Hotline: 1800 102 2007
X
Search Business Opportunities
Apr, 27 2018

Pepsi gets sales Boost from snack segment

Core earnings were 96 cents a share in the latest quarter, beating the 93 cents that analysts were expecting.

The iconic American beverage maker PepsiCo’s has posted sales and earnings beating analysts’ estimates in the first quarter, buoyed by increased volumes of Frito-Lay chips as the drinks business continued to struggle.

PepsiCo, like rival Coca-Cola, has focused on introducing new, innovative drinks and products. But it was food brands that drove gains in the quarter.

The beverage-maker had previously said it had shifted its spending too far in the direction of upstarts and away from its biggest names, so it has since refocused attention on its most recognizable labels.

Core earnings were 96 cents a share in the latest quarter, beating the 93 cents that analysts were expecting. Revenue was $12.6 billion, compared with a forecast $12.4 billion. The results are a promising sign, although the North America beverage division is still beset as consumer tastes shift away from colas.

Consumption of carbonated soft drinks fell to a 31-year low in the US in 2016, according to Beverage-Digest, a trade publication. PepsiCo has relied instead on growth in its snack business. Health conscious consumers who have moved away from sugar-laden sodas haven’t made the same moves away from chips.

PepsiCo has also introduced organic and better-for-you versions of some of its biggest snack brands. Growth in the Frito-Lay division helped boost sales in the quarter. The maker of Mountain Dew and Cheetos also benefited from cost cuts as chief executive officer Indra Nooyi continues pursuing at least $1 billion in annual savings.

Comment
Related opportunities
  • Beauty Salons
    About Us: Cut & style is one of the finest and..
    Locations looking for expansion New Delhi
    Establishment year 2000
    Franchising Launch Date 2018
    Investment size Rs. 30lac - 50lac
    Space required 1000
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater DELHI New Delhi
  • Bars, Pubs & Lounge
    About Us: Started by Praveesh Govindan & Celebrity Brazilian chef Guto..
    Locations looking for expansion Maharashtra
    Establishment year 2017
    Franchising Launch Date 2018
    Investment size Rs. 1 Cr. - 2 Cr
    Space required 1500
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Mumbai Maharashtra
  • Pharmacies
    About Us: Pharmatree is a successful brand promoted by industry experts..
    Locations looking for expansion Karnataka
    Establishment year 2007
    Franchising Launch Date 2018
    Investment size Rs. 10lac - 20lac
    Space required 200
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Bangalore Karnataka
  • Bars, Pubs & Lounge
    About :  Grandmama's Cafe is an all-day café and bar..
    Locations looking for expansion Maharashtra
    Establishment year 2016
    Franchising Launch Date 2018
    Investment size Rs. 1 Cr. - 2 Cr
    Space required 2500
    Franchise Outlets -NA-
    Franchise Type Unit
    Headquater Mumbai Maharashtra
Insta-Subscribe to
The Franchising World
Magazine
For hassle free instant subscription, just give your number and email id and our customer care agent will get in touch with you
OR Click here to Subscribe Online
Daily Updates
Submit your email address to receive the latest updates on news & host of opportunities