New Delhi, Jul 12 (PTI) Global food and beverage leader PepsiCo on Tuesday reported double-digit organic revenue growth in the Indian market in the second quarter ended June 2022.
“Our developing and emerging markets remained resilient and delivered double-digit organic revenue growth in the quarter, including double-digit organic revenue growth in Mexico, Brazil, China, South Africa, in India…,” PepsiCo said in a statement.
Read also | Hyundai Motor will build a dedicated electric vehicle factory in South Korea by 2025: report.
PepsiCo’s second-quarter 2022 net revenue from the Africa, Middle East, South Asia (AMESA) division, which includes India, rose 5.86% to $1.69 billion from $1.60 billion, the company said in its income statement. .
This primarily reflects “organic volume growth and effective net pricing, partially offset by an unfavorable 10 percentage point impact from an additional month of net sales in 2021 as we align Pioneer Foods’ reporting schedule on that of our AMESA division,” PepsiCo said. .
Read also | Google Pixel 6 users report black dots on screen.
In the second quarter, its convenience foods unit volume grew 10% in AMESA, primarily reflecting “double-digit growth in the Middle East and India,” PepsiCo said.
Similarly, its “beverage unit volume grew 28%, primarily reflecting double-digit growth in India. Additionally, the Middle East, Nigeria and Pakistan each saw double-digit growth,” it said. he declared.
Its operating profit for the quarter in the AMESA division rose 14%, “primarily reflecting net sales growth and productivity gains.”
However, these impacts were partially offset by an impact of “higher commodity costs, primarily packaging materials and cooking oil, some increases in operating costs, and higher advertising and marketing expenses. high”.
Unfavorable foreign exchange rates also reduced operating profit growth by 7 percentage points, PepsiCo said.
Overall, PepsiCo’s worldwide net revenue growth for the quarter increased 5.24% to $20.2 billion, the company said.
While sharing year-to-date market share performance, PepsiCo said it gained market share in salty snacks in many of its international markets, including China and India.
PepsiCo’s savory snack portfolio in India includes Doritos, Lays and Kurkure.
For the 24 weeks ended June 11, 2022, PepsiCo’s net revenue in the division was $2.7 billion.
Commenting on the results, Chairman and CEO Ramon Laguarta said, “We are pleased with our results for the second quarter as our business momentum continued despite continued macroeconomic and geopolitical volatility and higher levels of inflation across our markets. said Chairman and CEO Ramon Laguarta.
The company also improved its forecast for 2022 and expects growth of 10%.
“Given our year-to-date performance, we now expect our organic revenue for the full year to increase 10% (previously 8%) and we continue to expect basic constant currency earnings per share increased 8%,” he said. .
(This is an unedited and auto-generated story from syndicated newsfeed, LatestLY staff may not have edited or edited the body of the content)