Fourth quarter profits doubled at PepsiCo, driven by a strong performance of its snacks business and the company's overseas drinks business.
Profits for the three months to December 26, 2009 rose from $719 million in the same period in 2008 to $1.43 billion. Revenues for the quarter rose 4.5 per cent to $13.3 billion.
Indra Nooyi, chairman and chief executive of PepsiCo, said that as the company was determined to “refresh” its domestic and overseas brands by concentrating on healthier foods and drinks.
“We are extending our global leadership in snacks by continuing to innovate with new products and platforms, and by accelerating our growth in developing markets.”
She added that the company’s acquisition of its two main bottlers, Pepsi Bottling Group and PepsiAmericas, which is expected to be completed by the end of this month, would help it “change the rules of the game in North America”, where it has struggled to find growth in the beverage market.
The world’s second- largest soda maker now hopes the acquisitions will allow it to respond more quickly to changes in demand, particularly as consumers move away from carbonated beverages toward juices and water.
For the full-year, profits rose 17 per cent to $5.9 billion while revenues were flat at $43.2 billion.
Revenues at PepsiCo Americas Beverages declined one per cent in the quarter to $2.8 billion. But revenue at its Asia, Middle East & Africa business grew by 12 per cent to $1.7 billion and sales at its Latin America Foods business grew 11 per cent to $2.1 billion.
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