May 20, 2014, 7:15 PM
- The U.S. regulator approves advantame, the sixth sugar substitute to get the agency's blessing. It can used as a tabletop sweetener or as an ingredient in cooking by virtue of its stability at high temperatures.
- The approval was based on the results of 37 animal and human studies submitted by the manufacturer.
- Advantame is chemically similar to aspartame (Equal). People with the genetic disorder phenylketonuria have difficulty metabolizing phenylalanine, a component of both aspartame and advantame. Food containing aspartame must be labeled as such. The amount of advantame needed to achieve a similar level of sweetness as aspartame is much less so no special labeling will be required.
- The last sweetener cleared by the FDA was neotame (Newtame) in 2002.
- Just a few related tickers: (PG) (PEP) (KO) (GIS) (K)
May 19, 2014, 10:31 AM
- PepsiCo (PEP -1%) CEO Indra Nooyi tells CNBC it's a "mystery" as to why diet soda sales are down.
- The exec also hinted that the company will enter the home beverage machine category. The development will be closely watched by SodaStream (SODA -1.1%) investors.
- Nooyi also sees big upside with the launch of the Spire dispenser machine.
May 19, 2014, 8:49 AM
- PepsiCo (PEP) extends its sweet-taste collaboration agreement with Senomyx (SNMX) through August 2016. PepsiCo will maintain its exclusive worldwide rights to the Senomyx sweet flavor ingredients developed under the collaboration for use in non-alcoholic beverage categories. Senomyx will be entitled to continued research funding from PepsiCo, milestone payments based upon the achievement of predetermined goals and royalties.
May 16, 2014, 10:22 AM
- PepsiCo (PEP +0.5%) has unveiled a new self-serve beverage dispensing machine called Spire which looks like a formidable challenger to Coca-Cola's Freestyle dispenser.
- The Spire machine has a sleeker and more modern look than Freestyle and uses a bag-in-box system which could be a margin-booster. Similar to the Freestyle machine, consumers can mix their favorite Pepsi drinks through touchscreen instructions.
- What to watch: Pepsi Spire will roll-out throughout this year and will challenge for placements at retail outlets and restaurant chains. Early reviews from industry watchers have been favorable.
May 15, 2014, 6:56 AM
- PepsiCo (PEP) has a "huge corporate bureaucracy" which has taken down it down a path of underperformance, according to Trian Partners.
- Trian is one of the more vocal shareholder groups backing a plan to see Pepsico's snacks and beverage businesses separate.
- The hedge fund's latest rant was made at the SkyBridge Capital SALT 2014 investment conference.
May 14, 2014, 10:29 AM
- A move last month by Chobani to relocate to Delaware looks like an indication the company may file an IPO in the U.S.
- A public launch by Chobani could help it create new growth channels, including yogurt-inspired stores.
- It also would give it a little more muscle to take on advertising heavyweights such as General Mills (GIS), Danone (DANOY), and Muller-PepsiCo (PEP) in the yogurt space.
May 14, 2014, 7:55 AM
- SodaStream (SODA) is in focus after a stumble in the U.S. drives home that the company is having some trouble penetrating the region to the same degree as other markets.
- Guidance from SodaStream is for a FY14 revenue to increase by 15% to $647.11M vs. $639.3M consensus.
- The company sees FY14 net income improving by 3% Y/Y to $42M.
- What to watch: Weakness by SodaStream in the U.S. is almost sure to drive out more speculation on a major beverage player buying out the Western Europe juggernaut. Pepsico (PEP) and Starbucks (SBUX) top the list.
- SodaStream earning call webcast 7:30 EST.
- SODA -3.3% premarket
May 6, 2014, 8:06 PM
Apr. 22, 2014, 10:54 AM
- Chobani plans to move into more food categories in the U.S. to diversify away from a yogurt-only portfolio.
- The company will sell desserts and oatmeal products in an effort to hit all three dayparts.
- What to watch: Chobani's growing influence in the U.S. is expected to challenge Danone (DANOY), General Mills (GIS), Post Holdings (POST), and PepsiCo (PEP) in various categories with its brand thriving. An investment from a P-E firm could help Chobani aim quite high.
Apr. 22, 2014, 8:01 AM
- PepsiCo (PEP) looks like a more attractive investment than Coca-Cola to CLSA's Caroline Levy.
- The analyst points to the company's strong performance in the Americas and the U.K. compared to its rival.
- Management at PepsiCo has also drawn praise for striking a fine balance between cost-cutting and effective marketing.
Apr. 17, 2014, 9:45 AM
- Execs with PepsiCo (PEP +0.3%) say they expect the company to squeeze out close to 30 bps of margins gains a year on productivity improvements. When combined with estimates for mid-single digit top-line growth, EPS is forecast to move along briskly.
- There is a "reasonable expectation" that buybacks will continue beyond 2014 at a similar pace.
- Increased advertising at Frito-Lay North America should pay off as the brands entrench themselves.
- CEO Indra Nooyi take on a question on CEO succession by noting that a talent model is in place to ensure any emergency contingency is covered, although she makes it clear her goal is to stay on for a while. "I am still in the chair," declares Noori.
- Not even a hint that PepsiCo is the rumored buyer of shares of SodaSteam (SODA +1%).
- Earnings call webcast
Apr. 17, 2014, 7:59 AM
- Retail analysts note that the broad sales gains PepsiCo (PEP) made in Q1 driven by its snacks business makes the beverage focus at Coca-Cola (KO) look that much more uninspiring.
- The Frito-Lay North America division at PepsiCo was able to grow organic revenue by 4% during Q1 and even take a percentage point of net pricing gain amid a tough retail pricing atmosphere.
- Premarket: KO -0.2%, PEP +2.4%
Apr. 17, 2014, 7:16 AM
- PepsiCo (PEP) reports it delivered 4% or better organic revenue growth in every business unit during Q1.
- Organic revenue growth in developing and emerging markets was 9% during the quarter.
- Soft drink volume in North America was down 1%, while non-carbonated beverage volume was up 2%.
- The company's gross margin rate rose 40 bps on productivity gains. PepsiCo says it's still on track to deliver $1B in productivity gains this year.
- PEP +1.3% premarket
Apr. 17, 2014, 7:03 AM
Apr. 17, 2014, 12:05 AM
Apr. 16, 2014, 5:30 PM
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PepsiCo Inc is a food, snack and beverage company. It manufactures, markets, distributes and sells convenient and enjoyable beverages, foods and snacks, serving customers and consumers in more than 200 countries and territories.
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