July 12 Reuters PepsiCo Inc raised its fullyear revenue forecast on Tuesday as consumers bought more sodas and snacks even in the face of rising prices.
The company39;s shares rose about 1.3 to 172.70 in premarket trading.
Packaged food makers have so far felt little impact of decadeshigh inflation on consumer demand, especially in the United States, as people prioritize spending on eating at home rather than at restaurants.
However, signs are starting to emerge that a ceiling on price increases has been reached with some grocery stores now pushing back on price hikes from food companies.
Earlier this year, PepsiCo39;s snack brands briefly disappeared from shelves at Canadian grocer Loblaw Cos Ltd after the two companies sparred over price increases.
However, that had little effect on PepsiCo39;s overall net revenue, which rose 5.2 to 20.23 billion in the second quarter ended June 11, beating analysts39; estimates of 19.51 billion, according to IBES data from Refinitiv.
Organic revenue at the company39;s FritoLay North America unit rose 14 in the reported quarter, with its Doritos, Cheetos and Ruffles snack brands each delivering doubledigit net revenue growth.
Organic revenue at PepsiCo39;s North America beverage business rose 9.
The company reported a near 40 fall in attributable net income to 1.43 billion, in the second quarter, as it recorded a 1.4 billion charge primarily related to the write down of some assets due to the RussiaUkraine conflict.
The…