PepsiCo Cuts 2026 EPS Growth View to 2.5%-3% as Q3 Revenue Beats at $25.27 Billion
Updated
Updated · Yahoo Finance · Oct 8
PepsiCo Cuts 2026 EPS Growth View to 2.5%-3% as Q3 Revenue Beats at $25.27 Billion
3 articles · Updated · Yahoo Finance · Oct 8
Summary
PepsiCo lowered its fiscal 2026 core EPS growth forecast to 2.5%-3% from the low end of 5%-7%, even after third-quarter results topped Wall Street estimates.
Q3 revenue rose 5.6% to $25.27 billion and adjusted EPS reached $2.34, ahead of roughly $25 billion and $2.29 expected; the stock gained 1% premarket.
North America remains the pressure point: Pepsi said it is pushing to stabilize the business while still planning 15% price increases to offset higher input costs.
A $178 million tariff refund helped the quarter, while earlier price cuts reduced North America core operating margin by 280 basis points.
Pepsi is leaning on lower-sugar drinks and portion-controlled, protein- and fiber-focused snacks, while preparing additional structural cost cuts to fund growth investments.