Beats Earnings by ~5% & Misses Revenue expectations by ~0.4%
Total Revenue: $22.5 Bn, up ~1% YoY, up 23% QoQ
Net earnings: $3.03 Bn, up 12% YoY, up 50% QoQ
Shares down ~2% in premarket trading
Key Takeaways:
Consumer preferences shifting towards smaller pack sizes for convenience and price sensitivity impacting volume sales.
Volume declines in Quaker Foods (-18%), Frito-Lay North America (-4%), and North American beverages (-3.5%).
CEO on Company Performance:
“We delivered sequential improvement in volume trends & YoY growth in net revenue, operating profit margin, and EPS – despite certain product recalls at Quaker Foods North America and a difficult net revenue growth comparison from the prior year.”