PepsiCo reports rise in Q3 profit

PepsiCo has reported a growth in volume, net revenue, operating profit and earnings per share for the third quarter of 2011 due to top-line gains across its worldwide snacks, and beverage businesses and from the acquisition of Wimm-Bill-Dann (WBD).

PepsiCo chairman and CEO Indra Nooyi said the company had strong revenue growth across its product portfolio and across its key geographic markets.

"We were able to achieve pricing to partially offset commodity cost inflation and at the same time stimulate consumer demand for our products. The result in the quarter was well-balanced top-line and bottom-line growth," Nooyi explained.

The company reported a 13% increase in net revenue to $17.6bn, due to benefits of volume growth, effective net pricing and favourable foreign exchange, and net revenue grew 33% in emerging markets.

Worldwide snacks volume increased 8%, led by growth in emerging markets, where organic volume increased 8% in snacks and 3% in beverages.

The company’s net income increased 4% and reported EPS increased 5% to $1.25 in the quarter.