PepsiCo announced accelerated growth in the third quarter, thanks to portfolio reshaping initiatives and improved international performance, following a decline in the same period last year. At the same time, Chairman and CEO Ramon Laguarta introduced new Chief Financial Officer Steve Schmitt, arriving from Walmart, who will take office on November 10, replacing Jamie Caulfield, who has been with the company for over thirty years.
"Steve will bring critical skills to support our growth and cost optimization strategy," Laguarta said, emphasizing the company's focus on innovation, cost restructuring, and delivering value to consumers. In the quarter, PepsiCo reported revenue growth of 2,6%, compared to 1% in the second quarter and -0,6% the previous year. Organic growth stood at 1,3%, in line with 2024 but lower than the 2,1% growth rate in the previous quarter.
Volume sales remain under pressure: -1% on average for food and beverages, with declines of 4% for PepsiCo Foods North America, -3% for North America Beverages, and -1% for the international business. The EMEA region bucked the trend, with beverages growing by 1,5%. The group confirmed its forecast for low-single-digit organic growth for the full year and essentially stable earnings per share. However, pressure from investors—particularly Elliott Management, which holds approximately $4 billion in shares—is pushing PepsiCo toward a review of its North American beverage business and a possible refranchising of its bottling network. Laguarta concluded: "We are building a more agile, competitive, and sustainable portfolio to create long-term value for our shareholders."
