Pepsi's Profits Fizz

15 October 2007

PURCHASE, New York: PepsiCo says it is "sensitive" to the current turmoil in the US credit markets, whilst remaining confident that the global economy will maintain strong growth.

The soft drinks giant saw its third-quarter net income increase 17% to $1.74 billion (€1.22bn; £858m), from $1.49bn a year earlier. Sales rose 11% to $10.2bn.

Ceo Indra Nooyi said the company was considering the scenario of "potential economic slowdown in the US", but saw no sign of any faltering in PepsiCo's emerging markets.

And Michael White, head of the firm's international division avers: "I think you will continue to see really solid growth out of these markets, and I don't think the US housing thing is going to have a significant impact on those emerging markets."

Data sourced from Financial Times online; additional content by WARC staff