Pepsi passed» PepsiCo Wall Street is forecasting first-quarter revenues and profits as demand for soft drinks and snacks like Cheetos and Doritos in international markets drives growth even as they see a slowdown in the US.
The company’s first-quarter net income increased 2.3% to $18.25 billion, beating estimates. LSEG amounting to $18.07 billion, higher than the company’s underlying profits PepsiCo of $1.61 per share a projection of $1.52.
First-quarter sales rose at the company’s biggest business PepsiCothe beverage unit in North America, down 1%, while the number of organics was down 5% %.
Total sales per unit decreased Quaker food In North America, it was up 24% after returning results Quaker For the first time in December in the United States due to possible salmonella contamination.
Company intended PepsiCo Its business in North America will gradually improve as the effects related to the product recall moderate.
The CEO of Pepsi, Ramon Laguarta, said that the company is working to expand its portfolio in developed and emerging markets to stimulate demand by launching products such as Quaker instant oats and energy drink. Celsius..
Consumers across Europe, Asia-Pacific and China spent money on expensive Pepsi soft drinks and potato chips, while consumers in the US cut back on product purchases due to tight budgets..
“We’ve had three years of consumer price inflation that has to be factored in, and I think the cumulative effect of that is putting some pressure on the consumer, ” said CEO Jamie Caulfield. But we expect this to decrease over time».
The company’s average prices jumped 5% in the first quarter, and its organic volume fell 2%, compared to a 4% decline in the fourth quarter..
The international business represented about 40% of PepsiCo’s fiscal 2023 revenue, with its North American business accounting for the rest..
Shares in the company, which also maintained its financial forecast for 2024, fell 1.5 percent %.
said Gerald Pascarelli, an analyst at: Marriage: «This will be another year of price-led revenue growth despite lower prices».
2024-04-23 14:33:41
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