Coca-Cola Consolidated, Inc.

Previous wording

•The results of operations, comprehensive income and changes in stockholders’ equity for the three-month periods ended June 27, 2025 (the “second quarter” of fiscal 2025 (“2025”)) and June 28, 2024 (the “second quarter” of fiscal 2024 (“2024”)) and the six-month periods ended June 27, 2025 (the “first half” of 2025) and June 28, 2024 (the “first half” of 2024).

Current wording

•The results of operations, comprehensive income and changes in stockholders’ equity for the three-month periods ended September 26, 2025 (the “third quarter” of fiscal 2025 (“2025”)) and September 27, 2024 (the “third quarter” of fiscal 2024 (“2024”)) and the nine-month periods ended September 26, 2025 (the “first nine months” of 2025) and September 27, 2024 (the “first nine months” of 2024).

Previous wording

•The changes in cash flows for the first half of 2025 and the first half of 2024.

Current wording

•The changes in cash flows for the first nine months of 2025 and the first nine months of 2024.

Previous wording

The Company’s products are sold and distributed in the United States through various channels, which include selling directly to customers, including grocery stores, mass merchandise stores, club stores, convenience stores and drug stores, selling to on-premise locations, where products are typically consumed immediately, such as restaurants, schools, amusement parks and recreational facilities, and selling through other channels such as vending machine outlets. The Company also distributes its products using alternative routes to market, which include third-party distributors, the manufacturer of the product or the customer’s supply chain infrastructure.

Current wording

The Company’s products are sold and distributed in the United States through various channels, which include selling directly to customers, including grocery stores, mass merchandise stores, club stores, convenience stores and drug stores, selling to on-premise locations, where products are typically consumed immediately, such as restaurants, schools, amusement parks and recreational facilities, and selling through other channels such as vending machine outlets. The Company also distributes its products using alternative routes to market (“ARTM”), which include third-party distributors, the manufacturer of the product or the customer’s supply chain infrastructure.

Previous wording

Selling, delivery and administrative (“SD&A”) expenses in the second quarter of 2025 increased $12.8 million, or 2.8%. SD&A expenses in the first half of 2025 increased $25.0 million, or 2.8%. The increase in SD&A expenses in the second quarter and first half of 2025 as compared to the second quarter and first half of 2024 was primarily driven by an increase in labor costs related to annual wage adjustments. SD&A expenses as a percentage of net sales in the second quarter of 2025 decreased 10 basis points to 25.4% as compared to the second quarter of 2024. SD&A expenses as a percentage of net sales in the first half of 2025 increased 30 basis points to 26.4% as compared to the first half of 2024.

Current wording

Selling, delivery and administrative (“SD&A”) expenses in the third quarter of 2025 increased $30.9 million, or 6.6%. The increase in SD&A expenses in the third quarter of 2025 as compared to the third quarter of 2024 was primarily driven by the cost of labor, which includes annual wage adjustments made earlier this year and an additional investment in the base wages of our front-line teammates, which became effective at the beginning of the third quarter. SD&A expenses as a percentage of net sales in the third quarter of 2025 decreased 10 basis points to 26.6% as compared to the third quarter of 2024. SD&A expenses in the first nine months of 2025 increased $55.9 million, or 4.1%. SD&A expenses as a percentage of net sales in the first nine months of 2025 increased 20 basis points to 26.5% as compared to the first nine months of 2024.

Previous wording

Income from operations in the second quarter of 2025 was $272.1 million, compared to $259.1 million in the second quarter of 2024, an increase of 5.0%. Operating margin for the second quarter of 2025 was 14.7% as compared to 14.4% for the second quarter of 2024, an increase of 30 basis points. For the first half of 2025, income from operations decreased $12.6 million to $461.9 million, a decline of 2.7%. The two fewer selling days in the first half of 2025 accounted for approximately $10 million of the decrease in income from operations.

Current wording

Income from operations in the third quarter of 2025 was $246.6 million, compared to $227.1 million in the third quarter of 2024, an increase of 8.6%. Operating margin for the third quarter of 2025 was 13.1% as compared to 12.9% for the third quarter of 2024, an increase of 20 basis points. For the first nine months of 2025, income from operations improved $6.9 million to $708.5 million, an increase of 1.0%. The two fewer selling days in the first nine months of 2025 accounted for an approximately $10 million decrease in income from operations.

