PepsiCo reports second-quarter 2022 results and updates full-year outlook.
Chairman and CEO Ramon Laguarta said in the announcement: “We are pleased with our results for the second quarter as our business momentum continued despite ongoing macroeconomic and geopolitical volatility and higher levels of inflation across our markets. Our results are indicative of our highly dedicated employees, the strength and resilience of our categories, agile supply chain and go-to-market systems and strong marketplace execution. Our performance also gives us confidence that our investments to become an even Faster, even Stronger, and even Better organization by winning with pep+ are working. Given our year-to-date performance, we now expect our full-year organic revenue to increase 10 percent (previously 8 percent) and we continue to expect core constant currency earnings per share to increase 8 percent.”
Reported (GAAP) second-quarter and year-to-date 2022 results:
Guidance and outlook
The company provides guidance on a non-GAAP basis as it cannot predict certain elements, which are included in reported GAAP results, including the impact of foreign exchange translation and commodity mark-to-market net impacts.
The company now expects to deliver 10% organic revenue growth (versus previous guidance of 8%) for fiscal year 2022. Consistent with its previous guidance for 2022, the company continues to expect:
• An 8% increase in core constant currency EPS.
• A core annual effective tax rate of 20%.
• Total cash returns to shareholders of approximately $7.7 billion, comprised of dividends of $6.2 billion and share repurchases of $1.5 billion.