PepsiCo has forecast a weak annual profit due to declining demand for snacks and soda in the US market. The company missed Q4 revenue estimates, indicating a challenging environment for consumer goods companies.
As part of its plan to boost demand, PepsiCo plans to overhaul its product offerings and introduce new items. However, this strategy is likely to be hindered by a 3% volume decline at Frito-Lay North America, one of the company’s key business units.
The US snack and beverage market has been experiencing a downturn, with declining sales across various categories. This trend is expected to continue in the coming year, posing significant challenges for PepsiCo and other industry players.
Source: https://www.reuters.com/business/retail-consumer/pepsico-forecasts-annual-profit-below-estimates-weak-soda-snacks-demand-2025-02-04