Previous wording

Net income in the second quarter of 2025 was $187.4 million, compared to $172.8 million in the second quarter of 2024, an increase of $14.6 million, or 8.4%. On an adjusted basis, as defined in the “Comparable and Adjusted Results (Non-GAAP)” section, net income in the second quarter of 2025 was $195.2 million, compared to $192.8 million in the second quarter of 2024, an increase of $2.4 million, or 1.2%. Income tax expense for the second quarter of 2025 was $65.6 million, compared to $59.4 million for the second quarter of 2024, resulting in an effective income tax rate of approximately 26% for both periods.

Current wording

Net income in the third quarter of 2025 was $142.3 million, compared to $115.6 million in the third quarter of 2024, an increase of $26.7 million, or 23.1%. On an adjusted basis, as defined in the “Comparable and Adjusted Results (Non-GAAP)” section, net income in the third quarter of 2025 was $179.2 million, compared to $166.7 million in the third quarter of 2024, an increase of $12.5 million, or 7.5%. Income tax expense for the third quarter of 2025 was $49.9 million, compared to $39.9 million for the third quarter of 2024, resulting in an effective income tax rate of approximately 26% for both periods.

Previous wording

Net income in the first half of 2025 was $291.0 million, compared to $338.6 million in the first half of 2024, a decline of $47.6 million, or 14.0%. On an adjusted basis, as defined in the “Comparable and Adjusted Results (Non-GAAP)” section, net income in the first half of 2025 was $331.4 million, compared to $355.2 million in the first half of 2024, a decrease of $23.8 million, or 6.7%. Net income for the first half of 2025 was adversely impacted by routine, non-cash fair value adjustments to our acquisition related contingent consideration liability, driven primarily by a decrease in the discount rate and changes in the future cash flow projections used to compute the fair value of the liability.

Current wording

Net income in the first nine months of 2025 was $433.3 million, compared to $454.2 million in the first nine months of 2024, a decline of $20.8 million, or 4.6%. On an adjusted basis, as defined in the “Comparable and Adjusted Results (Non-GAAP)” section, net income in the first nine months of 2025 was $510.6 million, compared to $521.9 million in the first nine months of 2024, a decrease of $11.3 million, or 2.2%. Net income for both the first nine months of 2025 and 2024 was adversely impacted by routine, non-cash fair value adjustments to our acquisition related contingent consideration liability, driven by changes in the discount rate and future cash flow projections used to compute the fair value of the liability.

Previous wording

Cash flows from operations for the first half of 2025 were $406.2 million, compared to $437.1 million for the first half of 2024. In the first half of 2025, we invested approximately $157 million in capital expenditures as we continue to optimize our supply chain and invest for future growth. In fiscal year 2025, we expect capital expenditures to be approximately $300 million.

Current wording

Cash flows from operations for the first nine months of 2025 were $722.9 million, compared to $707.9 million for the first nine months of 2024. In the first nine months of 2025, we invested approximately $210 million in capital expenditures as we continue to optimize our supply chain and invest for future growth. In fiscal year 2025, we expect capital expenditures to be approximately $300 million. In the third quarter of 2025, we returned over $133 million to stockholders through approximately $111 million of share repurchases and approximately $22 million of dividends. Through the first nine months of 2025, we have returned approximately $211 million to stockholders through repurchases and dividends.

Previous wording

Supply Chain Optimization: We are continually focused on optimizing our supply chain, which includes identifying nearby warehousing and distribution operations that can be consolidated into new facilities to increase capacity, expand production capabilities, reduce overall production costs and add automation to allow the Company to better serve its customers and consumers. The Company expects to continue to make significant capital investments to optimize our supply chain and to invest for future growth during 2025.

