stock is edging higher following news that the food and beverage giant reported better-than-expected results for the fiscal first quarter, but told investors not to expect any more share buybacks this year.
. The company also maintained its full-year financial forecasts.
PepsiCo (ticker: PEP) said it earned $1.71 billion, or $1.24 a share, compared with 96 cents a share in the year-ago period. On and adjusted basis, which excludes nonrecurring items including acquisitions and divestitures, earnings per share were $1.21 a share. Revenue climbed 6.8% to $14.82 billion. Analysts were looking for Pepsi to report EPS of $1.12 on revenue of $14.55 billion.
Organic revenue climbed 2.5%. Sales for its North American Frito-Lay, Quaker Foods, and beverage segments rose 4%, 2%, and 5%, respectively. Revenue jumped 70% in the Asia Pacific region, and 40% in Africa, the Middle East and South Asia, but fell 5% in Latin America and 2% in Europe.
For the full year, Pepsi maintained its financial forecasts, saying it is looking for core EPS to rise in the high single digits on a constant-currency basis, on a mid-single-digit increase in organic revenue.
After completing $105 million in share buybacks, the company doesn’t anticipate repurchasing additional stock this year. The company announced in its previous quarterly report that it planned to raise its dividend 5% in June.
Pepsi was up 0.3% to $142.54 in early trading. The shares are off 4.2% year to date, but have gained 4.8% in the past 12 months.
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