Pepsi exceeded expectations in terms of revenue and earnings, even though North American demand remained sluggish. Sales volumes decreased further, especially in the food segment, but Pepsi Zero Sugar stood out with growth.
According to the company, it is focusing on cost savings, diversifying its product portfolio, and generally better in-store visibility. The full-year forecast remained unchanged.
https://x.com/earnings_guy/status/1945785669428687265
Pepsi will launch a new prebiotic cola drink in the fall, which contains three grams of fiber.
The new product follows the company’s $1.95 billion acquisition of Poppi. According to the story below, this new product addresses health trends and declining soft drink demand in the United States.
https://www.cnbc.com/2025/07/21/pepsi-introduces-prebiotic-cola-after-poppi-acquisition.html
Pepsi is shutting down manufacturing, transportation, and maintenance at its Detroit plant in September, and it will lay off 84 employees, but warehousing, distribution, and sales will continue.
The company has made similar closures elsewhere due to weakened demand. Pepsi promises compensation to employees.
Additionally, the company has faced lawsuits related to plastic pollution and the underfilling of PopCorners bags, which has resulted in reputational damage and other issues.
The news story below reports that Pepsi’s stock rose over 4 percent when WSJ reported that Elliott Investment Management had taken an approximately $4 billion stake in it and is planning an activist campaign.
Elliott’s objectives for Pepsi are not yet generally known. 
Continued from the above story.
Elliott Investment Management is proposing a growth plan for PepsiCo, focusing on revitalizing its North American business. It emphasizes the “refranchising” of the bottling network, divesting weak brands, and potentially selling Quaker.
The freed-up capital would be invested in core beverages, snacks, and new growth areas, which Elliott believes could increase shareholder value by up to 50 percent.
I lived in Vietnam for a long time, and there Pepsi has a fun way to celebrate the local New Year with different designs on the cans, and the picture shows the designs from 2017-2022. Over the course of more than 8 years, I clearly drank more Pepsi than Coke, partly for that reason… a good marketing trick, I liked it. 
Elliott Investment Management is pressuring PepsiCo to streamline its operations, cut smaller brands, and consider spinning off its bottling business, as Coca-Cola did previously.
Some investors find the idea attractive in the long term but warn of a costly and slow process that would temporarily weaken profitability. There is a more positive reception to proposals to divest Quaker and other similar less successful products.
“PepsiCo, led by CEO Ramon Laguarta since 2018, has been trying to better integrate its chips and sodas divisions, which now operate as almost separate companies, to cut costs. The consumer giant has also acquired low-calorie soda Poppi and Mexican-American food maker Siete in an effort to appeal to consumers adopting healthier lifestyles.
Below is an article about how Pepsi’s snack business has started to falter. Frito-Lay, the company’s long-held golden treasure snack division, is suffering as prices have risen too much and consumers are turning to healthier snacks. According to analysts, Pepsi has fallen behind in the development of, for example, protein-rich and trendier alternatives, which naturally also shows in stagnating sales.
Pepsi’s stock has dropped six percent this year, even though the stock market has generally been on the rise. Investors are demanding reforms, but the real problem is that people are buying fewer bags of chips… especially the large family packs.
Now, according to the article below, Pepsi has to consider whether to lower prices to regain volumes or let competitors like Mondelez and Campbell’s simply take over the market.
“Frito-Lay has 3 main issues: 1) price points, 2) under indexed to growing parts of the snacking wheel and 3) lack of exposure to protein,” Modi wrote. “Fixing these issues will take time, capital and or reinvestments that could dilute EPS and/or returns.”
Pepsi’s revenue grew rapidly again. According to CEO Ramon Laguarta, the growth particularly indicates the strength of international business, the revitalization of North American beverages, and the successful renewal of the product portfolio.
He said that the company plans to focus on accelerating growth while also cutting costs. Pepsi plans to introduce new products to the market, “refine” its pricing, and streamline its operations so that it can continue stable development next year as well.
https://x.com/earnings_guy/status/1976226435581751488
Here’s a familiar highlight after the results.
https://x.com/fiscal_ai/status/1976286573995151868
Indeed, below is more about the results, stating, among other things, that Pepsi performed better than expected in the quarter; for example, revenue and earnings exceeded forecasts, even though sales volumes decreased in North America.
The company is confident that international growth will continue; furthermore, long-serving CFO Jamie Caulfield is retiring and will be replaced by Steve Schmitt from Walmart.
https://www.cnbc.com/2025/10/09/pepsico-pep-q3-2025-earnings.html
@Antti_Leinonen has written about Pepsi.
Currently, Pepsi is valued significantly below its historical multiples. Based on next year’s earnings forecast, the P/E ratio is around 17, whereas historically the company has been valued at a multiple of 22. Pepsi’s valuation level is not only lower than Coca-Cola’s, but also lower than the entire consumer staples sector.
Subheadings:
Coca-Cola’s volumes continue to grow despite price increases, but Pepsi has reported declining volumes for 13 consecutive quarters – a strong performance from Coca-Cola in the market, unlike Pepsi.
https://x.com/fiscal_ai/status/1982507552756949107
The article below states little else than that Pepsi is nearing a settlement with activist investor Elliott Management, reports WSJ.
Elliott acquired an approximately $4 billion stake in the company in the fall, which accelerated negotiations for changes.
This article from the link below has a bit more comprehensive information on the matter than the article above. That original article, i.e., the WSJ article, is behind a paywall.
Elliott is indeed reportedly close to a deal with PepsiCo after its billion-dollar investment in September and is pressuring the company to boost its sluggish stock performance, among other things, by reorganizing bottling operations and divesting underperforming food units.
PepsiCo’s sales growth has slowed, volumes have decreased, and the stock has lagged behind the market. Management describes the discussions with Elliott as constructive, and both see the company as undervalued - meaning management has also commented on the valuation.
Elliott has recently taken large positions in Honeywell and Starbucks as well. I was personally surprised by what he sees in Starbucks. 
Pepsi has reached an agreement with activist investor Elliott regarding, among other things, cutting costs and lowering some food prices.
The company plans to cut its US product portfolio by about 20 percent and streamline both its beverage and food businesses.
However, Elliott will not get representatives on the board, but cooperation will continue.
Pepsi and Walmart are once again under scrutiny as a previously confidential regulatory document has come to light.
According to the document, for years Pepsi kept its products “cheap” for Walmart, while charging higher prices to other stores. Furthermore, if a competitor tried to lower their prices to Walmart’s level, PepsiCo would raise the wholesale price or reduce discounts and promotional support. This is being viewed as potential illegal favoritism.
Now, both customers and retailers have filed class-action lawsuits, alleging that everywhere outside of Walmart, prices rose unnecessarily as far back as 2015.
Pepsi has become cheaper, will it continue to get cheaper and why? Or what will good old Elliott manage to achieve?
https://x.com/KoyfinCharts/status/2009614454976311755
Pepsi delivered a better-than-expected Q4. Revenue and earnings improved—growth continued, though still at a moderate pace. The company intends to repurchase its own shares and maintains its outlook for the coming year, which promises steady growth and cash flow.
The beverage segment picked up, but demand for snacks has been sluggish due to pricing policies; consequently, some chip and nacho products will see price reductions. Additionally, various efficiency measures and brand refreshes will bolster margins and boost sales.
