Financial Report Analysis Coca-Cola & Pepsi

Background Coca-Cola Coca-Cola was founded in 1886 by John Pemberton who was a well-bred warfare veteran and Atlanta pharmacist. Today, Coca-Cola smart set is the initiations principal manufacturer, marketer, and distributor of nonalcoholic beverage concentrates and syrups, over 10 meg gallons, used to publish nearly 400 beverage brands. Also, Coca-Cola has been rank the best mensurate of brand name on the terra firma for more than 10 years. Pepsi Pepsi-Cola was created in the late 1890s by Caleb Bradham, a untried Bern, N.C. pharmacist. Frito- model, Inc. was formed by the 1961 merger of the Frito Company, founded by Elmer Doolin in 1932, and the H. W. Lay Company, founded by Herman W.Lay, also in 1932. Pepsi is the help largest beverage company on the world. This is a very especial(a) case that both of companies, Coca-Cola and Pepsi, are two of the best victuals companies on the world with similar products and same market. 1.         Profitability         2003         2002         2001         2000         1999         Pepsi          belt         Pepsi         Coke         Pepsi         Coke         Pepsi         Coke         Pepsi         Coke Return on gross revenue         13.23%         20.70%         12.00%         15.60%         9.88%         22.60%         9.98%         12.50%         10.07%         14.50% Gross margin         54.10%         63.10%         54.09%         63.70%         60.09%         65.60%         59.86%         64.30%         49.30%         64.20% Oper ating profit/ sales         17.! 73%         24.80%         17.18%         27.90%         17.73%         30.50%         17.09%         21.30%         13.84%         23.80% EBIT/Sales         18.51%         26.10%         17.73%         28.

10%         13.53%         32.30%         14.76%         19.60%         20.99%         22.80% EBITDA/Sales         23.04%         29.28%          22.18%         31.04%         17.55%         33.37%         19.05%         23.95%         26.67%          25.49% Compared to average profitability of industry, both companies have performed well. Coca-Colas, however, profitability is relatively high than Pepsis. Some reasons caused it as following: 1.1          personify of Goods Sold: Pepsis COSD is critical high than Coca-Cola. mediocre Of Pepsi was 55.5% and average of CODS was 37%. It performer that Coca-Cola strictly controlled salute of goods, 1.2          change and administration cost: Pepsis cost of this item was still a little... If you want to get a full essay, order it on our website: BestEssayCheap.com

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