Food Carries PepsiCo to Good Quarterly Numbers

Oct. 13, 2022

Profit for the Frito-Lay and Quaker divisions hit double-digit percentage increases.

Buoyed by its food divisions, PepsiCo reported favorable third-quarter results and raised its earnings guidance for the remainder of this fiscal year.

PepsiCo’s sales for the quarter stood at $21.97 billion, an 8.8% increase over the same period last year. Net income was $2.7 billion, a 23% increase.

The good performance was driven by PepsiCo’s Frito-Lay and Quaker Foods North America divisions. Frito-Lay posted net revenue of $5.56 billion, a 20% year-over-year increase, and operating profit of $1.59 billion, up 17%. For Quaker, the respective numbers are $713 million and $122 million, both up 15%.

PepsiCo Beverages North America posted net revenue of $6.64 billion, up 3.6% from the same period last year, and operating profit of $784 million, up 1.4%.

“We are very pleased with our results for the third quarter as our global business momentum remains strong,” CEO Ramon Laguarta said in a statement. “Given our year-to-date performance, we now expect our full-year organic revenue to increase 12% (previously 10%) and core constant currency earnings per share to increase 10% percent (previously 8%).”

About the Author

Pan Demetrakakes | Senior Editor

Pan has written about the food and beverage industry for more than 25 years. His areas of coverage have included formulations, processing, packaging, marketing and retailing. Pan worked for Food Processing Magazine for six years in the 1990s, where he was operations editor (his current role), touring dozens of food plants of every description. He has also worked for Packaging and Food & Beverage Packaging magazines, the latter as chief editor, during which he won three ASBPE awards. He is a graduate of Stanford University with a BA in communications.