PepsiCo Americas Beverages division reports slight declines in the quarter
Purchase, N.Y.-based PepsiCo reported net revenue of $16.9 billion in the third quarter of 2013. This marks 1.5 percent growth in the quarter and 2 growth percent year-to-date, the company reports. Organic revenue grew 3.3 percent in the quarter and 3.9 percent year-to-date, and core constant currency operating profit rose 3 percent in the quarter, reflecting increased advertising and marketing expense and $28 million of incremental investments. However, reported operating profit declined 1 percent because of the net impact of mark-to-market losses on commodity hedges as well as certain restructuring and impairment and merger and integration costs in both 2013 and 2012, the company reports.
Specifically in PepsiCo Americas Beverages (PAB), organic revenue declined 1.5 percent in the quarter, reflecting organic volume that declined 4 percent and the negative impact of concentrate shipment timing offset by effective net pricing of 3 percentage points. In North America, non-carbonated beverage volume declined low-single digits, and carbonated soft drink volume declined mid-single digits.