Stock Analysis on Net
Stock Analysis on Net

Coca-Cola Co. (NYSE:KO)

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin 
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

Coca-Cola Co., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Sep 27, 2024 39.25% = 9.80% × 4.01
Jun 28, 2024 41.19% = 10.52% × 3.91
Mar 29, 2024 40.80% = 10.85% × 3.76
Dec 31, 2023 41.30% = 10.97% × 3.77
Sep 29, 2023 40.92% = 11.04% × 3.71
Jun 30, 2023 40.40% = 10.67% × 3.78
Mar 31, 2023 39.13% = 10.13% × 3.86
Dec 31, 2022 39.59% = 10.29% × 3.85
Sep 30, 2022 43.52% = 10.73% × 4.05
Jul 1, 2022 41.60% = 10.27% × 4.05
Apr 1, 2022 41.49% = 10.96% × 3.79
Dec 31, 2021 42.48% = 10.36% × 4.10
Oct 1, 2021 39.74% = 9.73% × 4.09
Jul 2, 2021 36.31% = 8.96% × 4.05
Apr 2, 2021 35.46% = 8.02% × 4.42
Dec 31, 2020 40.14% = 8.87% × 4.52
Sep 25, 2020 44.78% = 8.57% × 5.22
Jun 26, 2020 52.56% = 9.70% × 5.42
Mar 27, 2020 55.17% = 10.65% × 5.18
Dec 31, 2019 46.99% = 10.33% × 4.55
Sep 27, 2019 — = — × 4.67
Jun 28, 2019 — = — × 4.95
Mar 29, 2019 — = — × 4.98

Based on: 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-01), 10-Q (reporting date: 2021-07-02), 10-Q (reporting date: 2021-04-02), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-25), 10-Q (reporting date: 2020-06-26), 10-Q (reporting date: 2020-03-27), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-27), 10-Q (reporting date: 2019-06-28), 10-Q (reporting date: 2019-03-29).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2024 is the decrease in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

Coca-Cola Co., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Sep 27, 2024 39.25% = 22.45% × 0.44 × 4.01
Jun 28, 2024 41.19% = 22.92% × 0.46 × 3.91
Mar 29, 2024 40.80% = 23.41% × 0.46 × 3.76
Dec 31, 2023 41.30% = 23.42% × 0.47 × 3.77
Sep 29, 2023 40.92% = 23.92% × 0.46 × 3.71
Jun 30, 2023 40.40% = 23.81% × 0.45 × 3.78
Mar 31, 2023 39.13% = 22.69% × 0.45 × 3.86
Dec 31, 2022 39.59% = 22.19% × 0.46 × 3.85
Sep 30, 2022 43.52% = 23.44% × 0.46 × 4.05
Jul 1, 2022 41.60% = 23.16% × 0.44 × 4.05
Apr 1, 2022 41.49% = 25.69% × 0.43 × 3.79
Dec 31, 2021 42.48% = 25.28% × 0.41 × 4.10
Oct 1, 2021 39.74% = 23.31% × 0.42 × 4.09
Jul 2, 2021 36.31% = 22.19% × 0.40 × 4.05
Apr 2, 2021 35.46% = 21.59% × 0.37 × 4.42
Dec 31, 2020 40.14% = 23.47% × 0.38 × 4.52
Sep 25, 2020 44.78% = 24.90% × 0.34 × 5.22
Jun 26, 2020 52.56% = 26.77% × 0.36 × 5.42
Mar 27, 2020 55.17% = 26.95% × 0.40 × 5.18
Dec 31, 2019 46.99% = 23.94% × 0.43 × 4.55
Sep 27, 2019 — = — × — × 4.67
Jun 28, 2019 — = — × — × 4.95
Mar 29, 2019 — = — × — × 4.98

Based on: 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-01), 10-Q (reporting date: 2021-07-02), 10-Q (reporting date: 2021-04-02), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-25), 10-Q (reporting date: 2020-06-26), 10-Q (reporting date: 2020-03-27), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-27), 10-Q (reporting date: 2019-06-28), 10-Q (reporting date: 2019-03-29).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2024 is the decrease in efficiency measured by asset turnover ratio.

