In 2025, Coca-Cola reported a contradictory annual performance. The company's full-year revenue reached $47.941 billion, marking a modest 2% year-over-year increase. Net profit surged 23% to $13.137 billion, seemingly reflecting the century-old giant's stable operational momentum. However, this impressive profitability could not conceal underlying growth concerns. Global unit case sales recorded nearly zero growth for the first time in a decade, while fourth-quarter revenue fell short of Wall Street expectations for the first time in five years. Operating profit in the Asia-Pacific region plummeted 36%, indicating that the beverage titan is encountering rare growth challenges in its long history.

The significant rise in Coca-Cola's annual net profit was not driven by sales volume expansion but was entirely sustained by price increases. To counter operational pressures from rising raw material costs, the company raised its average product prices by 4% for the full year, with a 6% increase in the third quarter alone. This shift broke the company's long-standing development model of simultaneous volume and price growth.

Regional market performance further highlighted Coca-Cola's operational strain. While emerging markets such as Central Asia, North Africa, and Brazil saw slight growth, sales declined in mature markets like the United States, Mexico, and Thailand. More notably, the Asia-Pacific region experienced a 7% year-over-year drop in fourth-quarter revenue, accompanied by a 36% plunge in operating profit. As one of the world's most dynamic consumer markets, China's carbonated beverage sector has contracted for three consecutive years. Under competitive pressure from local brands, Coca-Cola's market competitiveness continues to weaken.

The growth challenges facing Coca-Cola stem from a combination of external consumer trends, industry competition, and internal operational issues. A global shift toward healthier consumption habits has made sugar reduction a common consumer preference, steadily replacing daily demand for traditional carbonated drinks. The company's delayed expansion into healthier beverage categories has hindered its ability to support overall performance growth.

Persistent weakness in the key Asia-Pacific market, particularly in China, has been exacerbated by comprehensive competition from local beverage brands. Companies such as Nongfu Spring, Genki Forest, and Dongpeng Special Drink have captured market share through more agile product offerings, distribution channels, and marketing strategies. In contrast, Coca-Cola's globally standardized operational approach has struggled to adapt to rapid changes in the Chinese market.

It is noteworthy that the beverage industry has become increasingly diversified. The rapid expansion of freshly made tea drinks, the growing penetration of premium coffee into mass markets, and the continuous segmentation of functional beverage consumption scenarios have collectively reshaped consumer preferences. The rich flavors of milk tea, the health benefits of sugar-free tea, and the situational value of functional drinks have eroded the once-unique market position of traditional carbonated beverages. Intensifying price competition in the freshly made coffee and tea segments has further weakened Coca-Cola's previously strong price competitiveness.