News

PepsiCo 2018 hit by rising beverage costs in North America - results

Most popular

Why Diageo is winning the Tequila race

Will Diageo earn its gin wings with Aviation?

Spirits brand owners and their green efforts

The just-drinks Analyst returns - Feb '21

Anheuser-Busch InBev in 2020 - results preview

MORE

PepsiCo's global beverage volumes climbed 1% last year, but North American Beverages saw volumes drop as rising costs bit into profits.

PepsiCo blamed factors including higher transport costs for the operating profits fall

PepsiCo blamed factors including higher transport costs for the operating profits fall

Volumes at the NAB unit fell 1% in the 12 months of 2018, PepsiCo announced today. NAB's organic sales edged up slightly at 1%, however organic operating profits plunged 14%, with PepsiCo blaming factors including transport costs and higher commodity costs and advertising and marketing expenses.

Beverage performance in other reporting regions was unclear as PepsiCo only operates its food and drink units in North America.

Overall, sales for the PepsiCo group were up 4% on an organic base. In reported terms, sales climbed by 2% to US$64.7bn. NAB's reported sales climbed by 1% to $21bn.

The beverage unit's fourth quarter mirrored the full-year, with organic sales up slightly on flat volumes. Operating profits in the quarter fell by 7% on an organic basis.

CEO Ramon Laguarta

"We are pleased with our results for the fourth quarter and the full year 2018. For the year we met or exceeded each of the financial objectives we set out at the beginning of the year. 

"Frito-Lay North America and each of our international sectors performed very well, and our North America Beverages sector made progress throughout the year."

PepsiCo rival Coca-Cola Co released its full-year results yesterday. CEO James Quincey gave a lower-than-expected outlook, citing macroeconomic challenges around the world.

To read PepsiCo's official results statement, click here.

Six trends shaping the cannabis beverage industry - just-drinks at the Future Cannabis Strategies Europe Conference 2019


Sectors: Soft drinks, Water

Companies: PepsiCo

Related Content

North America drinks sales dip 1% for PepsiCo in first half

North America drinks sales dip 1% for PepsiCo in first half...

How did PepsiCo perform in 2019? - results data

How did PepsiCo perform in 2019? - results data...

Beverages post

Beverages post "significant improvement" for PepsiCo in Q3...

PepsiCo beverages back on even keel after rocky 2020 - results

PepsiCo beverages back on even keel after rocky 2020 - results...

Oops! This article is copy protected.

Why can’t I copy the text on this page?

The ability to copy articles is specially reserved for people who are part of a group membership.

How do I become a group member?

To find out how you and your team can copy and share articles and save money as part of a group membership call Sean Clinton on
+44 (0)1527 573 736 or complete this form..



Forgot your password?