The global economic crisis that affects the world with the end of the pandemic, overlapped with the conflict between Russia and Ukraine, has an impact on governments and companies.
Inflation is out of control (more than 9 percent year-on-year in most countries, including developed ones) and there is already talk of an imminent recession, at least until the end of 2023.
In that context, The results released this Wednesday, October 12 by PepsiCo are surprising.
That’s right, in its third fiscal quarter, which had ended on September 3, it obtained a very relevant performance that produced a strong rise in shares on Wall Street.
The company presented profits and revenues above those expected by the consensus plus, raised its own projections for the rest of the year.
One of the causes of the higher revenues and profits of PepsiCO it is the increase in prices, a factor that compensates for the weakness in sales.
On the New York Stock Exchange, PepsiCo shares rose 2 percent in the first hour of trading.
PepsiCo and its fabled results
According to PepsiCo’s quarterly report, the snack and beverage giant’s earnings reached $2.71 billion, or $1.95 per share.
These numbers are eloquently higher than the $2.21 billion and $1.60 per share for the same period in 2021.
Excluding non-recurring items, earnings per share for the period were $1.97, which is above the Fact-Set consensus projection, which expected earnings of $1.84. per action.
In relation to income, these increased by 8.79 percent in the third quarter of the year, to 21,980 million dollars.
This value is much higher than what the specialists consulted by FactSet calculated: 20,830 million dollars.
The fact that few talk about is that it is the 15th quarter in a row that PepsiCo has beaten earnings expectations and the 20th quarter in which it has beaten revenue guidance. Awesome.
For the next few months, PepsiCo raised earnings forecasts per share for the full year to $6.75, from $6.62 previously.
The company has also confirmed that it will return $7.71 billion to shareholders in 2022. That total includes $6.21 billion in dividend payments and $1.49 billion in share buybacks.
Now read:
Xiaomi black semester: earnings collapse 94% (marketing problems?)
Disney achieves the impossible and overtakes Netflix in number of streaming subscribers
The rich do not cry: Ferrari is proof of the success of luxury brands