PepsiCo Beats Profit Expectations But Sales Fall Shy

PepsiCo Inc. reported first-quarter earnings that fell to $931 million, or 64 cents a share, from $1.22 billion, or 81 cents a share, in the same period a year ago. Excluding non-recurring items, adjusted earnings per share was 89 cents, beating the FactSet consensus of 81 cents. Revenue declined 3% to $11.86 billion, just shy of the FactSet consensus of $11.86 billion, as weakness in Quaker Foods North America and Latin America sales offset strength in North America beverages and Frito-Lay North America. The beverage and snack giant affirmed its 2016 outlook for core revenue growth of 4% and EPS of $4.66. The FactSet 2016 EPS consensus of $4.70. The stock, which was still inactive in premarket trade, has climbed 3.9% year to date, while the S&P 500 has gained 1.8.%.