PepsiCo Plans to Meet Its Profit Estimates

PepsiCo Inc., the second-largest soft-drink maker, said it still expects to meet profit estimates this year as the company introduces new Frito-Lay snack foods and completes the integration of Quaker Oats Co.

Earnings this year will be $1.66 a share, Chief Financial Officer Indra Nooyi said at a conference sponsored by Morgan Stanley. That forecast matches the average estimate of analysts polled by Thomson Financial/First Call.

This quarter, PepsiCo is introducing canister containers of bite-size snacks such as Doritos and Cheetos to increase sales, Nooyi said.

PepsiCo has been making acquisitions of fast-growing non-carbonated drinks such as juices and developing new products to accelerate sales.

Earnings from 2002 to 2005 will rise about 13% to 14% a year, as revenue increases at least 7%, Nooyi said.

Shares of PepsiCo rose 13 cents to $48.87 on the NYSE.