Five-Component Disaggregation of ROE

Coca-Cola Co., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover × Financial Leverage
Sep 27, 2024 39.25% = 0.82 × 0.89 × 31.03% × 0.44 × 4.01
Jun 28, 2024 41.19% = 0.82 × 0.89 × 31.19% × 0.46 × 3.91
Mar 29, 2024 40.80% = 0.84 × 0.89 × 31.07% × 0.46 × 3.76
Dec 31, 2023 41.30% = 0.83 × 0.89 × 31.67% × 0.47 × 3.77
Sep 29, 2023 40.92% = 0.83 × 0.90 × 31.95% × 0.46 × 3.71
Jun 30, 2023 40.40% = 0.82 × 0.91 × 32.00% × 0.45 × 3.78
Mar 31, 2023 39.13% = 0.81 × 0.92 × 30.65% × 0.45 × 3.86
Dec 31, 2022 39.59% = 0.82 × 0.93 × 29.16% × 0.46 × 3.85
Sep 30, 2022 43.52% = 0.82 × 0.94 × 30.35% × 0.46 × 4.05
Jul 1, 2022 41.60% = 0.82 × 0.94 × 30.24% × 0.44 × 4.05
Apr 1, 2022 41.49% = 0.79 × 0.91 × 35.94% × 0.43 × 3.79
Dec 31, 2021 42.48% = 0.79 × 0.89 × 36.19% × 0.41 × 4.10
Oct 1, 2021 39.74% = 0.75 × 0.87 × 35.85% × 0.42 × 4.09
Jul 2, 2021 36.31% = 0.74 × 0.83 × 35.98% × 0.40 × 4.05
Apr 2, 2021 35.46% = 0.76 × 0.85 × 33.43% × 0.37 × 4.42
Dec 31, 2020 40.14% = 0.80 × 0.87 × 33.82% × 0.38 × 4.52
Sep 25, 2020 44.78% = 0.85 × 0.88 × 33.29% × 0.34 × 5.22
Jun 26, 2020 52.56% = 0.86 × 0.92 × 33.89% × 0.36 × 5.42
Mar 27, 2020 55.17% = 0.87 × 0.93 × 33.37% × 0.40 × 5.18
Dec 31, 2019 46.99% = 0.83 × 0.92 × 31.31% × 0.43 × 4.55
Sep 27, 2019 — = — × — × — × — × 4.67
Jun 28, 2019 — = — × — × — × — × 4.95
Mar 29, 2019 — = — × — × — × — × 4.98

Based on: 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-01), 10-Q (reporting date: 2021-07-02), 10-Q (reporting date: 2021-04-02), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-25), 10-Q (reporting date: 2020-06-26), 10-Q (reporting date: 2020-03-27), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-27), 10-Q (reporting date: 2019-06-28), 10-Q (reporting date: 2019-03-29).

The primary reason for the decrease in return on equity ratio (ROE) over Q3 2024 is the decrease in efficiency measured by asset turnover ratio.

Two-Component Disaggregation of ROA

Coca-Cola Co., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Sep 27, 2024 9.80% = 22.45% × 0.44
Jun 28, 2024 10.52% = 22.92% × 0.46
Mar 29, 2024 10.85% = 23.41% × 0.46
Dec 31, 2023 10.97% = 23.42% × 0.47
Sep 29, 2023 11.04% = 23.92% × 0.46
Jun 30, 2023 10.67% = 23.81% × 0.45
Mar 31, 2023 10.13% = 22.69% × 0.45
Dec 31, 2022 10.29% = 22.19% × 0.46
Sep 30, 2022 10.73% = 23.44% × 0.46
Jul 1, 2022 10.27% = 23.16% × 0.44
Apr 1, 2022 10.96% = 25.69% × 0.43
Dec 31, 2021 10.36% = 25.28% × 0.41
Oct 1, 2021 9.73% = 23.31% × 0.42
Jul 2, 2021 8.96% = 22.19% × 0.40
Apr 2, 2021 8.02% = 21.59% × 0.37
Dec 31, 2020 8.87% = 23.47% × 0.38
Sep 25, 2020 8.57% = 24.90% × 0.34
Jun 26, 2020 9.70% = 26.77% × 0.36
Mar 27, 2020 10.65% = 26.95% × 0.40
Dec 31, 2019 10.33% = 23.94% × 0.43
Sep 27, 2019 — = — × —
Jun 28, 2019 — = — × —
Mar 29, 2019 — = — × —

Based on: 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-01), 10-Q (reporting date: 2021-07-02), 10-Q (reporting date: 2021-04-02), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-25), 10-Q (reporting date: 2020-06-26), 10-Q (reporting date: 2020-03-27), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-27), 10-Q (reporting date: 2019-06-28), 10-Q (reporting date: 2019-03-29).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2024 is the decrease in asset turnover ratio.

