | 0.01 | |||||||||||||||||||||||||||||||||||||
| Results of extra days in fiscal period | (132,000) | (55,000) | (25,000) | (30,000) | (30,000) | (22,590) | (0.34) | |||||||||||||||||||||||||||||||||||||
| Total reconciling items | (132,000) | (47,412) | (18,146) | (29,266) | 48,848 | 36,783 | 0.55 | |||||||||||||||||||||||||||||||||||||
| Adjusted results (non-GAAP) | $ | 3,767,088 | $ | 1,458,081 | $ | 978,484 | $ | 479,597 | $ | 415,187 | $ | 307,160 | $ | 4.61 | ||||||||||||||||||||||||||||||
Adjusted % Change vs. First Half 2025 | 9.7 | % | 6.5 | % | 7.7 | % | 4.1 | % | ||||||||||||||||||||||||||||||||||||
| First Half 2025 | ||||||||||||||||||||||||||||||||||||||||||||
| (in thousands, except per share data) | Net sales | Gross profit | SD&A expenses | Income from operations | Income before taxes | Net income | Basic net income per share | |||||||||||||||||||||||||||||||||||||
| Reported results (GAAP) | $ | 3,435,496 | $ | 1,369,600 | $ | 907,696 | $ | 461,904 | $ | 392,465 | $ | 290,998 | $ | 3.34 | ||||||||||||||||||||||||||||||
| Fair value adjustment of acquisition related contingent consideration | — | — | — | — | 55,118 | 41,449 | 0.48 | |||||||||||||||||||||||||||||||||||||
| Fair value adjustments for commodity derivative instruments | — | (521) | 854 | (1,375) | (1,375) | (1,034) | (0.01) | |||||||||||||||||||||||||||||||||||||
| Total reconciling items | — | (521) | 854 | (1,375) | 53,743 | 40,415 | 0.47 | |||||||||||||||||||||||||||||||||||||
| Adjusted results (non-GAAP) | $ | 3,435,496 | $ | 1,369,079 | $ | 908,550 | $ | 460,529 | $ | 446,208 | $ | 331,413 | $ | 3.81 | ||||||||||||||||||||||||||||||
(c) The Company reports its financial results in accordance with accounting principles generally accepted in the United States (“GAAP”). However, management believes that certain non-GAAP financial measures provide users of the financial statements with additional, meaningful financial information that should be considered, in addition to the measures reported in accordance with GAAP, when assessing the Company’s ongoing performance. Management also uses these non-GAAP financial measures in making financial, operating and planning decisions and in evaluating the Company’s performance. Non-GAAP financial measures should be viewed in addition to, and not as an alternative for, the Company’s reported results prepared in accordance with GAAP. The Company’s non-GAAP financial information does not represent a comprehensive basis of accounting.
(d) Reported gross margin and reported operating margin are calculated as gross profit and operating income, respectively, as a percentage of net sales. Adjusted gross margin and adjusted operating margin are calculated as adjusted gross profit and adjusted operating income, respectively, which adjust for the impact of fair value changes to our commodity derivative instruments, as a percentage of net sales.