New York — Coca-Cola will step up its bid to transform the company into a far leaner operation under incoming CEO James Quincey. The softdrink giant vowed to cut costs by an additional $800m a year, adding to a plan to obtain $3bn in savings. The belt-tightening effort accompanies a move to spin off much of Coca-Cola’s bottling operations, one of the company’s biggest strategic changes in decades. Quincey takes the reins on May 1 from Muhtar Kent, who has been divesting bottling plants around the world. The company is trying to re-emerge as a more focused — and profitable — business, which will concentrate on developing new drinks and selling ingredients to partners. For now, the changes are taking a toll on results. Coca-Cola posted first-quarter earnings of 43 US cents a share on Tuesday, short of the 44c predicted by analysts. A decline in softdrink volumes and currency fluctuations also continued to weigh on sales. Revenue fell 11% last quarter, with the structural changes accou...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as exclusive Financial Times articles, Morningstar financial data, and digital access to the Sunday Times and Times Select.

Already subscribed? Simply sign in below.

Questions or problems? Email or call 0860 52 52 00.