Dec 25, 2021

PepsiCo Q4 2021 Earnings Report

PepsiCo's Q4 2021 results were reported, showcasing revenue growth and EPS decline due to inflationary pressures and strategic investments.

Key Takeaways

PepsiCo reported a 12.4% increase in net revenue and a $0.95 EPS for Q4 2021. The company expects to deliver 6% organic revenue growth and 8% core constant currency EPS growth for 2022, reflecting inflationary pressures and planned investments.

Net revenue grew by 12.4% in Q4 2021.

EPS decreased by 28% to $0.95.

Organic revenue growth was 11.9% in Q4 2021.

Core EPS was $1.53, a 4% increase in core constant currency.

Total Revenue
$25.2B
Previous year: $22.5B
+12.4%
EPS
$1.53
Previous year: $1.47
+4.1%
Organic Revenue Growth
11.9%
Previous year: 5.7%
+108.8%
Gross Profit
$13.1B
Previous year: $12B
+9.1%
Cash and Equivalents
$5.6B
Previous year: $8.19B
-31.6%
Total Assets
$92.4B
Previous year: $92.9B
-0.6%

PepsiCo

PepsiCo

PepsiCo Revenue by Segment

Forward Guidance

For 2022, PepsiCo expects a 6 percent increase in organic revenue and an 8 percent increase in core constant currency EPS.

Positive Outlook

  • 6 percent increase in organic revenue
  • 8 percent increase in core constant currency EPS
  • Core annual effective tax rate of 20 percent
  • Total cash returns to shareholders of approximately $7.7 billion
  • 7 percent increase in annualized dividend to $4.60 per share

Challenges Ahead

  • 1.5-percentage-point foreign exchange translation headwind to impact reported net revenue
  • 1.5-percentage-point foreign exchange translation headwind to impact core EPS growth
  • Impact of inflationary pressures across the value chain
  • Planned investments in our business
  • Unpredictability of future changes in foreign exchange rates

Revenue & Expenses

Visualization of income flow from segment revenue to net income