Coca-Cola 1Q Sales Fall 4%

Coca-Cola's sales fell for the fourth straight quarter as demand for its fizzy drinks declined in Europe and a strong dollar eroded the value of sales in markets outside the United States, including Latin America.

Continue Reading Below

Shares of the maker of Sprite soda and Minute Maid juices fell about 1 percent to $46 in premarket trading on Wednesday.

Coke and rival PepsiCo Inc have been hurt as consumers increasingly turn health-conscious, cutting back on fizzy drinks and turning to teas, fruit juices and smoothies.

The rise in the dollar has also hit the companies, which have a sizeable presence in markets outside the United States, including China, Europe and Brazil.

The average value of the dollar rose 2.6 percent in the first quarter from a year earlier. The U.S. currency had risen 18 percent gain in the first three months of 2015.

Coke's sales in Europe declined 1 percent to $1.20 billion in the quarter ended April 1, accounting for nearly 12 percent of total revenue.

The net income attributable to Coke's shareholders fell 4.5 percent to $1.48 billion, or 34 cents per share.

Excluding items, Coke earned 45 cents per share, beating the average analyst estimate of 44 cents, according to Thomson Reuters I/B/E/S.

Net operating revenue fell 4 percent to $10.28 billion.

Excluding the impact of acquisitions, divestitures and currency movements, total revenue rose 2 percent.

(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by Kirti Pandey)