PepsiCo, the U.S. food and beverage giant, posted second-quarter revenue that exceeded market expectations despite slowing demand in the North American market.
According to PepsiCo on the 9th, second-quarter revenue rose 6.4% from a year earlier to $24.2 billion (about 36.5807 trillion won). This exceeded the Wall Street forecast of $23.9 billion (about 36.1391 trillion won) compiled by market research firm FactSet.
Ahead of the Super Bowl, the National Football League (NFL) championship game, in February, PepsiCo cut prices on U.S. snack products including Lay's, Doritos, Cheetos and Tostitos by up to 15% to ease consumers' burden from years of price increases. As a result, snack demand in North America grew in the first quarter. In the second quarter, however, gasoline prices surged due to the impact of the Middle East war, leaving North American snack sales at the same level as a year earlier while beverage sales fell 4%.
By contrast, sales in overseas markets performed well. On a global basis, snack sales rose 3% and beverage sales increased 2%.
PepsiCo said, "We plan to continue our efforts to lower the burden of product prices going forward," adding, "We are also pursuing improvements to our product lineup to meet the demand of health-conscious consumers."
