PepsiCo Sales Surge; Profit Down on Charge
PepsiCo Inc. reported the biggest quarterly sales gain in 3 1/2 years as hot weather in the U.S. spurred demand for Gatorade drinks and Aquafina water.
Sales in the third quarter surged 13% to $8.18 billion, Purchase, N.Y.-based Pepsi said. Net income fell 37% to $864 million, or 51 cents a share, hurt by $735 million in taxes on income and to return overseas profit to the U.S.
PepsiCo said it would earn $2.41 to $2.42 a share this year. The company expects to make $2.64 to $2.65 a share without the charge, more than its July forecast of $2.60 to $2.63 a share.
Shares of Pepsi rose $1.44 to $56.50.