Pepsi soft drinks are displayed in a supermarket in San Francisco, California.
Justin Sullivan | Getty Images
PepsiCo reported on Thursday that fourth-quarter earnings were higher than estimates, fueled by pandemic snacks and higher sales of beverages such as Gatorade Zero and Bubly sparkling water.
After the strong quarter, the owner of Frito-Lay said he expects his results for 2021 to meet long-term financial goals.
The company’s stock fell less than 1% in premarket trading.
This is what the company reported compared to what Wall Street expected, based on an analyst survey by Refinitiv:
- Earnings per share: $ 1.47, adjusted, vs. $ 1.46 expected
- Revenue: $ 22.46 billion vs. $ 21.78 billion expected
The company reported fourth-quarter net income of $ 1.85 billion, or $ 1.33 per share, compared to $ 1.77 billion or $ 1.26 per share a year earlier.
Excluding items, Pepsi earned $ 1.47 per share, beating the $ 1.46 per share expected by analysts polled by Refinitiv.
Net sales increased 8.8% to $ 22.46 billion, exceeding expectations of $ 21.78 billion.
In 2021, Pepsi expects mid-single-digit organic sales growth and high-single-digit core earnings per share growth, assuming constant exchange rates. The company is also increasing its dividend by 5% starting in June.
“For 2021, we plan for our organic revenue and the growth of our core profit at constant exchange rates to be in line with our long-term goals,” said CEO Ramon Laguarta in a statement.
Read the full report here.