PepsiCo posts strong second-quarter profit

PepsiCo has reported a stronger than expected rise in its second quarter financial results, with operating profit up by 12%. Similarly, operating profit for the UK and Europe grew by 19%.

The positive results for the global food and drinks company has been attributed to strong international demand and the weak US dollar.

In Europe, snack volume grew 8%, driven by double-digit growth in Russia as well as growth in Poland. Walkers in the UK also experienced single-digital growth. Beverage volume grew 20% in Europe.

Net revenue in the UK and Europe increased 24%, while operating profit grew 19% driven by net revenue growth.

Globally, PepsiCo’s net income rose 9% to $1.7bn (£850m), while net revenue rose 14% to $10.95bn (£5.52bn).

PepsiCo chairman and chief executive, Indra Nooyi, says: “The strength and breadth of our global portfolio and geographic footprint delivered another quarter of solid results.

“PepsiCo continued to drive growth across its worldwide snacks and beverage businesses primarily through strong product innovation, well-executed pricing actions and focus on expense control and productivity.”

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