Snacks and beverage major PepsiCo said its India business has garnered double-digit organic revenue growth in the first quarter of 2023. While beverage unit volumes witnessed strong growth, snacks volumes witnessed a decline in the country during the quarter.
In prepared remarks, PepsiCo’s management said each of its international divisions reported strong organic revenue growth in Q1 led by AMESA region, with “India, Egypt, Saudi Arabia and Pakistan each delivering double-digit organic revenue growth.”
Also read:India amongst the fastest growing markets in AMESA region, says Eugene Willemsen, CEO
In a regulatory filing, the company said its India business experienced “a low-single-digit” decline in terms of convenient food unit volume during the quarter. At the same time, beverage unit volume in India witnessed double-digit growth.
Talking about the performance of the Africa, Middle East and South Asia (AMESA) region, the company said, “Beverage unit volume grew 15 per cent, primarily reflecting double-digit growth in India, partially offset by a low-single-digit decline in Nigeria. Additionally, the Middle East experienced high-single-digit growth and Pakistan experienced double-digit growth.”
“Convenient foods unit volume declined 8 per cent, primarily reflecting a double-digit decline in South Africa, partially offset by double-digit growth in the Middle East. Additionally, India and Pakistan each experienced a low-single-digit decline,” it added.
In the AMESA region, net revenue increased 2 per cent, primarily reflecting effective net pricing, partially offset by an organic volume decline.
“We are very pleased with our performance and business momentum as our categories and geographies remained resilient during the first quarter,” Ramon Laguarta, Chairman and CEO, PepsiCo, said in the earnings statement.
In the run-up to the key summer season, PepsiCo India launched a new brand positioning for its leading carbonated beverage brand Pepsi during the quarter. The company launched a campaign for brand Pepsi in February with a new tagline “Rise Up Baby” featuring Ranveer Singh.