Coca-Cola Shareholders Elect Directors and Approve Proposals

Published 02/05/2025, 18:24
© Reuters.

Coca-Cola Co (NYSE:KO), the $307.5 billion beverage giant with an impressive 54-year history of consecutive dividend increases, announced the results of their 2025 Annual Meeting of Shareowners, which took place on Wednesday, April 30, 2025. Shareowners elected each of the director nominees, with the majority receiving over 90% of votes cast in favor. Additionally, the advisory proposal to approve executive compensation was passed with approximately 91.83% votes in favor. According to InvestingPro analysis, the company maintains strong gross profit margins of 61% while operating with moderate debt levels.

The appointment of Ernst & Young LLP as the company’s independent auditors was ratified with a significant majority, receiving 93.73% of the votes cast in favor. Meanwhile, several shareholder proposals were presented, including an assessment of non-sugar sweeteners and a report on food waste. The proposal on non-sugar sweeteners received 11.34% votes in favor, and the one on food waste received 12.47% votes in favor. Both did not pass due to the majority of votes against.

Other shareholder proposals included the creation of an Improper Influence Board Committee, DEI goals in executive pay, a report on brand image impacts, and a report on civil liberties in advertising services. These proposals received minimal support, with the highest being the DEI goals in executive pay proposal, which garnered 1.10% of votes in favor.

All proposals that did not pass had a significant majority of votes cast against them, with percentages ranging from 87.53% to 99.24%. The results indicate a strong agreement among shareholders with the current direction and governance of the company.

The information disclosed in this article is based on the latest 8-K filing by Coca-Cola Co with the Securities and Exchange Commission.

In other recent news, Coca-Cola reported strong first-quarter 2025 financial results, with net sales of $11.216 billion and an adjusted earnings per share (EPS) of $0.73, meeting analyst expectations. The company achieved a 6% year-over-year organic revenue growth, driven by a 5% increase in pricing and a 1% rise in concentrate sales. UBS analyst Peter Grom raised Coca-Cola’s stock price target to $86, citing impressive organic revenue growth and operating profit that exceeded forecasts. Truist Securities maintained a Buy rating with an $80 target, acknowledging Coca-Cola’s solid performance despite revenue slightly below their estimate. Morgan Stanley (NYSE:MS) reiterated an Overweight rating and a $78 price target, noting Coca-Cola’s significant pricing power and robust market position. BofA Securities also upheld a Buy rating with a $77 target, highlighting Coca-Cola’s 6% organic sales growth, which surpassed both their and consensus estimates. The company maintained its full-year 2025 guidance for organic sales growth of 5-6% and adjusted EPS growth of 2-3%. Additionally, Coca-Cola declared a quarterly dividend of 51 cents per share, reflecting its ongoing financial strength and commitment to returning value to shareholders.

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