PepsiCo, Inc. has reported that first-quarter revenue increased 7.4%, to $6.59 billion from $6.13 billion one year ago, with each of the operating divisions posting solid top line growth.
Overall volume grew 4% during the quarter ended March 19.
The Frito-Lay divisions four largest brands—Lay’s, Doritos, Tostitos and Cheetos—had combined revenue growth of almost 6%, roughly in line with total salty snack revenue growth, the company said. The other macro snack products rose in the high single digits, reflecting strong performance from the Grandma’s and Gamesa branded cookie lines, strong sales of nuts and premium meat snacks and double-digit growth in Quaker rice snacks, the company said.
In the Pepsico Beverages North America division, volume grew 1.5% during the quarter, with non-carbonated beverages jumping 8% fueled by double-digit growth in Gatorade, Aquafina and Propel fitness water. Carbonated soft drinks declined 1% with low single-digit volume growth in Sierra Mist offset by a low single-digit decline in the company’s trademark Pepsi product. Mountain Dew volume was flat compared to one year ago and Diet CSDs showed volume growth in the mid-single digits.
Pepsico International profits increased 20% as emerging markets continue strong growth.
Quaker Foods North America had “exceptional” results with double-digit volume growth of Quaker oatmeal and Cap’n Crunch cereal.
“The strength of the portfolio continues to prove itself, with each operating division performing well, giving me confidence in our outlook for the full year,” Chairman and CEO Steve Reinemund said in a statement.
