PepsiAmericas first-quarter income increases 46%
April 24, 2007
by FoodBusinessNews.net Staff
MINNEAPOLIS — PepsiAmericas’ net income for the first quarter of 2007 was $20.6 million, equal to 16c per share on the common stock, up 46% from $14.1 million, or 11c per share, during the same quarter of 2006.
"Across our markets, our organization delivered the strong results we expected," said Robert C. Pohlad, chairman and chief executive officer. "Our overall operating results were driven by top-line strength in both the U.S. and Central Europe. In the U.S., revenues grew 5%, reflecting net pricing gains of 3.9% that offset our cost of goods sold increases. In addition, we continued to show consistent growth in our non-carbonated beverages, which accounted for over 19% of the U.S. volume mix in the quarter."
Net sales increased 13% to $960.2 million, which compared with $848.5 million during the same quarter of the previous year. About 6 percentage points of this growth may be attributed to the acquisition territories and the rest was a result of volume and pricing gains in the U.S. and Central Europe, PepsiAmericas said.
Worldwide volume increased 11% compared with the same period of last year, and constant territory volume increased 2%.
U.S. volume grew 1% with existing markets in Central Europe growing by 14%, and volume decreased 6% in the Caribbean.
The company anticipates that earnings per share will be flat in the first half of the year compared with 2006 because of the timing of cost of good sold increases and innovation.