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A woman grabs a bottle of Diet Pepsi in Atlanta, Georgia.
PepsiCo is expected to report its second-quarter earnings before the bell on Tuesday, here is what Wall Street expects.
Here’s what Wall Street expects::
Earnings: $1.52 per share, according to Thomson ReutersRevenue: $16.04 billion, according to Thomson ReutersPepsi's North American beverage business, which includes brands like Gatorade and its namesake cola, has been struggling to contend with increased competition from upstart brands and changing consumer tastes. CEO Indra Nooyi last quarter placed the blame for slowing sales on Coca-Cola's increased spending on advertising, though she did not address the Atlanta-based beverage giant by name. She said Pepsi would respond by increasing spending on its trademark cola brand and improve brand communications.
Pepsi's Frito-Lay snack business, meantime, continues to thrive. Pepsi in May announced its acquisition of baked fruit and vegetable company Bare Foods as part of its efforts to keep its business on trend with today's snackers. Investors will likely expect an update on how that acquisition fits within its broader strategy.
Still, the U.S. remains challenging for all consumer giants, where pressured retailers and rising costs are squeezing margins. Pepsi has seen some of its strongest performances internationally and last quarter reported revenue growth in Latin America and Europe Sub-Saharan Africa of 14 percent and 15 percent, respectively.