Current wording

Supply Chain Optimization: We are continually focused on optimizing our supply chain, which includes identifying nearby warehousing and distribution operations that can be consolidated into new facilities to increase capacity, expand production capabilities, reduce overall production costs and add automation to allow the Company to better serve its customers and consumers. The Company has made, and expects to continue to make, significant capital investments to optimize our supply chain and to invest for future growth.

Previous wording

Optimal Route to Market: We are focused on implementing optimal methods of distribution of our products within our territory. Direct store delivery (“DSD”) is our preferred and primary route to market. Our typical DSD method uses Company-owned vehicles and warehouses, but we increasingly shifted to alternative methods of distribution during 2024 and continued to use alternative methods of distribution during the first half of 2025. For example, in instances of post-mix delivery for use in fountain machines, we have shifted, and continue to shift, our delivery method towards alternative distributors in order to enhance profitability and customer service. We receive a fee from our brand partners on these post-mix gallons delivered to locally managed customers in our territory, which is recorded as a reduction to cost of sales.

Current wording

Optimal Route to Market: We are focused on implementing optimal methods of distribution of our products within our territory. Direct store delivery (“DSD”) is our preferred and primary route to market. Our typical DSD method uses Company-owned vehicles and warehouses, but we increasingly shifted to alternative methods of distribution, or ARTM, during 2024 and continued to use ARTM during the first nine months of 2025. For example, in instances of post-mix delivery for use in fountain machines, we have shifted, and continue to shift, our delivery method towards alternative distributors in order to enhance profitability and customer service. We receive a fee from our brand partners on these post-mix gallons delivered to locally managed customers in our territory, which is recorded as a reduction to cost of sales.

Previous wording

In instances of bottle/can delivery, we have shifted certain products for certain customers and channels of business to alternative routes to market. These alternative routes to market include third-party distributors, the manufacturer of the product or the customer’s supply chain infrastructure. These bottle/can arrangements generally come with favorable commercial terms for the Company, and, because we have the exclusive distribution rights for nonalcoholic beverages within our franchise territory, we receive fees from our brand partners for the delivery of qualified product in our territory. These fees are reported in net sales.

Current wording

In instances of bottle/can delivery, we have shifted certain products for certain customers and channels of business to ARTM. These ARTM include third-party distributors, the manufacturer of the product or the customer’s supply chain infrastructure. These bottle/can arrangements generally come with favorable commercial terms for the Company, and, because we have the exclusive distribution rights for nonalcoholic beverages within our franchise territory, we receive fees from our brand partners for the delivery of qualified product in our territory. These fees are reported in net sales.

Previous wording

During the first half of 2025, nearly two-thirds of our post-mix gallons and less than 10% of our bottle/can volume was delivered through alternative routes to market.

Current wording

During the first nine months of 2025, nearly two-thirds of our post-mix gallons and less than 10% of our bottle/can volume was delivered through ARTM.

Previous wording

The Company’s results of operations for the second quarter of 2025 and the second quarter of 2024 are highlighted in the table below and discussed in the following paragraphs.

Current wording

The Company’s results of operations for the third quarter of 2025 and the third quarter of 2024 are highlighted in the table below and discussed in the following paragraphs.

Previous wording

Net sales increased $59.6 million, or 3.3%, to $1.86 billion in the second quarter of 2025, as compared to $1.80 billion in the second quarter of 2024. The largest driver of the increase in net sales was higher average bottle/can sales price per unit charged to retail customers, which increased net sales by approximately $50 million during the second quarter of 2025. Net sales was also positively impacted by shifts in product mix during the second quarter of 2025, as certain of the Company’s higher-priced brands, including energy, protein and enhanced water products, had strong sales during the quarter. The increase in net sales was partially offset by lower case sales volume during the second quarter of 2025 as compared to the second quarter of 2024.

Current wording

Net sales increased $122.7 million, or 6.9%, to $1.89 billion in the third quarter of 2025, as compared to $1.77 billion in the third quarter of 2024. The increase in net sales was driven by higher average bottle/can sales price per unit charged to retail customers, which increased net sales by approximately $60 million during the third quarter of 2025. The increase in net sales was also positively impacted by higher case sales volume, which increased net sales by approximately $60 million during the third quarter of 2025 as compared to the third quarter of 2024.

