Frito-Lay Boosts PepsiCo Q2 Profit, Revenues Fall

Posted On: 7/13/2016

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TAGS: PepsiCo, Frito-Lay, vending , PepsiCo second quarter, vending, vending machine, vending business

PURCHASE, NY -- PepsiCo's second-quarter profit beat Wall Street's expectations as the soda and snack giant cut costs and sold more of its Frito-Lay snacks.

Net income for the period ended June 11 jumped 1.3% to $2.01 billion, or 1.38 per share, in the second quarter from $1.98 billion, or $1.33 per share, a year earlier.

Revenue declined to $15.4 billion from $15.92 billion, hindered by a stronger dollar and the deconsolidation of PepsiCo's Venezuelan operations.

The company said revenue from its Frito-Lay North America unit climbed in the second quarter, led by high sales of Propel flavored water, Naked cold-pressed juice, Smartfood popcorn and Simply brand snacks. Revenue also edged up in its North American beverage unit, which includes Pepsi and Gatorade, as price increases offset a dip in volume.

Elevating its forecast, the Purchase, NY-based company said it now expects 2016 adjusted earnings to be $4.71 per share up from the previous forecast of $4.66 per share.