PepsiCo Inc reported the fastest sales growth in at least a decade and raised its forecast, benefiting from thirsty consumers returning to restaurants, bars and stadiums and others diving into bags of chips.
Second-quarter revenue rose 13 per cent on an organic basis, which excludes acquisitions and currency changes, reaching $19.2 billion (€16.27bn), the company said Tuesday. Analysts expected $17.9 billion.
The results show how well Pepsi is down the road to recovery, with North America businesses bouncing back and millions of consumers venturing out again. However, Pepsi said recoveries in some other markets have been uneven due to pandemic restrictions.
Frito-Lay's North America sales grew, but a 14 per cent drop in sales at Quaker Foods shows that more people are eating breakfast outside the home.
Earnings grew to $1.72 a share excluding some items, compared with the $1.53 average of analysts' estimates. The company raised its forecast for full-year core EPS growth to 11 per cent on a constant-currency basis.
Shares of Pepsi rose 1.6 per cent in premarket trading. They were up less than 1 per cent this year through Monday’s close, trailing the 17 per cent gain in the SandP 500 but ahead of Coca-Cola Co, which is down slightly. – Bloomberg
