PepsiCo’s profit beats Wall Street expectations, lifted by higher prices for snacks

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In this Friday, April 12, 2013, photo, Seattle Mariners starting pitcher Hisashi Iwakuma warms up next to a Pepsi advertisement before a baseball game against the Texas Rangers, in Seattle. PepsiCo Inc. reports quarterly financial results before the market opens on Wednesday, July 24,2013. (AP Photo/Ted S. Warren)

NEW YORK, N.Y. – PepsiCo Inc. reported a higher quarterly profit that topped Wall Street expectations, as price increases for its popular Frito-Lay snacks helped lift revenue.

In its Americas beverage unit, volume fell 3.5 per cent, with sodas in North America falling in the mid-single digits.

For the quarter, PepsiCo earned $2.01 billion, or $1.28 per share. That’s up from $1.49 billion, or 94 cents per share, a year ago.

Not including one-time items, it earned $1.31 per share, above the $1.19 analysts expected.

Revenue rose to $16.81 billion, more than the $16.79 billion Wall Street.

The results come a week after investor Nelson Peltz said he wants PepsiCo to drop its beverage business and buy Oreo cookie maker Mondelez. Peltz says the company’s snacks unit is being overshadowed by its underperforming drinks unit.

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