Coca-Cola's Gary Fayard Blames Weak Q2 Results On Weather (KO)
Coca-Cola (NYSE: KO) reported Q2 EPS at $0.63 ex-items versus $0.63 analyst estimates and revenues of $12.75 billion versus 12.959 billion analyst estimates.
Gary Fayard, CFO of Coca-Cola, appeared on CNBC's Squawk Box on Tuesday morning, where blamed much of the weak performance on lower than average seasonal temperatures, and unexpected wet weather when it's normal sunny (cola drinking weather).
Fayard began by noting that the beverage company had a disappointing Q2 in terms of volume.
"We had always said that along the road, there'd be a bump here or there. We didn't expect the world to have a bump, and the whole industry slowed down. A lot of that is the macro environment, but a lot of it actually was the weather," said Fayard.
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Fayard then preached confidence in their brands and ability to earn in the company's second half of the year. Then Fayard continued to hold wet and cold weather responsible for a bad performance, especially here in North America.
"We are [an] industry that is susceptible to weather. I think the weather, we believe, is going to turn," said Fayard.
He then went on to say that weather, of course, is volatile. A trend that Fayard also sees continuing…
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