**Updated Outlook:**
PepsiCo, Inc. (PEP) has affirmed its forecast for fiscal 2024, projecting at least an 8% increase in core earnings per share (EPS) in constant currency, which equates to a minimum core EPS of $8.15. This reflects a 7% year-over-year increase. The company has adjusted its expectations for 2024 organic revenue growth to a low single-digit increase, down from the previous estimate of approximately 4%.
Market analysts surveyed by Thomson Reuters anticipate an EPS of $8.14 for the company, with their forecasts generally excluding any special items.
**Third Quarter Financial Performance:**
PepsiCo reported a net income of $2.93 billion, or $2.13 per share, for the third quarter, compared to $3.09 billion, or $2.24 per share, in the same period last year. The core earnings per share were $2.31, an increase from $2.25 the previous year. This figure slightly exceeded the average analysts' expectations of $2.29 per share, according to Thomson Reuters. Core EPS growth in constant currency registered at 5% for the quarter.
The company's quarterly revenue decreased to $23.32 billion from $23.45 billion a year ago, falling short of analysts' predictions of $23.76 billion. Organic revenue growth for the quarter was recorded at 1.3%.
CEO Ramon Laguarta commented, "Our businesses demonstrated resilience in the third quarter, despite subdued category performance trends in North America, the ongoing effects of certain recalls at Quaker Foods North America, and business disruptions caused by rising geopolitical tensions in certain international markets."