Four-Component Disaggregation of ROA

Coca-Cola Co., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Tax Burden × Interest Burden × EBIT Margin × Asset Turnover
Sep 27, 2024 9.80% = 0.82 × 0.89 × 31.03% × 0.44
Jun 28, 2024 10.52% = 0.82 × 0.89 × 31.19% × 0.46
Mar 29, 2024 10.85% = 0.84 × 0.89 × 31.07% × 0.46
Dec 31, 2023 10.97% = 0.83 × 0.89 × 31.67% × 0.47
Sep 29, 2023 11.04% = 0.83 × 0.90 × 31.95% × 0.46
Jun 30, 2023 10.67% = 0.82 × 0.91 × 32.00% × 0.45
Mar 31, 2023 10.13% = 0.81 × 0.92 × 30.65% × 0.45
Dec 31, 2022 10.29% = 0.82 × 0.93 × 29.16% × 0.46
Sep 30, 2022 10.73% = 0.82 × 0.94 × 30.35% × 0.46
Jul 1, 2022 10.27% = 0.82 × 0.94 × 30.24% × 0.44
Apr 1, 2022 10.96% = 0.79 × 0.91 × 35.94% × 0.43
Dec 31, 2021 10.36% = 0.79 × 0.89 × 36.19% × 0.41
Oct 1, 2021 9.73% = 0.75 × 0.87 × 35.85% × 0.42
Jul 2, 2021 8.96% = 0.74 × 0.83 × 35.98% × 0.40
Apr 2, 2021 8.02% = 0.76 × 0.85 × 33.43% × 0.37
Dec 31, 2020 8.87% = 0.80 × 0.87 × 33.82% × 0.38
Sep 25, 2020 8.57% = 0.85 × 0.88 × 33.29% × 0.34
Jun 26, 2020 9.70% = 0.86 × 0.92 × 33.89% × 0.36
Mar 27, 2020 10.65% = 0.87 × 0.93 × 33.37% × 0.40
Dec 31, 2019 10.33% = 0.83 × 0.92 × 31.31% × 0.43
Sep 27, 2019 — = — × — × — × —
Jun 28, 2019 — = — × — × — × —
Mar 29, 2019 — = — × — × — × —

Based on: 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-01), 10-Q (reporting date: 2021-07-02), 10-Q (reporting date: 2021-04-02), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-25), 10-Q (reporting date: 2020-06-26), 10-Q (reporting date: 2020-03-27), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-27), 10-Q (reporting date: 2019-06-28), 10-Q (reporting date: 2019-03-29).

The primary reason for the decrease in return on assets ratio (ROA) over Q3 2024 is the decrease in efficiency measured by asset turnover ratio.

Disaggregation of Net Profit Margin

Coca-Cola Co., decomposition of net profit margin ratio (quarterly data)

Microsoft Excel
Net Profit Margin = Tax Burden × Interest Burden × EBIT Margin
Sep 27, 2024 22.45% = 0.82 × 0.89 × 31.03%
Jun 28, 2024 22.92% = 0.82 × 0.89 × 31.19%
Mar 29, 2024 23.41% = 0.84 × 0.89 × 31.07%
Dec 31, 2023 23.42% = 0.83 × 0.89 × 31.67%
Sep 29, 2023 23.92% = 0.83 × 0.90 × 31.95%
Jun 30, 2023 23.81% = 0.82 × 0.91 × 32.00%
Mar 31, 2023 22.69% = 0.81 × 0.92 × 30.65%
Dec 31, 2022 22.19% = 0.82 × 0.93 × 29.16%
Sep 30, 2022 23.44% = 0.82 × 0.94 × 30.35%
Jul 1, 2022 23.16% = 0.82 × 0.94 × 30.24%
Apr 1, 2022 25.69% = 0.79 × 0.91 × 35.94%
Dec 31, 2021 25.28% = 0.79 × 0.89 × 36.19%
Oct 1, 2021 23.31% = 0.75 × 0.87 × 35.85%
Jul 2, 2021 22.19% = 0.74 × 0.83 × 35.98%
Apr 2, 2021 21.59% = 0.76 × 0.85 × 33.43%
Dec 31, 2020 23.47% = 0.80 × 0.87 × 33.82%
Sep 25, 2020 24.90% = 0.85 × 0.88 × 33.29%
Jun 26, 2020 26.77% = 0.86 × 0.92 × 33.89%
Mar 27, 2020 26.95% = 0.87 × 0.93 × 33.37%
Dec 31, 2019 23.94% = 0.83 × 0.92 × 31.31%
Sep 27, 2019 — = — × — × —
Jun 28, 2019 — = — × — × —
Mar 29, 2019 — = — × — × —

Based on: 10-Q (reporting date: 2024-09-27), 10-Q (reporting date: 2024-06-28), 10-Q (reporting date: 2024-03-29), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-29), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-07-01), 10-Q (reporting date: 2022-04-01), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-10-01), 10-Q (reporting date: 2021-07-02), 10-Q (reporting date: 2021-04-02), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-25), 10-Q (reporting date: 2020-06-26), 10-Q (reporting date: 2020-03-27), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-27), 10-Q (reporting date: 2019-06-28), 10-Q (reporting date: 2019-03-29).

The primary reason for the decrease in net profit margin ratio over Q3 2024 is the decrease in effect of taxes measured by tax burden ratio.