PepsiCo beats earnings expectations, lowers guidance as it aims to stabilize North America business - Yahoo Finance
PepsiCo reported third-quarter earnings that exceeded Wall Street expectations, driven by strong performance in its beverage and snack divisions. However, the company lowered its full-year profit outlook as it navigates a challenging North American market and plans for significant price increases.
Why it matters
As a major consumer staple, PepsiCo's performance and pricing strategies serve as a bellwether for consumer spending habits and inflationary pressures in the US economy.
PepsiCo beats earnings expectations, lowers guidance as it aims to stabilize North America business Brooke DiPalma · Senior Reporter Thu, October 8, 2026 at 9:30 PM GMT+8 3 min read PEP +3.73% PepsiCo ( PEP ) posted third quarter results that beat Wall Street's expectations on Thursday but lowered its profit outlook as the company works to regain momentum in the US market.
"We continue to operate with a high sense of urgency to sustainably improve the company's financial and marketplace performance (most notably in North America)," PepsiCo CEO Ramon Laguarta said in prepared remarks.
PepsiCo's revenue grew 5.6% year over year to $25.27 billion, just beating the Street's expectations of roughly $25 billion. Adjusted earnings per share came in at $2.34, slightly higher than the $2.29 per share expected, per Bloomberg consensus data.
Tariff refunds totaled $178 million in the third quarter, benefiting the beverage business, executives said.
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