LONDON (ShareCast) - (Sharecast News) - Shares in PepsiCo were on the rise on Thursday after the American soft drinks and snacks giant reported an acceleration in revenue growth in the third quarter.
Net revenues were 2.6% higher than last year over the three months to 30 September, up from the 1.0% growth registered in the first half. That was despite a 1.0% drop in overall volumes across both convenient foods and beverages.

Chair and chief executive Ramon Laguarta said the pickup in growth "reflects the resilience of our international business, improved momentum within North America Beverages and the benefits of our portfolio reshaping actions".

Profits declined year-on-year, though largely as analysts had expected, with the company reporting a net profit of $2.6bn or $1.90 a share, compared with $2.93bn and $2.13 a share a year earlier. Adjusted EPS came in at $2.29 a share, 3 cents ahead of forecasts.

He added: "As we look ahead to the balance of this year and beyond, our top priorities are to accelerate growth and aggressively optimize our cost structure. To accomplish this, we are introducing a strong pipeline of innovation to accelerate portfolio transformation, continuously sharpening our price pack architecture to provide good value to consumers, and right sizing our entire cost base to help fund our activities."

Looking ahead, PepsiCo reiterated its targets for low-single-digit organic revenue growth and flat core constant currency EPS growth.

The stock was up nearly 2% at $141.38 by 1035 ET.

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