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KO (Coca-Cola Co) Gross Margin % : 60.65% (As of Sep. 2024)


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What is Coca-Cola Co Gross Margin %?

Gross Margin % is calculated as gross profit divided by its revenue. Coca-Cola Co's Gross Profit for the three months ended in Sep. 2024 was $7,190 Mil. Coca-Cola Co's Revenue for the three months ended in Sep. 2024 was $11,854 Mil. Therefore, Coca-Cola Co's Gross Margin % for the quarter that ended in Sep. 2024 was 60.65%.


The historical rank and industry rank for Coca-Cola Co's Gross Margin % or its related term are showing as below:

KO' s Gross Margin % Range Over the Past 10 Years
Min: 58.14   Med: 60.6   Max: 62.11
Current: 60.43


During the past 13 years, the highest Gross Margin % of Coca-Cola Co was 62.11%. The lowest was 58.14%. And the median was 60.60%.

KO's Gross Margin % is ranked better than
91.89% of 111 companies
in the Beverages - Non-Alcoholic industry
Industry Median: 36.91 vs KO: 60.43

Coca-Cola Co had a gross margin of 60.65% for the quarter that ended in Sep. 2024 => Durable competitive advantage

The 5-Year average Growth Rate of Gross Margin for Coca-Cola Co was -0.90% per year.


Coca-Cola Co Gross Margin % Historical Data

The historical data trend for Coca-Cola Co's Gross Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Coca-Cola Co Gross Margin % Chart

Coca-Cola Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Gross Margin %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 60.77 59.31 60.27 58.14 59.52

Coca-Cola Co Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Gross Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 61.04 57.29 62.52 61.08 60.65

Competitive Comparison of Coca-Cola Co's Gross Margin %

For the Beverages - Non-Alcoholic subindustry, Coca-Cola Co's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Coca-Cola Co's Gross Margin % Distribution in the Beverages - Non-Alcoholic Industry

For the Beverages - Non-Alcoholic industry and Consumer Defensive sector, Coca-Cola Co's Gross Margin % distribution charts can be found below:

* The bar in red indicates where Coca-Cola Co's Gross Margin % falls into.



Coca-Cola Co Gross Margin % Calculation

Gross Margin is the percentage of Gross Profit out of sales or Revenue.

Coca-Cola Co's Gross Margin for the fiscal year that ended in Dec. 2023 is calculated as

Gross Margin % (A: Dec. 2023 )=Gross Profit (A: Dec. 2023 ) / Revenue (A: Dec. 2023 )
=27234 / 45754
=(Revenue - Cost of Goods Sold) / Revenue
=(45754 - 18520) / 45754
=59.52 %

Coca-Cola Co's Gross Margin for the quarter that ended in Sep. 2024 is calculated as


Gross Margin % (Q: Sep. 2024 )=Gross Profit (Q: Sep. 2024 ) / Revenue (Q: Sep. 2024 )
=7190 / 11854
=(Revenue - Cost of Goods Sold) / Revenue
=(11854 - 4664) / 11854
=60.65 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.


Coca-Cola Co  (NYSE:KO) Gross Margin % Explanation

Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.

Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %

1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key

Coca-Cola Co had a gross margin of 60.65% for the quarter that ended in Sep. 2024 => Durable competitive advantage


Be Aware

If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.


Coca-Cola Co Gross Margin % Related Terms

Thank you for viewing the detailed overview of Coca-Cola Co's Gross Margin % provided by GuruFocus.com. Please click on the following links to see related term pages.


Coca-Cola Co Business Description

Address
One Coca-Cola Plaza, Atlanta, GA, USA, 30313
Founded in 1886, Atlanta-headquartered Coca-Cola is the world's largest nonalcoholic beverage company, with a strong portfolio of 200 brands covering key categories including carbonated soft drinks, water, sports, energy, juice, and coffee. Together with bottlers and distribution partners, the company sells finished beverage products bearing Coca-Cola and licensed brands through retailers and food-service locations in more than 200 countries and regions globally. Coca-Cola generates around two thirds of its total revenue overseas, with a significant portion from emerging economies in Latin America and Asia-Pacific.
Executives
Nancy Quan officer: Senior Vice President THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
James Quincey other: Group President THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Jennifer K Mann officer: Senior Vice President THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Lisa Chang other: Chief People Officer THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Beatriz R Perez officer: Senior Vice President ONE COCA-COLA PLAZA, ATLANTA GA 30313
Manuel Arroyo other: Group President THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Bruno Pietracci other: President, Latin America OU C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Nikolaos Koumettis other: Group President THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Henrique Braun other: Operating Unit President C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Monica Howard Douglas officer: SVP & General Counsel 535 MADISON AVENUE, 20TH FLOOR, NEW YORK NY 10022
John Murphy other: Group President THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Mark Randazza officer: Principal Accounting Officer THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Thomas Sinnickson Gayner director C/O MARKEL CORP, 4521 HIGHWOODS PARKWAY, GLEN ALLEN VA 23060
Amity Millhiser director C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313
Erin L May officer: Vice President & Controller C/O THE COCA-COLA COMPANY, ONE COCA-COLA PLAZA, ATLANTA GA 30313