Previous wording

The bottle/can sales volume above represents volume that is delivered directly to our customer outlets using Company-owned vehicles and warehouses. In order to serve our customers in the most efficient way, respond to customer demands and increase profitability, the Company has, in certain circumstances, shifted the delivery of our products to third-party distributors, the manufacturer of the product or the customer’s supply chain infrastructure, rather than using Company-owned vehicles and warehouses. As a result of not physically delivering the product, the sales volume delivered using these alternative methods of distribution is not reflected in our volume metrics. Changes in the delivery of our products to our customers impacted our reported volume and net sales during 2024 and the first half of 2025.

Current wording

The bottle/can sales volume above represents volume that is delivered directly to our customer outlets using Company-owned vehicles and warehouses. In order to serve our customers in the most efficient way, respond to customer demands and increase profitability, the Company has, in certain circumstances, shifted the delivery of our products to third-party distributors, the manufacturer of the product or the customer’s supply chain infrastructure, rather than using Company-owned vehicles and warehouses. As a result of not physically delivering the product, the sales volume delivered using these alternative methods of distribution is not reflected in our volume metrics. Changes in the delivery of our products to our customers impacted our reported volume and net sales during 2024 and the first nine months of 2025.

Previous wording

Cost of sales increased $33.8 million, or 3.1%, to $1.11 billion in the second quarter of 2025, as compared to $1.08 billion in the second quarter of 2024. The increase in cost of sales was primarily driven by higher input costs, which increased cost of sales by approximately $35 million during the second quarter of 2025. Cost of sales also increased due to shifts in product mix to higher cost Still products as compared to the second quarter of 2024. The increase in cost of sales was partially offset by lower case sales volume during the second quarter of 2025 as compared to the second quarter of 2024.

Current wording

Cost of sales increased $72.2 million, or 6.8%, to $1.14 billion in the third quarter of 2025, as compared to $1.07 billion in the third quarter of 2024. The increase in cost of sales was driven by higher case sales volume, which increased cost of sales by approximately $35 million during the third quarter of 2025 as compared to the third quarter of 2024. The increase in cost of sales was also impacted by higher input costs, which increased cost of sales by approximately $25 million during the third quarter of 2025.

Previous wording

The Company relies extensively on advertising and sales promotions in the marketing of its products. The Coca‑Cola Company and other beverage companies that supply concentrates, syrups and finished products to the Company make substantial marketing and advertising expenditures, including national advertising programs, to develop their brand identities and to promote sales in the Company’s territories. Our brand partners also provide funding related to the delivery of post-mix gallons to locally managed customers within the Company’s territory. Certain of these marketing, advertising and other funding expenditures are made pursuant to annual arrangements. Total funding support from The Coca‑Cola Company and other beverage companies, which includes both direct payments to the Company and payments to customers for marketing programs, was $52.4 million in the second quarter of 2025 and $49.3 million in the second quarter of 2024.

Current wording

The Company relies extensively on advertising and sales promotions in the marketing of its products. The Coca‑Cola Company and other beverage companies that supply concentrates, syrups and finished products to the Company make substantial marketing and advertising expenditures, including national advertising programs, to develop their brand identities and to promote sales in the Company’s territories. Our brand partners also provide funding related to the delivery of post-mix gallons to locally managed customers within the Company’s territory. Certain of these marketing, advertising and other funding expenditures are made pursuant to annual arrangements. Total funding support from The Coca‑Cola Company and other beverage companies, which includes both direct payments to the Company and payments to customers for marketing programs, was $56.9 million in the third quarter of 2025 and $48.5 million in the third quarter of 2024.

Previous wording

SD&A expenses increased $12.8 million, or 2.8%, to $470.4 million in the second quarter of 2025, as compared to $457.6 million in the second quarter of 2024. The increase in SD&A expenses was primarily driven by an increase in labor costs related to annual wage adjustments. SD&A expenses as a percentage of net sales decreased to 25.4% in the second quarter of 2025 from 25.5% in the second quarter of 2024.

