1Wk·

PepsiCo Q3’25 Earnings Highlights

$PEP (+1.21%)


🔹 Revenue: $23.94B (Est. $23.86B) 🟢; UP +3% YoY

🔹 Core EPS: $2.29 (Est. $2.27) 🟢; DOWN -2% YoY (constant currency)

🔸 Steve Schmitt named EVP & CFO


Reaffirms FY25 Guidance:

🔹 Low-single-digit organic revenue growth

🔹 Core constant-currency EPS approximately even with prior year; FX headwind now ~0.5ppt (prior ~1.5ppt)

🔹 FY25 cash returns ≈ $8.6B (Dividends ~$7.6B; Buybacks ~$1.0B); core tax rate ~20%


Segment:

🔹 PBNA: $7.33B; UP +2% YoY (Organic +2%)

🔹 PFNA: $6.53B; FLAT YoY (Organic -3%)

🔹 EMEA: $5.02B; UP +9% YoY (Organic +5.5%)

🔹 Latin America Foods: $2.66B; UP +2% YoY (Organic +4%)

🔹 Asia Pacific Foods: $1.12B; UP +2% YoY (Organic +1%)

🔹 International Beverages Franchise: $1.29B; FLAT YoY (Organic -1%)


Other Metrics:

🔹 Gross Margin: 53.6%; DOWN -180 bps YoY (55.4% prior)

🔹 Operating Cash Flow (YTD): $5.47B; DOWN -12% YoY


Commentary & Updates:

🔸 “Our reported net revenue growth accelerated and reflects the resilience of our international business, improved momentum within North America Beverages and the benefits of our portfolio reshaping actions.”

🔸 “Top priorities are to accelerate growth and aggressively optimize our cost structure… introducing a strong pipeline of innovation… sharpening price pack architecture… and right-sizing our cost base.”

🔸 Leadership: Steve Schmitt named EVP & CFO, effective Nov 10, 2025; Jamie Caulfield to retire and advise through May 15, 2026.

16
Join the conversation