NASDAQ$PEP

PepsiCo · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

PepsiCo reported strong Q4 and full-year 2022 results, demonstrating resilience and growth driven by investments in people, brands, portfolio, value chain, and go-to-market systems.

PepsiCo's Q4 2022 results showed resilience and strong growth, with a focus on driving growth, winning in the marketplace, and developing advantaged capabilities. The company expects to deliver 6% organic revenue growth and 8% core constant currency earnings per share growth in 2023 and announced a 10% increase in its annualized dividend.

  • PepsiCo's business remained resilient and delivered another strong year of growth.
  • Investments in people, brands, portfolio, value chain, and go-to-market systems are working.
  • The company will continue to focus on driving growth and winning in the marketplace.
  • Pep+ will be embedded at the center of the business in how they innovate, operate, run teams, and build brands.

Headline financials

Total Revenue

$28B

Previous: $25.2B+10.9%
EPS (adj)

$1.67

Previous: $1.53+9.2%
Organic revenue growth

14.6%

Previous: 11.9%+22.7%
Net Income

$535M

Previous: $1.34B-60.1%
Operating Income

$815M

Previous: $2.56B-68.2%
Gross Profit

$14.7B

Previous: $13.1B+11.8%
Cash & Equivalents

$4.95B

Previous: $5.6B-11.5%
Total Assets

$92.2B

Previous: $92.4B-0.2%
Stock-Based Comp

$110M

Previous: $86M+27.9%

Revenue & EPS history

PepsiCo · Revenue · Quarterly

$28B

Q4 2022+10.9%vs Q4 2021
Beat estimate in 9 of 16 quarters(56%)
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

For 2023, the company expects a 6 percent increase in organic revenue and an 8 percent increase in core constant currency EPS. They also anticipate a core annual effective tax rate of 20 percent and total cash returns to shareholders of approximately $7.7 billion.

Tailwinds

  • Expects a 6 percent increase in organic revenue.
  • Expects an 8 percent increase in core constant currency EPS.
  • Anticipates a core annual effective tax rate of 20 percent.
  • Plans total cash returns to shareholders of approximately $7.7 billion.
  • Announced a 10 percent increase in its annualized dividend to $5.06 per share.

Headwinds

  • Expects an approximate 2-percentage-point foreign exchange translation headwind to impact reported net revenue and core EPS growth.
  • Unable to reconcile full year projected 2023 organic revenue growth to full year projected 2023 reported net revenue growth because they are unable to predict the 2023 impact of foreign exchange.
  • Unable to predict the occurrence or impact of any acquisitions, divestitures or other structural changes.
  • Not able to reconcile full year projected 2023 core effective tax rate to full year projected 2023 reported effective tax rate.
  • Not able to reconcile full year projected 2023 core constant currency EPS growth to full year projected 2023 reported EPS growth because they are unable to predict the 2023 impact of foreign exchange or the mark-to-market net impact on commodity derivatives.

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 Q4 2022

Historical avgQ4 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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