Coca-Cola (KO) , which owns popular drink brands such as Diet Coke, Fanta, Sprite, and Dasani, has had a rough start to 2025. The company recently noticed an unexpected shift in customer behavior, and its CEO is flagging the source of the problem.

Coca-Cola says that it can manage the effects of tariffs, but that lower sales to Hispanic consumers dented its sales in the U.S. and other markets including Mexico.The beverage company posted a 3% volume drop in North America,