Henrique Braun will be the next CEO of The Coca-Cola Company.
Courtesy: The Coca-Cola Company
Coca-cola Chief Operating Officer Henrique Braun will succeed James Quincey as chief executive next year, the company said Wednesday, as Coca-Cola and its rivals navigate tepid consumer demand for soft drinks.
The change will take effect on March 31 and Braun will be nominated to the company's board of directors, Coca-Cola said. Quincey will remain with the company as executive chairman of its board of directors.
Quincey, 60, has held the top job at the beverage giant since 2017. During that time, he oversaw the refranchising of Coca-Cola's bottling system, the company's strategy during the Covid pandemic and its focus on drinks perceived as healthier.
Braun, 57, has held various positions at Coca-Cola since joining the company in 1996, the same year Quincey joined. Braun became chief operating officer earlier this year.
In a statement, Coca-Cola said Braun will focus on identifying new growth opportunities around the world, better meeting consumer needs and improving the company's technology.
James Quincey, CEO of Coca-Cola, speaking on CNBC's Squawk Box outside the World Economic Forum in Davos, Switzerland, on January 22, 2025.
Gerry Miller | CNBC
The leadership change comes as the beverage company attempts to reverse slowing demand for its soft drinks, which still account for a significant amount of its global sales. In Coca-Cola's third quarter, global unit case volume, which excludes pricing and foreign currency exchanges, rose 1% after falling in the prior three-month period.
Quincey has said that low-income consumers have been buying fewer of its drinks and the company has launched cheaper, smaller versions of its products to try to reverse the trend. However, more expensive brands such as Smartwater and Fairlife have performed better than their soft drinks segment in recent quarters, suggesting consumers are willing to pay more for some brands.
Coca-Cola has also far surpassed its rival. Pepsico during Quincey's tenure, in part due to its strong out-of-home business in places such as restaurants and movie theaters.
Coca-Cola is also winning the soft drink war. Its namesake soft drink has remained the best-selling soft drink in the U.S., and Sprite surpassed Pepsi to become the No. 3 soft drink in the country.
Coca-Cola shares have outperformed Pepsi's in recent years.
Coca-Cola shares were virtually unchanged in extended trading on Wednesday. The company's shares have risen nearly 13% this year, while Pepsi's have fallen more than 1%.
Coca-Cola's market capitalization of more than $300 billion exceeds that of Pepsi, which has a market value of approximately $200 billion.
