PepsiCo reported second-quarter 2026 results with net revenue of $24.18 billion and diluted EPS of $2.18, up 137% year-over-year. Operating profit rose to $4.02 billion and net income attributable to PepsiCo was $2.98 billion for the quarter. The company affirmed its full-year 2026 guidance, targeting 2–4% organic revenue growth and core constant currency EPS growth of 4–6%.

Financial Highlights

  • Net revenue: $24,181 million for Q2 2026, a 6.4% increase versus Q2 2025 ($22,726 million).
  • Gross profit: $13,111 million for the 12 weeks ended June 13, 2026 (reported gross margin 54.2%).
  • Operating profit: $4,023 million for Q2 2026, up 125% versus prior year; operating margin 16.6%.
  • Net income attributable to PepsiCo: $2,981 million for Q2 2026.
  • Diluted EPS (GAAP): $2.18 for Q2 2026; Core EPS (non-GAAP): $2.20; Core constant currency EPS increased ~1% for the quarter.

Business Highlights

  • Organic revenue performance: Organic revenue increased 2.4% in Q2 2026, reflecting effective net pricing and contributions from organic volume growth.
  • Volume and market share: Global organic volume increased year-to-date at the highest rate since 2022, with convenient foods and international businesses contributing to volume gains.
  • Segment performance: Strong net revenue growth in International Beverages Franchise, EMEA and Asia Pacific Foods; North America beverages benefited from 2025 acquisitions and organic growth while North America convenient foods gained volume share but saw lower effective net pricing.
  • Product and portfolio evolution: Company cited innovation across portion-control varieties, diverse ingredients and functional offerings (hydration, protein, fiber, energy, zero sugar) as contributors to growth.
  • Productivity and restructuring: Ongoing productivity initiatives and lower restructuring charges drove improvements in operating leverage and core operating profit expansion (productivity savings offset some cost increases).

Original SEC Filing:

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