Coca-Cola reports double-digit volume growth in India, helped by Thums Up

Business Standard

29-04-2025

Soft drinks major The Coca-Cola Company witnessed "double-digit volume growth" in the Indian market in the March quarter, helped by home-grown brand Thums Up and Coca-Cola.
Moreover, markets, including India, China, and Brazil, also helped the Coca-Cola company to log 2 per cent unit case volume globally in the March quarter, according to the latest earnings statement from the Atlanta-headquartered beverages major.
"In India, trademark Coca-Cola and Thums Up, a cherished regional brand, are fuelling consumers and contributing to double-digit volume growth for the market in the first quarter," it said.
The global earnings statement also drew attention to the Mahakumbh Mela held in Prayagraj, where the beverage major had a historic integrated activation of its brands, like never before.
During the investors' call, James Quincey, Chairman and CEO of The Coca-Cola Company, called out India as a market that has demonstrated a strong volume growth of global and local brands.
"In India, we have strong volume growth of global and local brands," he said.
Quincey further added, "Our system added nearly 350,000 outlets and increased household penetration. Also our system increased cooler basement and added approximately 100,000 customers to its digital customer platforms." However, the Indian market had a decline in the NARTD beverages (non-alcoholic ready-to-drink), which includes fruit juices, energy drinks, sports beverages, and dairy alternatives.
"Value share in total NARTD beverages for the company was even as gains in the Philippines and Japan were offset by declines in Indonesia and India," it said.
India is the fifth largest market for The Coca-Cola Company.
Unit case volume means the number of unit cases of company beverages directly or indirectly sold by the company and its bottling partners to customers.
In the Asia Pacific market, in which India is included, unit case volume grew 6 per cent, driven by growth across all global beverage categories.
However, Coca-Cola's net operating revenue in the Asia Pacific zone was down 4.05 per cent to USD 1.42 billion for the quarter ended on March 28, 2025.
"Operating income declined 5 per cent, which included items impacting comparability and an 11-point currency headwind. Comparable currency-neutral operating income (non-GAAP) grew 7 per cent, primarily driven by organic revenue (non-GAAP) growth and the timing of marketing investments," it said.
The Atlanta-headquartered company reported a decline of 1.5 per cent growth in its consolidated net operating revenue to USD 11.13 billion.
Commenting on the results, Chairman and CEO of The Coca-Cola Company James Quincey said, "Despite some pressure in key developed markets, the power of our global footprint allowed us to successfully navigate a complex external environment. By remaining true to our purpose and staying close to the consumer, we are confident in our ability to create enduring long-term value." The Coca-Cola company in its earning statement made a special mention of Mahakumbha mela in India, which took place in Prayagraj, Uttar Pradesh, held from January 13 to February 26, 2025.
"The Maha Kumbh Mela festival in India occurs every 144 years and is considered the world's largest in-person gathering with an estimated 660 million attendees in 2025. For the first time in the company's history, the system intensified an integrated activation consisting of hundreds of refreshment zones, approximately 1,400 mobile stations and a world-record-long 100 cooler-door wall, leading to over 180 million servings consumed during the gathering," said Coca-Cola.
This is as per strategy capturing compelling geographic opportunities with a local approach "to capitalise on the vast opportunities in developing and emerging markets, where approximately 80 per cent of the world's population resides".