Tag Archives: Pepsi

PepsiCo sustains revenue, profit growth with price increases, healthier drinks and snacks

PepsiCo said on Tuesday that price increases implemented on its premium products in North America helped lift sales and profits in the second quarter.

The soft drinks giant recorded a 2% growth in revenue to $15.4bn in the second quarter, while net profit climbed 5% to $2.1bn. Half-year profit grew 17% to $3.4bn. It notes that “guilt-free” drinks which it describes as drinks with fewer than 70 calories such as diet sodas, and foods with lower levels of sodium and saturated fat like baked crisps which now account for about 45% of the its sales helped fuel higher revenue and profit.

Currency weakness, inflation push 7-Up to half-year loss

Soft drinks maker, 7-Up Bottling Company said on Monday that currency weakness related to the recent Naira devaluation led to higher cost of goods sold and higher selling and distribution expenses, resulting in a half-year loss . The bottler of Pepsi-Cola declared a net loss of N1.6bn.

Seven-Up said that sales grew 19% to N47bn despite the macroeconomic challenges. In the previous year, revenue was N40bn. However, a 26% jump in cost of sales to N38bn, from N28bn plus a 26% rise in selling and distribution expenses all weighed on the soft drink maker’s earnings.

Interbrand’s Top global beverage brands for 2016

Interbrand, the world’s biggest and most influential brand consultancy has released its 2016 Top Best 100 brands report. The list is a mixed bag of brands from a diverse set of industries with Apple and Google topping the list.

There were 11 global beverage brands in the top 100, starting with Coca-Cola, 3; Pepsi Cola, 23; Budweiser, 30; Nescafe, 36; Jack Daniel’s, 85; Sprite, 86; Heineken, 87; Corona Extra, 93; Johnnie Walker, 95; Smirnoff, 96; Moet & Chandon Champagne, 97.

Seven-Up post 53% profit decline in full-year amid worsening economic environment, competition

Seven-Up Bottling Company Plc, said on Wednesday that net income for the fiscal-year ending March 31 2016 fell 53% to N3.34bn, from N7.12bn a year earlier.

The poor performance of the soft drink maker is attributable to the worsening economic environment in the country – low oil revenue, currency headwinds, inflation of 15.6% as of May 2016 compared to 9.2% a year earlier, which is the last time the company posted higher profits. Insurgency and terrorism in different parts of the country, competitive pressure, among others also weighed on the company’s profits.

South African Competition Commission approves AB InBev, SABMiller merger on conditions

The South African Competition Commission said on Tuesday it had approved the merger of AB InBev and SABMiller on the condition that AB InBev sell SABMiller’s 26% stake in Distell Group, a major producer of wines, cider and spirits in the country. According to Bloomberg, Distell is worth $559m.

PepsiCo says focusing more on ‘guilt-free beverages’, less on carbonates

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PepsiCo, the giant soft drinks maker known for its Pepsi-cola brand, among others, said it “was aggressively moving towards products with fewer calories” in a bid to transform its product portfolio. It added that it was reducing reliance on carbonates and focusing more on what it calls ‘guilt-free’ beverages.

PepsiCo set to unveil new “Say it With Pepsi” Moji Campaign on products

PepsiCo, the giant soft drink company behind such iconic brands like Pepsi, Mountain Dew, Diet Pepsi and others is set to launch an emoji-clad packaging campaign in more than 100 countries this year, with the hopes that people will be encouraged to buy their drinks, as well as promote them on social media.

So far there has been no word yet from Seven-Up Bottling Company, the local PepsiCo affiliate in Nigeria, on whether the campaign would be coming to Nigeria.

PepsiCo sees 31% surge in fourth quarter (Q4) profits on strong U.S. economy, falling fuel prices

PepsiCo, the global soft drinks giant known for its Pepsi brand, mountain dew, among others said on Thursday that its fourth-quarter profit rose 31%. However, the Chief Executive Officer, Indra Nooyi warned that continued weaker economies abroad could upend the U.S. economy.

The snack and beverage maker reported the best performance at its North American drinks unit in three years, with U.S. consumers willing to pay more for its products on the strength of cheaper fuel prices and a strong U.S. economy.

Pepsi raises stakes, launches ‘long throat bottle’

We are in for interesting times in the Nigerian soft drinks market. Seven-Up Bottling Company, the bottlers of the famed Pepsi-Cola brand in Nigeria has just launched a 60cl bottle for Pepsi and other brands in its stable, including Mirinda, 7-Up and Teem, in what may seem like the opening salvo to a possible cola war.

Pepsi’s new 60cl bottle is a direct challenge to the new entrant in the Nigerian soft drinks market, BIG Cola from AJEAST Nigeria Limited, a subsidiary of AJE Group of Peru.

What happens to AB InBev, SABMiller’s soft drinks bottling operations?

AB InBev formally agreed to buy its smaller rival, SABMiller on 11th November, in a $108bn mega deal that would see it control 30 percent of global beer volumes.

While the brewer works out the finer details before the deal can be finalized, such as regulatory issues in some markets, there is the issue of how to resolve the ownership of their soft drinks assets. While both companies are known for their beer brands, they also bottle soft drinks in some key markets to complement their products.