Updated with recent stock quotes and additional analysis.
PURCHASE, N.Y. (
) -- Cost-cutting efforts at
, in part, helped the food and beverage giant increase profit in the third quarter.
PepsiCo Thursday reported net income jumped 9% to $1.72 billion, or $1.09 a share. Excluding certain items brought the bottom-line to $1.08 per share. In the year-earlier quarter, the Purchase, N.Y.-based operation reported $1.58 billion in net income, or 99 cents a share.
Analysts surveyed by Thomson Reuters had forecast earnings per share at $1.03.
PepsiCo, which produces noteworthy brands like Quaker Oats, Pepsi and Doritos, saw sales drop slightly to $11.08 billion, down 1.5% since the same quarter last year. Street forecasts centered on PepsiCo producing $11.25 billion in revenue.
Looking ahead, PepsiCo reaffirmed guidance for 2009 revenue and core earnings per share "of mid-to high-single-digit core constant currency EPS growth off of fiscal 2008's core EPS of $3.68." In 2010, PepsiCo is targeting core constant currency EPS growing 11% to 13% from 2009's showing.
Before the bell, PepsiCo shares had been rising. But after the open, shares were down 82 cents, or 1.3%, at $60.35. Elsewhere in the morning, shares of
were down 40 cents, or 0.7%, at $54.41, while
Dr. Pepper Snapple
was adding 28 cents, or nearly 1%, at $29.50.
-- Written by Sung Moss in New York
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