PepsiCo, Inc. (NYSE: PEP) reported that the company’s focus on healthier foods and drinks helped to increase revenue. The company observed that demand for traditional sweet sodas has significantly decreased.
Hugh Johnston, the company’s finance chief, said in an interview that to drive more growth “we’re going to continue doing what we’ve been doing, which is we’ll want to innovate, particularly in the area of lower sugar. We’ll continue to invest behind interesting brands.” MarketWatch reported.
PepsiCo reported that about 45 percent of the company’s net revenue is from, what they called, “guilt-free” products – beverages that have fewer than 70 calories per 12 ounces and snacks that have lower amounts of salt and saturated fat.
The company shares slipped however, due to currency headwinds, which took a toll.
Regarding the company’s guidance for the year of 2017, Hugh Johnston said in a statement, “We certainly feel good about the way the business is performing, but I think it’s fairly undeniable that the world has gone from a volatile place to an even more volatile place over the last six to nine months,” he told CNBC. “So when we give guidance, we certainly look to give cautious guidance to ensure investors understand that we are committed to delivering our guidance and we’ll see how the year progresses.”