Current wording

SD&A expenses increased $30.9 million, or 6.6%, to $501.9 million in the third quarter of 2025, as compared to $471.0 million in the third quarter of 2024. The increase in SD&A expenses was primarily driven by an increase in labor costs related to annual wage adjustments and an additional investment in the base wages of our front-line teammates, which became effective at the beginning of the third quarter of 2025. SD&A expenses as a percentage of net sales decreased to 26.6% in the third quarter of 2025 from 26.7% in the third quarter of 2024.

Previous wording

Shipping and handling costs included in SD&A expenses were approximately $207 million in the second quarter of 2025 and approximately $200 million in the second quarter of 2024.

Current wording

Shipping and handling costs included in SD&A expenses were approximately $221 million in the third quarter of 2025 and approximately $206 million in the third quarter of 2024.

Previous wording

Mark-to-market on acquisition related contingent consideration was an increase of $12.4 million in the second quarter of 2025 and an increase of $27.8 million in the second quarter of 2024. During the second quarter of 2025, the $12.4 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by a decrease in the WACC used to calculate the fair value of the liability and changes in projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments. During the second quarter of 2024, the $27.8 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by changes in projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments, partially offset by an increase in the WACC used to calculate the fair value of the liability.

Current wording

Mark-to-market on acquisition related contingent consideration was an increase of $49.4 million in the third quarter of 2025 and an increase of $68.6 million in the third quarter of 2024. During the third quarter of 2025, the $49.4 million increase in the fair value of the acquisition related contingent consideration liability was driven by a decrease in the WACC used to calculate the fair value of the liability and higher projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments. During the third quarter of 2024, the $68.6 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by higher projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments, as well as a decrease in the WACC used to calculate the fair value of the liability.

Previous wording

Other expense, net was $0.8 million in the second quarter of 2025, as compared to $0.7 million in the second quarter of 2024.

Current wording

Other expense, net was $0.4 million in the third quarter of 2025, as compared to $0.7 million in the third quarter of 2024.

Previous wording

The Company’s effective income tax rate was 25.9% for the second quarter of 2025 and 25.6% for the second quarter of 2024. The Company’s income tax expense increased $6.2 million, or 10.4%, to $65.6 million for the second quarter of 2025, as compared to $59.4 million for the second quarter of 2024. The increase in income tax expense was primarily attributable to higher income before taxes during the second quarter of 2025 compared to the second quarter of 2024.

Current wording

The Company’s effective income tax rate was 26.0% for the third quarter of 2025 and 25.7% for the third quarter of 2024. The Company’s income tax expense increased $10.0 million, or 24.9%, to $49.9 million for the third quarter of 2025, as compared to $39.9 million for the third quarter of 2024. The increase in income tax expense was primarily attributable to higher income before taxes during the third quarter of 2025 as compared to the third quarter of 2024.

Previous wording

Our results of operations for the first half of 2025 and the first half of 2024 are highlighted in the table below and discussed in the following paragraphs.

Current wording

Our results of operations for the first nine months of 2025 and the first nine months of 2024 are highlighted in the table below and discussed in the following paragraphs.

Previous wording

Net sales increased $47.9 million, or 1.4%, to $3.44 billion in the first half of 2025, as compared to $3.39 billion in the first half of 2024. The largest driver of the increase in net sales was higher average bottle/can sales price per unit charged to retail customers, which increased net sales by approximately $100 million during the first half of 2025. Net sales was also positively impacted by shifts in product mix during the first half of 2025, as certain of the Company’s higher-priced brands, including protein, energy and enhanced water products, had strong sales during the period. These improvements were offset by lower case sales volume, which decreased net sales by approximately $120 million, as well as the impact of two fewer selling days in the first half of 2025 as compared to the first half of 2024.

Current wording

Net sales increased $170.6 million, or 3.3%, to $5.32 billion in the first nine months of 2025, as compared to $5.15 billion in the first nine months of 2024. The largest driver of the increase in net sales was higher average bottle/can sales price per unit charged to retail customers, which increased net sales by approximately $160 million during the first nine months of 2025. Net sales was also positively impacted by shifts in product mix during the first nine months of 2025, as certain of the Company’s higher-priced brands, including energy, enhanced water and protein products, had strong sales during the period. These improvements were offset by lower case sales volume, which decreased net sales by approximately $60 million, as well as the impact of two fewer selling days in the first nine months of 2025 as compared to the first nine months of 2024.

