Earnings calls reveal how companies ranging from Coca-Cola to JPMorgan are capitalizing on AI

Published Sun, Oct 29 20236:54 AM EDT

Enthusiasm around artificial intelligence has seemed to provide the much-needed boost to technology stocks this year after a difficult 2022. But the growth sector isn't the only industry poised to benefit from the emerging tools, and many companies beyond have already begun showcasing the ways AI is transforming their businesses. The craze around AI kicked off late last year with the launch of ChatGPT, and dozens of technology companies from Alphabet to Meta Platforms have thrown a hat into the ring . Many companies have utilized AI or machine-learning tools in the past to streamline their businesses. But the new wave, fueled by large language models and generative AI that enable companies to create new content or even summarize or assist with administrative tasks, seems to be spreading to every corner of the economy. As third-quarter earnings season gains steam, CNBC Pro used FactSet to search the latest earnings transcripts for some of the ways the largest global companies outside technology are getting behind AI. Consumer-focused companies creating everything from cars to laundry detergent and popular pantry items are among those finding new ways to utilize AI to better predict demand, consumer spending behaviors and improve supply chains. For pharmacy giant Walgreens Boots Alliance and soda maker Coca-Cola , AI is helping improve supply chains, forecast demand and in some cases, predict spending. Tractor Supply has even implemented a new tool that can answer questions. Restaurants have taken a seat at the table. Domino's Pizza highlighted on a recent earnings call its partnership with Microsoft to improve the ordering experience for customers and streamline operations. Health care Health-care companies arguably stand to see some of the most critical innovation from AI, and many are already harnessing these new tools to amp up the customer experience and help doctors improve their techniques. Medical equipment company ResMed , for example, highlighted in a Thursday earnings call the early rollout of its ComplianceCoach tool, which harnesses sleep and respiratory data to predict and identify patients who may struggle to follow therapy. Meanwhile, Intuitive Surgical said early feedback regarding its Case Insights AI program aimed at providing hospitals and care teams with insights into ways they can improve their techniques, or procedures, has been "very good." "While we do have some revenue for it, we don't expect it to be a serious revenue driver," said CEO Gary Guthart in a recent earnings call. "We think it is an ecosystem complementer, and we look forward to describing it more to you as time goes on." Health-care companies have also joined the mix of firms integrating AI to hone their businesses. Centene , UnitedHealth and Elevance Health all highlighted ways they are implementing AI to improve customer offerings. Elevance said it's in the "early stages" of the launch of new AI capabilities to customize the member experience, while UnitedHealth said AI has also enabled the company to speed up call documentation and cut administrative costs. Financials Major financial and banking companies are also finding ways to capitalize on AI to improve efficiencies and their bottom line. On its latest earnings call, Bank of America highlighted the addition of its virtual financial assistant Erica to its digital banking platform CashPro to enable its corporate clients to utilize AI. Elsewhere, Moody's announced plans to work with Google Cloud on potential large language models catered to financial professionals, while Mastercard is harnessing the technology for transaction fraud monitoring. Invesco CEO Andrew Schlossberg said on the company's latest earnings call that the investment management firm is also in the "early days" of AI experimentation to lower costs and drive efficiency. "We simply have to do it," said JPMorgan Chase CEO Jamie Dimon on a recent earnings call, noting that the banking giant is using AI for a range of purposes, including prospecting and marketing. "Does it create opportunity for disruptors to come in? Yeah, of course. That's always been true with technology, but we'll be quite good at it."