Coca-Cola recently announced plans to invest $10 billion in U.S. infrastructure by 2030, a figure that includes spending by its bottling partners. The company intends to focus on expanding production, distribution, and office facilities, primarily building on previously announced projects.
In 2023, Coca-Cola plans to spend $2.2 billion on capital expenditures, slightly up from last year’s $2.1 billion. If this trend continues, the total capital expenditures over the next five years could reach approximately $11 billion, while systemwide spending was about $8 billion last year, potentially leading to $40 billion in total expenditures if spending remains consistent.
Despite this substantial planned spending, Coca-Cola isn’t necessarily adding new expenditures; instead, it’s reaffirming its existing plans. The company expects to produce $12.4 billion in free cash flow after capital spending this year, easily covering dividends of $8.8 billion and supporting consistent dividend growth for 64 consecutive years. Overall, Coca-Cola remains a strong investment option for those interested in steady dividend growth.