Previous wording

Cost of sales increased $35.6 million, or 1.8%, to $2.07 billion in the first half of 2025, as compared to $2.03 billion in the first half of 2024. The increase in cost of sales was primarily driven by higher input costs, which increased cost of sales by approximately $80 million during the first half of 2025. Cost of sales also increased due to shifts in product mix to higher cost Still products as compared to the first half of 2024. The increase in cost of sales was partially offset by lower case sales volume, which decreased cost of sales by approximately $70 million as compared to the first half of 2024.

Current wording

Cost of sales increased $107.8 million, or 3.5%, to $3.21 billion in the first nine months of 2025, as compared to $3.10 billion in the first nine months of 2024. The increase in cost of sales was primarily driven by higher input costs, which increased cost of sales by approximately $105 million during the first nine months of 2025. Cost of sales also increased due to shifts in product mix to higher cost Still products as compared to the first nine months of 2024. The increase in cost of sales was partially offset by lower case sales volume, which decreased cost of sales by approximately $35 million as compared to the first nine months of 2024.

Previous wording

Total funding support from The Coca‑Cola Company and other beverage companies was $97.6 million in the first half of 2025, as compared to $94.6 million in the first half of 2024.

Current wording

Total funding support from The Coca‑Cola Company and other beverage companies was $154.5 million in the first nine months of 2025, as compared to $143.1 million in the first nine months of 2024.

Previous wording

SD&A expenses increased $25.0 million, or 2.8%, to $907.7 million in the first half of 2025, as compared to $882.7 million in the first half of 2024. The increase in SD&A expenses was primarily driven by an increase in labor costs related to annual wage adjustments. SD&A expenses as a percentage of net sales increased to 26.4% in the first half of 2025 from 26.1% in the first half of 2024.

Current wording

SD&A expenses increased $55.9 million, or 4.1%, to $1.41 billion in the first nine months of 2025, as compared to $1.35 billion in the first nine months of 2024. The increase in SD&A expenses was primarily driven by an increase in labor costs related to annual wage adjustments and an additional investment in the base wages of our front-line teammates, which became effective at the beginning of the third quarter of 2025. SD&A expenses as a percentage of net sales increased to 26.5% in the first nine months of 2025 from 26.3% in the first nine months of 2024.

Previous wording

Shipping and handling costs included in SD&A expenses were approximately $401 million in the first half of 2025 and approximately $393 million in the first half of 2024.

Current wording

Shipping and handling costs included in SD&A expenses were approximately $622 million in the first nine months of 2025 and approximately $599 million in the first nine months of 2024.

Previous wording

Interest expense (income), net changed $17.2 million to $12.8 million of interest expense, net in the first half of 2025, as compared to $4.3 million of interest income, net in the first half of 2024. The change in interest expense (income), net was primarily due to an increase in interest expense on higher average debt balances in the first half of 2025, as compared to the first half of 2024, partially offset by an increase in interest income due to higher cash, cash equivalent and short-term investment balances.

Current wording

Interest expense (income), net changed $19.7 million to $17.5 million of interest expense, net in the first nine months of 2025, as compared to $2.1 million of interest income, net in the first nine months of 2024. The change in interest expense (income), net was primarily due to an increase in interest expense on higher average debt balances in the first nine months of 2025 as compared to the first nine months of 2024, partially offset by an increase in interest income due to higher average cash, cash equivalent and short-term investment balances.

Previous wording

Mark-to-market on acquisition related contingent consideration was an increase of $55.1 million in the first half of 2025 compared to an increase of $22.3 million in the first half of 2024. During the first half of 2025, the $55.1 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by a decrease in the WACC used to calculate the fair value of the liability and changes in projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments. During the first half of 2024, the $22.3 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by changes in projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments, partially offset by an increase in the WACC used to calculate the fair value of the liability.

