Add as a preferred source on GooglePepsiCo’s EMEA Organic Sales Rise 9% Amid North America Pressure
Third-quarter results highlighted regional differences as PepsiCo weighs asset reductions, a possible bottling-business sale and changes sought by Elliott Management.
PepsiCo’s third-quarter results underscored pressure in its North American foods business as organic sales growth was led by a 9% increase across its European, Middle Eastern and African segments.
The company is dealing with sluggish sales, margin pressure and changing consumer preferences in North America.
PepsiCo is considering selling its bottling business and reducing underperforming assets. It is also responding to Elliott Management’s demands by considering more affordable products and investment in its core beverage and snack franchises.
Higher marketing and advertising costs during a period of weak sales may add financial pressure if they do not produce measurable short-term returns. The company is balancing greater investment in its main brands with efforts to improve performance in North America.
The results leave PepsiCo weighing investment in its main brands against efforts to improve performance in North America.
John Kim
John Kim reports on the digital-asset business for TokenPost. Send corrections or tips to info@tokenpost.com.