PepsiCo (PEP) revenues in the third quarter were 25.27 billion USD (+5.6% y/y), and earnings per share (GAAP) increased by 17.4% y/y to a level of 2.23 USD.

Quarterly results#

Adjusted earnings per share were 2.34 USD (+2.2% y/y), while revenues in the PFNA segment reached 6.50 billion USD.

Management commentary#

According to management, expiring commodity price hedges will cause an increase in costs, which will be partially visible in the next quarter. Management noted that they are not satisfied with results in North America and are considering a revision of the business model and distribution. According to management, the company intends to limit non-growth related expenses to redirect funds toward growth-driving brands, which is expected to bring improvement in subsequent quarters and next year.