Current wording

Mark-to-market on acquisition related contingent consideration was an increase of $104.5 million in the first nine months of 2025 compared to an increase of $90.9 million in the first nine months of 2024. During the first nine months of 2025, the $104.5 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by a decrease in the WACC used to calculate the fair value of the liability, as well as higher projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments. During the first nine months of 2024, the $90.9 million increase in the fair value of the acquisition related contingent consideration liability was primarily driven by higher projections of future cash flows in the distribution territories subject to acquisition related sub-bottling payments.

Previous wording

The Company’s effective income tax rate was 25.9% for the first half of 2025 and 25.6% for the first half of 2024. The Company’s income tax expense decreased $15.0 million, or 12.9%, to $101.5 million for the first half of 2025, as compared to $116.5 million for the first half of 2024. The decrease in income tax expense was primarily attributable to lower income before taxes during the first half of 2025 compared to the first half of 2024.

Current wording

The Company’s effective income tax rate was 25.9% for the first nine months of 2025 and 25.6% for the first nine months of 2024. The Company’s income tax expense decreased $5.1 million, or 3.2%, to $151.4 million for the first nine months of 2025, as compared to $156.4 million for the first nine months of 2024. The decrease in income tax expense was primarily attributable to lower income before taxes during the first nine months of 2025 as compared to the first nine months of 2024.

Previous wording

Other comprehensive loss, net of tax was $0.0 million in the first half of 2025 and $0.1 million in the first half of 2024.

Current wording

Other comprehensive income, net of tax was $0.0 million in the first nine months of 2025 and $0.3 million in the first nine months of 2024.

Previous wording

Results for the first half of 2024 include two additional selling days compared to the first half of 2025. For comparison purposes, the estimated impact of the additional selling days in the first half of 2024 has been excluded from our comparable volume results.

Current wording

Results for the first nine months of 2024 include two additional selling days compared to the first nine months of 2025. For comparison purposes, the estimated impact of the additional selling days in the first nine months of 2024 has been excluded from our comparable volume results.

Previous wording

Total assets were $5.54 billion as of June 27, 2025, which was an increase of $228.4 million from December 31, 2024. Net working capital, defined as current assets less current liabilities, was $1.39 billion as of June 27, 2025, which was an increase of $157.9 million from December 31, 2024.

Current wording

Total assets were $5.67 billion as of September 26, 2025, which was an increase of $355.4 million from December 31, 2024. Net working capital, defined as current assets less current liabilities, was $1.45 billion as of September 26, 2025, which was an increase of $220.0 million from December 31, 2024.

Previous wording

•An increase in cash and cash equivalents of $84.1 million, primarily as a result of strong operating performance and working capital management during the first half of 2025.

Current wording

•An increase in cash and cash equivalents of $396.6 million, primarily as a result of strong operating performance and net proceeds from the purchases, sales and maturities of short-term investments during the first nine months of 2025, partially offset by additions to property, plant and equipment and payments related to share repurchases.

Previous wording

•An increase in accounts payable, trade of $31.0 million and an increase in accounts payable to The Coca-Cola Company of $65.4 million, primarily due to the timing of cash payments.

Current wording

•An increase in accounts payable, trade of $27.5 million and an increase in accounts payable to The Coca-Cola Company of $40.4 million, primarily due to the timing of cash payments.

Previous wording

•A decrease in accrued compensation of $85.7 million, primarily as a result of the timing of bonus and incentive payments in the first half of 2025.

Current wording

•A decrease in accrued compensation of $33.0 million, primarily as a result of the timing of bonus and incentive payments in the first nine months of 2025.

Previous wording

The Company’s sources of capital include cash flows from operations, available credit facilities and the issuance of debt and equity securities. As of June 27, 2025, the Company had $1.22 billion in cash and cash equivalents. The Company’s cash equivalent balance as of June 27, 2025 consisted predominantly of investments in money market funds, time deposits and commercial paper with maturities of 90 days or less. As of June 27, 2025, the Company had $350.2 million in short-term investments, which consisted primarily of U.S. Treasury securities and investment-grade corporate bonds with maturities of one year or less. The Company has obtained its debt from public markets, private placements and bank facilities. Management believes the Company has sufficient sources of capital available to finance its business plan, to meet its working capital requirements and to maintain an appropriate level of capital spending for at least the next 12 months from the issuance of the condensed consolidated financial statements.

