PepsiCo's Q2 Earnings Beat Estimates, But Revenue Falls Short Due to Weakening Demand in North America
PepsiCo reported mixed second quarter results, with earnings beating estimates but revenue missing targets as demand weakened in North America. Volume declined at Frito-Lay North America and for Pepsi's North American beverage unit, reflecting softening consumer demand. Quaker Foods North America saw its volume fall due to recalls earlier in the year that continue to impact sales. Executives said consumers have become more value-conscious and price-sensitive in North America after years of price hikes. The company is focusing on higher-margin packs and products along with promotions to attract thriftier shoppers. Pepsi narrowed its full-year revenue growth outlook.
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00:00It's Benzinga and here's what's on the block.
00:02PepsiCo reported mixed second quarter results with earnings beating estimates but revenue
00:06missing targets as demand weakened in North America.
00:10Volume declined at Frito-Lay North America and for Pepsi's North American beverage unit
00:14reflecting softening consumer demand.
00:16Quaker Foods North America saw its volume fall due to recalls earlier in the year that
00:20continued to impact sales.
00:22Executives said consumers have become more value conscious and price sensitive in North
00:26America after years of price hikes.
00:29The company is focusing on higher margin packs and products along with promotions to
00:33attract thriftier shoppers.
00:35Pepsi narrowed its full year revenue growth outlook.
00:38For all things money, visit Benzinga.com.