From CNBC: 2024-04-23 11:48:06

PepsiCo reported quarterly earnings and revenue that surpassed analysts’ expectations, despite weaker U.S. demand due to Quaker Oats recalls and price increases. Shares dropped 2%. The company’s net income rose to $2.04 billion, with earnings per share of $1.61. Net sales increased 2.3% to $18.25 billion, with organic revenue up 2.7%.

Overall volume for Pepsi products declined, with the food division down 0.5% and the beverage segment flat. The North American Quaker Food division volume plummeted 22% due to recalls. Pepsi saw a 5% volume decline in its beverage unit and a 2% drop in Frito-Lay North America’s volume. Prices for Frito-Lay increased by 3% and Pepsi’s domestic beverages by 6%.

Lower-income U.S. consumers are still budget-conscious, but international markets showed stronger demand. Asia-Pacific, China, and Europe reported volume growth for snacks and beverages. Pepsi reaffirmed its outlook for 2024, expecting organic revenue to increase by at least 4% and core earnings per share to rise by at least 8%.



Read more at CNBC: PepsiCo (PEP) Q1 2024 earnings