Tag Archives: PepsiCo

Former PepsiCo CEO Indra Nooyi appointed to Amazon board

Indra Nooyi, the erstwhile CEO of PepsiCo has been appointed to the Board of Directors of US online retailer Amazon.com.

Nooyi who spent 24 years with PepsiCo, including 12 as the CEO stepped down in October and gave up her seat on the beverage giant’s board this February.

PepsiCo finishes year higher amid rising costs

PepsiCo, the company behind such brands as 7Up, Pepsi Cola, Mountain Dew, Aquafina bottled water, among others reported a 2% revenue growth for the full year 2018 to $64.6bn. Fourth quarter sales was flat at $19.5bn.

The company said that fourth quarter net income rose to $6.85bn compared to a loss of -$710m in the same period in 2017, while full year net income grew to $12.55bn, from $4.9bn in the previous year,  due to a one-time $2.5bn tax charge related to the new U.S. tax law. 

PepsiCo sees silver lining in Q3 despite being weighed by a strong dollar

PepsiCo said on Tuesday that third quarter profit grew 16% to $2.49bn showing signs of renewed consumer demand for its brands including its namesake cola and other beverages.

While the firm’s Frito-Lay North America snacks business did a lot of the heavy lifting with 3% sales growth in the third quarter, the company’s flagship North America Beverage unit came back to life with a 2% growth, helped by a strong marketing push, albeit at a cost as Operating Profit for the business unit declined by 11% as a result of the increased marketing spend as well as rising transportation and commodity costs.

PepsiCo joins group to develop bio-degradable PET bottles

PepsiCo has joined the The NaturALL Bottle Alliance to develop beverage containers that are bio-degradable.

The alliance is a research consortium formed by Danone, Nestlé Waters and bio-based materials development company, Origin Materials to accelerate the development of innovative packaging solutions made with 100 per cent sustainable and renewable resources.

PepsiCo buys countertop seltzer-machine maker SodaStream for $3.2bn

New York-based PepsiCo Inc announced on Monday it has acquired Israeli-based SodaStream, a maker of counter top machines for making carbonated drinks from water filled in a reusable bottle and flavours if desired.

The deal which cost PepsiCo $3.2bn will allow it broaden its offerings beyond sugary drinks and promote itself as a maker of “in-home beverage creation”, according to Mr. Hugh Johnston, PepsiCo’s Chief Financial Officer.

PepsiCo’s Nooyi to leave post

Indra Nooyi, the long-serving Chief executive Officer of Purchase, New York based PepsiCo is to step down from her post after 12 years.

The 62-year old Nooyi, who has been with the company for 24 years, will cede the CEO role to 54-year old Ramon Laguarta, a Spaniard and 22-year veteran of the soft drinks giant.

PepsiCo’s Q2 profit slumps on sluggish sales of trademark soda

PepsiCo on Tuesday reported a 2.4% revenue growth for the second quarter of 2018 to $16.09bn.

However, the results did not mirror the performance of its North American Beverages unit, its largest segment, which declined by 1% to $5.1bn.

The firm’s North American beverages unit has been posting declining sales for four consecutive quarters (since third quarter of 2017), a worrisome trend for the soda giant to consider operating it as a separate unit or spinning it off into a stand-alone public entity or do what its main rival Coca-Cola has done by refranchising them to multiple franchisees.

PepsiCo reports strong start to year despite struggles with soda business

PepsiCo on Thursday reported its first quarter results for 2018, with revenue growing 4% to $12.6bn from $12bn in 2017. The growth was helped by a 3% sales rise in its Frito-Lay North American snacks business.

On the International front, the company reported strong growth in Latin America and Europe Sub-Saharan Africa, which recorded 14% and 15% growth, respectively.

The soft drinks giant said its Quaker Foods North American division had flat sales, while its North American Beverages unit, which houses its soda drinks declined by 1%.

“North American beverages sector continues to work through some challenges,” said the company’s CEO Indra Nooyi.

PepsiCo sees flat sales and earnings slump in full year as firm struggles with beverage sales

PepsiCo reported a sharp drop in earnings for the full year 2017 by 23% to $4.9bn, blamed on a host of factors including sales decline in its North America Beverages business unit and Quaker Foods North America business segment plus a $2.5bn one-time charge related to the new U.S. tax laws.

Lagging sales in core brands crimp PepsiCo’s 3Q sales

Soft drinks giant PepsiCo said on Tuesday that a focus on healthier and low-calorie drinks may have hurt third quarter sales.

The company’s CEO Indra Nooyi said that the company stocked shelf space with more of its newer, low-calorie drinks and spent too much on marketing promoting them at the expense of its core brands such and Pepsi and Mountain Dew.

PepsiCo, like all soft drinks companies have been playing a balancing act to reformulate its portfolio to reflect changing consumer tastes towards healthier, low-calorie beverages and away from high-calorie drinks. So the company has to weigh between growth of its newer low-calorie drinks and defending its position as the bulk of the firm’s beverage sales still come from its core brands –Pepsi and Mountain Dew.