- PepsiCo tops earnings and revenue expectations for its third quarter.
- The food and beverage giant now expects to meet or exceed its 4% target for organic revenue growth in 2019.
- Organic revenue grew by 4.3% during the quarter.
PepsiCo on Thursday announced quarterly earnings and revenue that topped expectations, as its increased spending on advertising and marketing paid off for brands like Gatorade.
Shares of the food and beverage giant gained 2.6% in premarket trading.
“Given our performance year-to-date, we now expect to meet or exceed our full-year organic revenue growth target of 4%,” CEO Ramon Laguarta said in a statement.
The company reaffirmed its earnings outlook for fiscal 2019. It expects adjusted earnings per share, assuming constant foreign currency exchange rates, to decline by 1%.
Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by Refinitiv:
Earnings per share: $1.56, adjusted, vs. $1.50 expected
Revenue: $17.19 billion vs. $16.93 billion expected
Pepsi reported fiscal third-quarter net income of $2.1 billion, or $1.49 per share, down from $2.5 billion, or $1.75 per share, a year earlier. The company’s strategy for sales growth includes investing more on marketing and advertising its products…