Coca-Cola said on Wednesday that second quarter net income rose 11% to$3.45bn, from $3.11bn earned in the same period in 2015.

The Atlanta-based soft drinks maker said that net income included non-cash gains from the deconsolidation of its German bottling operations, partially offset by charges from restructuring and re-franchising of its North American territories.

It noted that if those items were excluded, net income would have fallen to .60 cents per share as against .79 cents per share.

The beverage giant said revenue for the quarter fell 5% to $11.54bn, from $12.16bn in 2015. The company noted that second quarter revenue fell in each of its regional units worldwide except in North America. Coke added that global unit case volume was flat versus a year ago.

“Strong performance in some of our largest and most developed markets, including the United States, Mexico and Japan, was offset by difficult external conditions in many of our emerging and developing markets, including China and Argentina. These factors combined to put pressure on our volume and top-line performance in the quarter, especially where we own bottling businesses,” CEO Muhtar Kent said in a statement.

“In these international operations where external headwinds have proven to be more severe than originally forecast, we are taking action by reassessing local market initiatives where needed and continuing our efforts in driving productivity.”

The company said it was cutting organic revenue forecast for the rest of 2016 to 3%, from 4% to 5%. Organic revenue excludes the effects of foreign currencies and the impact of acquisitions and divestitures.