PepsiCo reported first-quarter 2026 results that exceeded Wall Street expectations. The company posted adjusted earnings of $1.61 per share, beating the $1.55 analyst forecast. Revenue reached $19.44 billion, surpassing the projected $18.95 billion. Shares rose 2% in morning trading following the announcement.
Sales volume in the North American food division increased for the first time in over two years. This division includes the Frito-Lay and Quaker Oats brands. The growth follows a strategic decision to cut prices by up to 15% on snacks like Lay's, Doritos, and Cheetos.
CEO Ramon Laguarta stated that consumers are returning to brands in response to the company's value strategy. This strategy includes innovation and advertising alongside price reductions. PepsiCo reaffirmed its full-year financial guidance.