COCA-Cola beat Wall Street estimates for fourth-quarter revenue on Tuesday (Feb 13), as the beverage maker benefited from higher product prices and buoyant demand, especially for its namesake drink, sending its shares up about 1 per cent before the bell.

Consumers who have started to prefer dining out and indulging in experiences like movies and sports are willing to spend more for their favourite drinks and snacks, which have become pricier over the last several quarters.

Last week, however, PepsiCo forecast weak annual organic revenue growth and posted a sales decline for the first time in 14 quarters as the company’s move to further raise prices began to dent its volumes, unlike rival Coca-Cola.

Coca-Cola’s average selling prices rose 9 per cent in the fourth quarter, the company said, while unit case volumes increased 2 per cent.

Its net revenue rose to US$11 billion in the quarter compared with US$10.2 billion a year earlier, while analysts estimated US$10.7 billion, according to LSEG data. REUTERS