EarningsQ3 2026 Earnings Report
MX:PEP Q3 2026 EPS Results
Actual EPS$42.03
Consensus EPS$41.22
Beat/MissBeat by +$0.81
One Year Ago EPS$41.13
MX:PEP Q3 2026 Revenue Results
Actual Revenue$453.96B
Expected Revenue$448.21B
Beat/MissBeat by +$5.75B
YoY Revenue Growth+5.58%
Earnings Announcement Details
QuarterQ3 2026
Date10/08/2026
TimeBefore Open
Conference CallThursday, October 8, 2026
MX:PEP Upcoming Earnings
PepsiCo's next earnings date is estimated for February 11, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
MX:PEP Q3 2026 Earnings Call
0:00 / 0:00
Q3 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q3 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was broadly constructive, with strong Q3 organic revenue acceleration, solid global volumes, stellar international performance, a turnaround in North American snacks, and continued investment in growth. However, management acknowledged meaningful challenges from North American beverages and soft drinks, weaker-than-expected North American volume growth, rising commodity costs, the expiration of a tariff benefit, and Q4 margin pressure. The number and strength of the stated operational and financial positives outweighed the challenges.Company Guidance
Q3 Organic Revenue Growth Accelerated
Organic revenue increased 3.1% in Q3, the fastest growth rate since Q4 2023 and an important milestone above 3%. Reported revenue was north of 5%, core operating profit increased 3%, and EPS increased 2%.
Positive Global Volume Performance
Global beverage volume increased 3%, global food volume increased 1%, and food volume increased 4% when excluding the grains business in South Africa. Ramon Laguarta also cited 4% global snacks volume growth.
International Business Delivered Strong Growth
International organic revenue increased 8% and operating margin expanded 105 basis points. Management described the quarter as stellar and said the momentum was broad-based across Europe, the Middle East, Asia, and Latin America.
International Profit Contribution Continued to Expand
International represented 45% of PepsiCo's profit year-to-date, according to management.
North American Snacks Volume Turnaround
North American snacks volume improved from low single-digit negative growth last year to low single-digit positive growth this year. Management said the business is gaining volume share for multiple quarters and is beginning to convert that into value share, supported by pricing, innovation, and new platforms.
North American Foods Sales Improved Sequentially
North American foods organic sales improved from Q2, and management said the pricing investment in the food business was working, with positive volume and unit growth in U.S. snacks.
Hydration Business Accelerated
The U.S. hydration business accelerated in both volume and net revenue. Management said Gatorade and Propel continued to receive innovation and investment, and described hydration as an important category with favorable eating and drinking habit trends.
Energy Portfolio Positioned as a Growth Source
Management said the Alani and Celsius businesses made strategic sense and that, once both brands are integrated into the business and well executed, they could become an important source of growth.
Investment in Growth Continued
PepsiCo sustained key investments despite margin pressure. Advertising and marketing increased internationally and in North America, with double-digit A&M investment in both U.S. businesses during the quarter. Management said it would continue investing in growth going forward.
Portfolio Innovation and Permissible Products Expanded
The portion-control business, including 100-calorie and 120-calorie packs, is already a $3 billion-plus business. PepsiCo also has more than $3 billion of permissible portfolio products and is investing in brands and platforms including SunChips, Smartfood, Naked, Simply, PopCorners, Doritos Protein, Miss Vickie's avocado-oil products, and baked products with olive oil.
Publicis Partnership Intended to Improve Marketing Returns
Management said its new partnership with Publicis should enable more data-driven and granular consumer targeting and improve the quality and return of A&M investment.
Carlsberg Partnership Continued to Perform Well
Management described Carlsberg as an incredible partner and said the partnership has been successful. Following Carlsberg's Britvic acquisition in the U.K., PepsiCo continued to grow share in the U.K., and the relationship has expanded to additional geographies.
One North America Integration Is Progressing
The One North America initiative is working well on the physical side, including warehouses and transportation. Management said it is now focused on execution details for deliveries to small and large shops and is seeing substantial value for both customers and PepsiCo in applicable geographies.
Cost Reduction and Revenue Management Actions Underway
PepsiCo is identifying structural cost-reduction opportunities, reviewing overhead and corporate unallocated costs, and using revenue-management tools and additional productivity measures to partially mitigate margin pressure. Management said the benefits should start helping as the calendar year turns.
2027 Priorities Emphasize Growth and Capital Discipline
Management's stated 2027 priorities are to grow North America faster and more efficiently, continue fueling the international business and maintaining its momentum, and remain disciplined with costs and capital allocation.
Strategic Options Are Being Reviewed
Management said it is open to revisiting options involving go-to-market models, integration, partnerships, and accelerated refranchising in parts of the U.S. where it could improve execution and potentially improve margin. It is also evaluating smaller tuck-in M&A opportunities in foods and beverages when they have strategic value and financial returns.
Sequential Top-Line Improvement Expected
Management said it expects sequential improvement in Q4 and especially into next year, while continuing to invest in growth across international markets and the U.S.
MX:PEP Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed