NASDAQ$PEP

PepsiCo · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

PepsiCo reported strong Q1 2022 results, reflecting its presence in growing global categories and strategic investments.

PepsiCo reported strong first-quarter results with a 9.3% increase in net revenue and a 148% increase in EPS. The company is updating its full-year outlook, now expecting an 8% increase in organic revenue and continuing to expect an 8% increase in core constant currency earnings per share.

  • Delivered strong Q1 results amidst a dynamic and complex environment.
  • Organic revenue grew by 13.7%.
  • Updated full-year organic revenue growth expectation to 8%.
  • Continue to expect core constant currency EPS to increase 8%.

Headline financials

Total Revenue

$16.2B

Previous: $14.8B+9.3%
EPS (adj)

$1.29

Previous: $1.21+6.6%
Organic revenue growth

13.7%

Previous: 2.4%+470.8%
Free Cash Flow

$4.26B

Previous: $1.71B+148.6%
Net Income

$4.26B

Previous: $1.71B+148.6%
Operating Income

$5.27B

Previous: $2.31B+127.8%
Gross Profit

$8.77B

Previous: $8.15B+7.6%
Cash & Equivalents

$6.56B

Previous: $5.66B+15.9%
Total Assets

$93B

Previous: $91.2B+1.9%
Stock-Based Comp

$81M

Previous: $79M+2.5%

Revenue & EPS history

PepsiCo · Revenue · Quarterly

$16.2B

Q1 2022+9.3%vs Q1 2021
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

PepsiCo · $24.2B total across 6 segments · Q2 2026

  • PepsiCo Beverages North America
    $7.24B
  • PepsiCo Foods North America
    $6.37B
  • Europe, Middle East and Africa
    $4.98B
  • Latin America Foods
    $2.94B
  • International Beverages Franchise
    $1.52B
  • Asia Pacific Foods
    $1.12B

Forward guidance

The Company now expects to deliver 8 percent organic revenue growth for fiscal year 2022. Consistent with its previous guidance for 2022, the Company continues to expect an 8 percent increase in core constant currency EPS, a core annual effective tax rate of 20 percent; and total cash returns to shareholders of approximately $7.7 billion, comprised of dividends of $6.2 billion and share repurchases of $1.5 billion. In addition, the Company now expects a 2-percentage-point foreign exchange translation headwind to impact reported net revenue and core EPS growth based on current market consensus rates. This assumption and the guidance above now imply 2022 core EPS of $6.63, a 6 percent increase compared to 2021 core EPS of $6.26.

Tailwinds

  • Expects to deliver 8 percent organic revenue growth for fiscal year 2022.
  • Continues to expect an 8 percent increase in core constant currency EPS.
  • Expects a core annual effective tax rate of 20 percent.
  • Total cash returns to shareholders of approximately $7.7 billion.
  • 2022 core EPS of $6.63, a 6 percent increase compared to 2021 core EPS of $6.26.

Headwinds

  • Expects a 2-percentage-point foreign exchange translation headwind to impact reported net revenue.
  • Expects a 2-percentage-point foreign exchange translation headwind to impact core EPS growth.
  • Higher than expected input cost inflation for the balance of 2022
  • Unpredictability of future changes in foreign exchange rates
  • Unpredictability of commodity prices

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.7%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+0.6%

Avg return

30 days after

64%

46 / 72 earnings

Positive

+7.4%

Q3 2022

Best reaction

-4.9%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.3%+0.8%-4.2%
Q4 2025+4.9%+9.9%+3.5%
Q3 2025+4.0%+9.1%+3.0%
Q2 2025+1.6%-1.6%+3.8%
Q1 2025-4.9%-5.6%-9.1%
Q4 2024-4.5%-3.8%+2.9%
Q3 2024+3.2%+4.5%-1.9%
Q2 2024+1.7%+0.7%+5.4%
Q1 2024+0.5%-0.5%+1.6%
Q4 2023-1.9%-3.6%-6.2%
Q3 2023+0.8%-0.8%+3.0%
Q2 2023+2.8%+0.7%+0.5%
Q1 2023+1.6%+2.9%-0.9%
Q4 2022+2.9%+2.7%+0.5%
Q3 2022+7.4%+6.2%+9.5%
Q2 2022-0.2%+0.4%+2.7%
Q1 2022+0.6%-1.2%-2.1%
Q4 2021-2.0%-3.5%-10.6%
Q3 2021+3.2%+3.9%+9.4%
Q2 2021+3.4%+4.2%+3.7%
Q1 2021+1.4%+2.5%+3.2%
Q4 2020-2.8%-2.4%-3.4%
Q3 2020-0.4%-2.1%-3.8%
Q2 2020+0.8%+0.1%+2.5%
Q1 2020-0.8%-3.2%-1.6%
Q4 2019+0.6%-0.3%-12.8%
Q3 2019+4.7%+2.5%+2.2%
Q2 2019+1.4%+0.5%-2.3%
Q1 2019+3.8%+3.3%+6.6%
Q4 2018+3.0%+2.9%+2.7%
Q3 2018-2.9%-3.8%+0.7%
Q2 2018+4.4%+4.6%+5.5%
Q1 2018+0.6%-2.0%-0.8%
Q4 2017-2.5%-0.8%+0.1%
Q3 2017+1.2%+0.8%+1.0%
Q2 2017+0.4%+0.6%+1.8%
Q1 2017-1.3%-1.6%+3.3%
Q4 2016+1.1%+1.2%+4.2%
Q3 2016+1.3%-0.3%-0.3%
Q2 2016+2.2%+2.7%+2.6%
Q1 2016+0.5%
Q4 2015+0.9%
Q3 2015+2.8%
Q2 2015-0.1%
Q1 2015-2.2%
Q4 2014+2.3%
Q3 2014+0.8%
Q2 2014+3.1%
Q1 2014+1.3%
Q4 2013-4.2%
Q3 2013+2.5%
Q2 2013-0.8%
Q1 2013+5.0%
Q4 2012+3.0%
Q3 2012+0.7%
Q2 2012+3.5%
Q1 2012-0.9%
Q4 2011+0.0%
Q3 2011+2.3%
Q2 2011-4.0%
Q1 2011+1.4%
Q4 2010-2.4%
Q3 2010-3.5%
Q2 2010+3.1%
Q1 2009+0.4%
Q1 2010-0.4%
Q4 2007-1.4%
Q2 2009-1.4%
Q4 2009-1.4%
Q4 2008-0.9%
Q3 2008-0.9%
Q3 2009-0.9%

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