The two giants of the beverage empire reported earnings this week, with PepsiCo outperforming estimates and Coca-Cola missing them.
For Coke, global sales volume rose 3 percent, but beverage sales were flat in North America. This is partly because Americans are drinking fewer diet sodas, Reuters reports. Interestingly, sales of regular Coke rose 1 percent in North America, which the company attributes to “demand for smaller packages of the product, which Coke has found to have generated more ‘brand love.’”
Pepsi announced organic revenue grew 5 percent in its snacks business and a 2 percent organic sales increase in its beverage business globally. Reuters writes that this is good news for the company, which is currently trying to battle activist investor Nelson Peltz, who “is urging the company to split its more successful snack division from its sluggish beverage business. Peltz said last week that a proxy fight at PepsiCo was a ‘possibility.’”