PepsiCo reports double-digit revenue growth in quarter ended June
PepsiCo India’s foods manufacturing plant in Kosi Kalan, Mathura intends to annually source around 150,000 tonnes of potatoes for its potato chips brand.
India remained on the list of developing and emerging markets for PepsiCo that reported double-digit organic revenue growth during the quarter ended June 11, 2022, the company said during the earnings call on Tuesday.
In their commentary, PepsiCo chairman and CEO Ramon Laguarta and vice-chairman and CFO Hugh Johnston said that the company’s developing and emerging markets remained resilient and delivered double-digit organic revenue growth in the quarter, including double-digit organic revenue growth in Mexico, Brazil, China, South Africa, India, Egypt, Saudi Arabia, Pakistan, Turkey, and Poland, and high-single-digit growth in Vietnam.
“With respect to our year-to-date market share performance, we gained savoury snack share in many of our international markets, including China, the UK, India, Saudi Arabia, Turkey, and Vietnam,” they said.
In June, PepsiCo announced a further investment of Rs 186 crore for the expansion of its foods manufacturing facility in Mathura, taking the overall investment to Rs 1,022 crore in Uttar Pradesh. As part of its expansion plan, PepsiCo India will increase the capacity of the foods plant, by setting up a new manufacturing line which will produce the nacho chip brand Doritos. The company in October 2020 had increased investment in the snacks plant from Rs 500 crore to Rs 814 crore.
Ahmed ElSheikh, president of PepsiCo India, had said earlier that the company is committed to doubling its business from snacks business in India and also increasing the capacity of existing food plants in West Bengal and Maharashtra, and it has additionally proposed to set up a greenfield manufacturing facility in Assam.
Commissioned in September 2021, PepsiCo India’s foods manufacturing plant in Kosi Kalan, Mathura intends to annually source around 150,000 tonnes of potatoes for its potato chips brand, LAY’S. Additionally, a strong backward integration program involving over 5,000 local potato farmers is also being developed.
The plant is expected to create over 1,500 direct and indirect job opportunities. and is championing diversity with a target of at least 30% women employees. Staying committed to PepsiCo’s ‘Winning with pep+’ philosophy, the foods plant is also deploying the best sustainability practices and advanced manufacturing technologies.