UPDATE: Pepsi Bottling's 3Q Profit Rises 9.9% On Gains
2009年10月6日 - 10:29PM
Dow Jones News
Pepsi Bottling Group Inc.'s (PBG) fiscal third-quarter earnings
rose 9.9%, as the bottler was aided by lower commodity costs in one
of its last quarters as an independent company.
The company's revenue, however, came in below expectations. The
bottler and peer PepsiAmericas Inc. (PAS) are being acquired by
PepsiCo Inc. (PEP) for a combined $7.8 billion. After the deal is
completed, Pepsi Bottling Chief Executive Eric J. Foss will head a
new unit that will account for about three-quarters of PepsiCo's
North American bottling volume.
While soda companies have struggled with weakened volume for
some time, signs began to emerge in recent months that the worst
impact from the recession may have passed. Foss on Tuesday said
easing commodity costs and fewer pressures from currency exchange
translation drove improvements in the company's performance from
the first half of the year.
For the quarter ended Sept. 5, Pepsi Bottling reported a profit
of $254 million, or $1.14 a share, up from $231 million, or $1.06 a
share, a year earlier. Results for the latest quarter included a
net 8 cents a share of tax and other gains. The company, in July,
predicted earnings excluding items of $1.03 to $1.08 a share.
Revenue decreased 5% to $3.63 billion, but rose 2% excluding
currency effects. Analysts polled by Thomson Reuters projected
revenue of $3.73 billion on average. JPMorgan analyst John Faucher
said in a research brief that the bottler's North American volume
was likely hurt by softer sales of bottled water.
Total case volume declined 2% as U.S. and Canada volume fell 1%,
European volume fell 5% and Mexico volume rose 1%. The total volume
declines were smaller than first-quarter and second-quarter drops
of 5% and 4% respectively, as well the prior-year period's decline
of 6%.
The bottler said it expects to incur fees of $40 million to $60
million for external advisors hired in connection with the PepsiCo
acquisition.
Shares of Pepsi Bottling, which confirmed its 2009 earnings
forecast, rose 1.3% to $37.81 in premarket trading. The stock is up
66% this year amid the impending takeover.
-By Anjali Cordeiro, Dow Jones Newswires; 212-416-2200;
anjali.cordeiro@dowjones.com
-By Tess Stynes, Dow Jones Newswires; 212-416-2481;
tess.stynes@dowjones.com