Coca-Cola’s profits dropped by almost 8% in the first quarter this year, as the world’s largest beverage manufacturer sold less soda and grappled with a stronger U.S. dollar.
Profits fell for the Atlanta-based company despite an overall increase in sales of non-carbonated beverages around the world and a 2% increase in global sales volume, the Associated Press reports.
Soda sales in North America fell 1% as the company raised prices. Adding to challenges for Coca-Cola—and for its competitors, like PepsiCo, which is expected to report a similarly poor performance when it posts profits Thursday—is the fact that Americans are simply drinking less soda.
“Look, we have Coca-Cola, and we have another 500 brands,” said CEO Muhtar Kent in an interview on CNBC. “The key is to offer a wide variety of choices.”