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Coca - Cola Consolidated Reports Third Quarter and First Nine Months 2021 Results November 9 , 2021 • Third quarter of 2021 net sales increased 10 % versus the third quarter of 2020 . • Third quarter of 2021 gross profit was $ 518 million , up $ 45 million , or 10 % , versus the third quarter of 2020 . • Income from operations for the first nine months of 2021 was $ 352 million , up $ 132 million , or 60 % , versus the first nine months of 2020 ( a ) . Key Results Third Quarter ( in millions , except per share data ) 2021 2020 Physical case volume 93.5 94.1 Net sales $ 1,457.4 $ 1,328.5 Gross profit $ 517.7 $ 472.4 Change ( 0.6 ) % 9.7 % $ 9.6 % $ First Nine Months 2021 276.9 4,160.4 2020 268.1 Change 3.3 % $ 3,728.7 11.6 % 1,461.4 $ 1,307.0 11.8 % Gross margin 35.5 % 35.6 % Income from operations $ 137.0 $ Basic net income per share $ 7.36 $ 103.8 5.53 $ 32.0 % $ 1.83 $ 35.1 % 352.1 $ 18.19 $ 35.1 % 219.8 60.2 % 11.32 $ 6.87 Beverage Sales Third Quarter ( in millions ) 2021 Sparkling bottle / can $ 773.5 $ Still bottle / can Fountain ( b ) $ $ 45.3 504.0 $ $ 2020 703.5 464.9 36.0 Change 9.9 % $ 8.4 % $ 26.0 % $ First Nine Months 2021 2020 2,221.4 $ 2,040.1 1,424.1 $ 1,239.3 121.3 Change 8.9 % 14.9 % $ 99.3 22.1 % Third Quarter and First Nine Months 2021 Review CHARLOTTE , N.C. , Nov. 09 , 2021 ( GLOBE NEWSWIRE ) -- Coca - Cola Consolidated , Inc. ( NASDAQ : COKE ) today reported operating results for the third quarter and first nine months ended October 1 , 2021 . " Our results through the first nine months of 2021 reflect a strong balance of volume growth , price realization and prudent operating expense management . Our 60 % growth in income from operations is even more remarkable when considering the pandemic - related challenges and supply chain disruptions across many industries , " said J. Frank Harrison , III , Chairman and Chief Executive Officer . " I am thankful for our amazing teammates , who continue to adapt and persevere through so many challenges , to ensure we serve our customers , our shareholders and our communities with excellence . " Net sales increased 10 % to $ 1.46 billion in the third quarter ( c ) , while physical case volume decreased 0.6 % . The increase in net sales was driven primarily by pricing actions taken throughout the third quarter of 2021 on most of our Sparkling and Still beverages . These pricing actions were taken to help offset increases to our major input costs including aluminum , PET resin and transportation costs . Sparkling volume decreased 0.6 % in the third quarter of 2021 , outperforming the price elasticity historically associated with higher pricing . Still volume decreased 0.7 % , while net sales increased 8 % . We experienced significant supply chain challenges with several of our Still beverage brands during the third quarter of 2021 , which negatively impacted our growth trend in the Still beverage category . Physical case volume and net sales increased 3.3 % and 12 % , respectively , for the first nine months of 2021 . Gross profit in the third quarter of 2021 increased $ 45.3 million , or 10 % , while gross margin decreased 10 basis points to 35.5 % . The improvement in gross profit was primarily due to the pricing actions taken throughout the third quarter of 2021. As we anticipated , the benefit of increased selling prices was partially offset by higher input costs , which resulted in relatively stable gross margin when compared to the third quarter of 2020. We expect higher input costs to continue in the fourth quarter of 2021 as commodity markets continue to be volatile and supply chains continue to be challenged . Gross profit in the first nine months of 2021 increased $ 154.3 million , or 12 % . " Our strong third quarter results demonstrate our success in navigating a very challenging operating environment . We continue to experience rising commodity costs , labor shortages for a majority of our front - line positions and supply chain interruptions for key manufacturing inputs and finished goods , " said Dave Katz , President and Chief Operating Officer . " The pricing actions we took in the third quarter in response to higher input costs are driving value across our portfolio and enabling us to maintain our margins on key brands and packages . Our sales growth of 10 % in the third quarter is a testament to the strength of our brands and our continued success in executing commercial strategies across our Coca - Cola trademark brands including new Coca - Cola Zero Sugar and other brands such as AHA and BODYARMOR . " Selling , delivery and administrative ( " SD & A ” ) expenses in the third quarter of 2021 increased $ 12.1 million , or 3 % . SD & A expenses as a percentage of net sales decreased 160 basis points in the third quarter of 2021. The increase in SD & A expenses related primarily to an increase in labor costs as compared to the third quarter of 2020. During the third quarter of 2021 , we provided incentives to attract , reward and retain our front - line teammates and we increased the base pay in certain competitive markets . We also experienced higher overtime in the quarter as the labor pool for our front - line positions continues to be challenging . SD & A expenses in the first nine months of 2021 increased $ 22.0 million , or 2 % . SD & A expenses as a percentage of net sales in the first nine months of 2021 decreased 250 basis points as compared to the first nine months of 2020 . " Labor shortages and wage inflation continue to be the most challenging aspects of managing our operating expenses as we work to fulfill our customer and consumer demand . We are committed to investing in our people and our work to ensure our wages and benefits are competitive and our value proposition resonates with teammates , " Mr. Katz continued . " While we continue to face near - term challenges that require us to remain flexible