PepsiCo, Inc. reported its financial results for the 12 and 36 weeks ended September 5, 2026. The company announced that net revenue increased 5.6% for the third quarter and 6.7% year-to-date, while earnings per share (EPS) rose 17% and 47% respectively.
For the third quarter, net revenue totaled $25.274 billion, compared to $23.937 billion in the prior year. Organic revenue grew by 3.1% in the quarter and 2.7% year-to-date. Operating profit increased 19% to $4.260 billion, with an operating margin of 16.9%. Core EPS was reported at $2.34, a 2% increase from the prior year.
Management highlighted strong performance in the international business, noting organic volume growth across Asia Pacific Foods, International Beverages Franchise, and Latin America Foods. In North America, convenient foods saw improved net revenue trends due to savory snacks volume growth and market share improvement, while beverages delivered 5% net revenue growth.
PepsiCo updated its fiscal 2026 guidance. The company now expects organic revenue growth of approximately 3%, up from the previous range of 2% to 4%. Net revenue growth is expected to be approximately 6%. Core EPS is projected to increase by 1% to 2%, and core constant currency EPS is expected to increase by 1%. The company reaffirmed its capital spending below 5% of net revenue and free cash flow conversion ratio of at least 80%.
