PepsiCo (NASDAQ:PEP) Inc. raised guidance after third-quarter results topped Street expectations, sending shares in the soft drink and snack giant 1.2% higher in pre-market trading.
Net income in the quarter rose to $3.09 billion, or $2.24 a share, from $2.70 billion, or $1.95 a share, in the same period a year ago.
Excluding non-recurring items, core earnings per share of $2.25 were ahead of the FactSet consensus of $2.15 while revenue of $23.45 billion, up from $21.97 billion, was also ahead of the FactSet consensus of $23.41 billion.
"We are pleased with our performance as our businesses and associates displayed tremendous agility and resilience across geographies and categories in an evolving and dynamic environment," chief executive Ramon Laguarta said in a statement.
Laguarta continued: "We believe that our businesses can continue to perform well in the coming years with category growth normalizing, as we have made numerous investments in our brands, manufacturing capacity, go-to-market systems, supply chain, technology, and people, to execute against our strategic framework and modernize our company."
Revenue at Frito-Lay North America rose 7%, while it was up 5% at Quaker Foods North America.
PepsiCo (NASDAQ:PEP) Beverages North America rose 8%, while Latin America was up 21% and Europe up 2%.
For 2023, the company revised its core EPS guidance to $7.54 from $7.47 previously.
"For fiscal year 2024, we expect to deliver results towards the upper end of our long-term target ranges for both organic revenue and core constant currency EPS growth," the firm said.
The company's long-term target ranges for both organic revenue growth and core constant currency EPS growth remain unchanged.