PepsiCo’s Global Revenue From Convenient Foods Business Up by 4% in June Quarter

New Delhi, July 18 – PepsiCo reported a 4% organic revenue growth in its international convenient foods segment for the second quarter of 2025, with India emerging as one of the key contributors alongside markets like Mexico, Brazil, Colombia, Egypt, Türkiye, Saudi Arabia, and Thailand.

The company’s International Beverages Franchise (IBF) business, however, registered a decline in India during the same period. The dip was attributed to unseasonal rains and a shorter summer, impacting the June quarter, which otherwisw is a high-demand season.

Key Highlights

In the Asia Pacific foods division net revenue rose by 0.5%, driven by organic volume growth. The division covers India, China, Australia, and New Zealand.The company noted a 5% increase in unit volume, led by growth in India, Thailand, Australia, and China.

Meanwhile, the IBF unit volume rose by 1% globally, supported by growth in the Middle East, China, and Pakistan, though this was partially offset by the decline in India. Despite the quarterly dip, PepsiCo saw 2% unit volume growth in the first half of 2025, with India among the growth markets.

Company Commentary

PepsiCo stated, “Pepsi has gained share in many markets year-to-date including large markets such as China, India, Mexico, Brazil, and the UK.”

Looking ahead, the company said, “We expect our business to remain resilient for the balance of the year, led by our international business and improved performance for our North America business as we undertake the actions noted above for the balance of this year and into next year.”

Outlook

PepsiCo’s India snacks division continues to support regional growth, but beverage sales face near-term pressure from seasonal disruptions. The company expects global resilience to drive overall performance, with India likely rebounding in H2 as weather conditions normalize and consumer demand stabilizes.                                Note: PepsiCo follows the January–December financial year. The second quarter referenced here pertains to the period April–June 2025, which differs from India’s typical April–March fiscal calendar.                                                                                                                                                                                                                         Disclaimer:  At HDFC SKY, we take utmost care and due diligence in curating and presenting news and market-related content. However, inadvertent errors or omissions may occasionally occur.

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