Current wording

The Company’s sources of capital include cash flows from operations, available credit facilities and the issuance of debt and equity securities. As of September 26, 2025, the Company had $1.53 billion in cash and cash equivalents. The Company’s cash equivalent balance as of September 26, 2025 consisted predominantly of investments in money market funds, time deposits and commercial paper with maturities of 90 days or less. As of September 26, 2025, the Company had $149.1 million in short-term investments, which consisted primarily of U.S. Treasury securities and investment-grade corporate bonds with maturities of one year or less. The Company has obtained its debt from public markets, private placements and bank facilities. Management believes the Company has sufficient sources of capital available to finance its business plan, to meet its working capital requirements and to maintain an appropriate level of capital spending for at least the next 12 months from the issuance of the condensed consolidated financial statements.

Previous wording

On March 4, 2025, the Company announced that its Board of Directors had approved a 10-for-1 forward stock split (the “Stock Split”) of Common Stock and the Company’s Class B Common Stock, par value $1.00 per share (“Class B Common Stock”). The Stock Split was effected through an amendment to the Company’s Restated Certificate of Incorporation (the “Amendment”). The Amendment also effected a proportionate increase in the number of authorized shares of Common Stock and Class B Common Stock. The Amendment obtained stockholder approval at the Company’s 2025 Annual Meeting of Stockholders, which took place on May 13, 2025. Each stockholder of record as of the close of business on May 16, 2025 received nine additional shares for each share of Common Stock or Class B Common Stock held as of such date reflected in the stockholder’s account on May 23, 2025. Trading began on a split-adjusted basis on May 27, 2025. The par value per share of Common Stock and Class B Common Stock remains unchanged.

Current wording

On March 4, 2025, the Company announced that its Board of Directors had approved a 10-for-1 forward stock split (the “Stock Split”) of Common Stock and Class B Common Stock. The Stock Split was effected through an amendment to the Company’s Restated Certificate of Incorporation (the “Amendment”). The Amendment also effected a proportionate increase in the number of authorized shares of Common Stock and Class B Common Stock. The Amendment obtained stockholder approval at the Company’s 2025 Annual Meeting of Stockholders, which took place on May 13, 2025. Each stockholder of record as of the close of business on May 16, 2025 received nine additional shares for each share of Common Stock or Class B Common Stock held as of such date reflected in the stockholder’s account on May 23, 2025. Trading began on a split-adjusted basis on May 27, 2025. The par value per share of Common Stock and Class B Common Stock remains unchanged.

Previous wording

On August 20, 2024, the Company announced that its Board of Directors had approved a share repurchase program under which the Company is authorized to repurchase up to $1.00 billion of Common Stock. The Company expects share repurchases to be made from time to time in the open market or through private transactions or block trades. The timing and amount of repurchases will depend on market conditions, the prevailing market price, applicable legal requirements and other factors. The share repurchase authorization is discretionary and has no expiration date. During the second quarter of 2025, the Company repurchased 291,930 split-adjusted shares of Common Stock under the share repurchase program for an aggregate purchase price of $34.4 million, excluding fees and expenses related to the share repurchases. As of June 27, 2025, the total remaining share repurchase authorization was $914.0 million.

Current wording

The Company is authorized to repurchase up to $1.00 billion of Common Stock through the share repurchase program approved by the Company’s Board of Directors and announced by the Company on August 20, 2024 (the “Share Repurchase Program”). The Company expects share repurchases to be made from time to time in the open market or through private transactions or block trades. The timing and amount of repurchases will depend on market conditions, the prevailing market price, applicable legal requirements and other factors. The share repurchase authorization is discretionary and has no expiration date. During the third quarter of 2025, the Company repurchased and retired 961,379 shares of Common Stock under the Share Repurchase Program for an aggregate purchase price of $113.8 million, excluding fees and expenses related to the share repurchases. As of September 26, 2025, the total remaining share repurchase authorization was $800.1 million.