Coca-Cola on Wednesday reported a 16% drop in revenue for the second quarter of 2017, to $9.7bn, and a half-year sales decline of 14% to $18.8bn.

The Atlanta-based company blamed the drop on refranchising costs of its North American bottling operations and currency headwinds. The company said that it took a charge of $653m related to its North American bottling operations.

However, despite the drawbacks, analysts hailed the results noting that it was higher than expected. The company’s new CEO James Quincey said that the results were in line with their expectations of turning the company into a total beverage firm.