Detailed financial statements for PepsiCo, Inc. (PEP): income statement, balance sheet and cash-flow summary. Track margins, debt, liquidity and profitability trends year over year: ten fiscal years free and up to 20 with Premium.
PepsiCo, Inc. is a global enterprise that creates, promotes, and supplies a diverse array of drinks and easy-to-prepare food items across the globe. Its operations are structured into seven primary divisions: Frito-Lay North America, Quaker Foods North America, PepsiCo Beverages North America, Latin America, Europe, Africa/Middle East/South Asia, and the Asia Pacific, Australia, New Zealand, and China Region.
Analysis Summary
PepsiCo, Inc. reported revenue of $93.92B in the most recent fiscal year, growing at a 5-year CAGR of 5.9%. Net income reached $8.24B, with a 3.0% 5-year CAGR.
Trailing-twelve-month margins: gross margin 54.0%, operating margin 15.0%, net margin 10.8%. Free cash flow grew at 3.8% CAGR over 5 years.
At the current price of $125.65, PEP trades at a P/E of 16.50 and an ROE of 40.38%. Market capitalisation stands at $171.6B, placing it among large-cap names.
Balance sheet quality for PEP: current ratio of 0.9, net debt of $40.37B. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Cash flow quality is strong: free cash flow of $7.67B represents 93% conversion of reported net income. High conversion (above 90%) suggests earnings translate cleanly into cash; lower conversion may indicate working capital tightness or accounting timing differences.
Income Statement (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $62.80B | $63.52B | $64.66B | $67.16B | $70.37B | $79.47B | $86.39B | $91.47B | $91.85B | $93.92B |
| Cost of Revenue | $28.22B | $28.80B | $29.38B | $30.13B | $31.80B | $37.08B | $40.58B | $41.88B | $41.74B | $43.07B |
| Gross Profit | $34.58B | $34.73B | $35.28B | $37.03B | $38.58B | $42.40B | $45.82B | $49.59B | $50.11B | $50.86B |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Selling, General & Admin | $24.77B | $24.45B | $25.17B | $26.74B | $28.45B | $31.24B | $34.46B | $36.68B | $37.19B | $37.37B |
| Operating Expenses | $24.77B | $24.45B | $25.17B | $26.74B | $28.50B | $31.24B | $34.30B | $37.60B | $37.22B | $37.37B |
| Operating Income | $9.80B | $10.28B | $10.11B | $10.29B | $10.08B | $11.16B | $11.51B | $11.99B | $12.89B | $13.49B |
| EBITDA | $12.26B | $13.12B | $12.81B | $13.09B | $13.22B | $14.90B | $14.92B | $15.75B | $16.68B | $15.54B |
| Interest Expense | $1.34B | $1.15B | $1.22B | $935.0M | $1.13B | $1.86B | $939.0M | $819.0M | $919.0M | $1.12B |
| Pre-tax Income | $8.55B | $9.60B | $9.19B | $9.31B | $9.07B | $9.82B | $10.71B | $11.42B | $11.95B | $10.24B |
| Income Tax | $2.17B | $4.69B | -$3.37B | $1.96B | $1.89B | $2.14B | $1.73B | $2.26B | $2.32B | $1.95B |
| Net Income | $6.33B | $4.86B | $12.52B | $7.31B | $7.12B | $7.62B | $8.91B | $9.07B | $9.58B | $8.24B |
| EPS | $4.39 | $3.42 | $8.84 | $5.23 | $5.14 | $5.51 | $6.46 | $6.59 | $6.98 | $6.03 |
| EPS (Diluted) | $4.36 | $3.38 | $8.78 | $5.20 | $5.11 | $5.48 | $6.42 | $6.56 | $6.95 | $6.00 |
| Shares Outstanding (Diluted) | $1.45B | $1.44B | $1.43B | $1.41B | $1.39B | $1.39B | $1.39B | $1.38B | $1.38B | $1.37B |
Income Statement (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Revenue | $23.94B | $29.34B | $19.44B | $24.18B |
| Gross Profit | $12.82B | $15.62B | $10.73B | $13.11B |
| Operating Income | $3.70B | $3.56B | $3.21B | $4.02B |
| EBITDA | $4.59B | $4.71B | $4.17B | $5.16B |
| Net Income | $2.60B | $2.54B | $2.34B | $3.00B |
| EPS | $1.90 | $1.86 | $1.70 | $2.18 |
| EPS (Diluted) | $1.90 | $1.85 | $1.70 | $2.18 |
Balance Sheet (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash & Equivalents | $9.16B | $10.61B | $8.72B | $5.51B | $8.19B | $5.60B | $4.95B | $9.71B | $8.51B | $9.16B |
| Short-term Investments | $6.97B | $8.90B | $272.0M | $229.0M | $1.37B | $392.0M | $394.0M | $292.0M | $761.0M | $371.0M |
| Receivables | $6.69B | $7.02B | $7.14B | $7.82B | $8.40B | $8.68B | $10.16B | $10.81B | $10.33B | $11.51B |
| Inventory | $2.72B | $2.95B | $3.13B | $3.34B | $4.17B | $4.35B | $5.22B | $5.33B | $5.31B | $5.84B |
| Total Current Assets | $26.45B | $31.03B | $21.89B | $17.64B | $23.00B | $21.78B | $21.54B | $26.95B | $25.83B | $27.95B |
| Property, Plant & Equipment | $16.59B | $17.24B | $17.59B | $20.85B | $23.04B | $24.43B | $26.66B | $29.94B | $31.39B | $33.65B |
| Goodwill | $14.43B | $14.74B | $14.81B | $15.50B | $18.76B | $18.38B | $18.20B | $17.73B | $17.53B | $18.92B |
| Intangible Assets | $13.43B | $13.84B | $15.82B | $16.04B | $19.32B | $18.66B | $15.59B | $14.93B | $14.80B | $15.07B |
| Total Assets | $73.49B | $79.80B | $77.65B | $78.55B | $92.92B | $92.38B | $92.19B | $100.50B | $99.47B | $107.40B |
| Accounts Payable | $6.16B | $6.73B | $7.21B | $8.01B | $8.85B | $9.83B | $10.73B | $11.63B | $11.00B | $11.70B |
| Short-term Debt | $6.89B | $5.49B | $4.03B | $2.92B | $3.78B | $4.31B | $3.41B | $6.51B | $7.08B | $6.86B |
| Total Current Liabilities | $21.14B | $20.50B | $22.14B | $20.46B | $23.37B | $26.22B | $26.79B | $31.65B | $31.54B | $32.76B |
| Long-term Debt | $30.05B | $33.80B | $28.30B | $29.15B | $40.37B | $36.03B | $35.66B | $37.59B | $37.22B | $42.32B |
| Total Liabilities | $62.29B | $68.82B | $63.05B | $63.68B | $79.37B | $76.23B | $74.91B | $81.86B | $81.30B | $86.85B |
| Retained Earnings | $52.52B | $52.84B | $59.95B | $61.95B | $63.44B | $65.17B | $67.80B | $70.03B | $72.27B | $72.79B |
| Total Equity | $11.10B | $10.89B | $14.52B | $14.79B | $13.45B | $16.04B | $17.15B | $18.50B | $18.04B | $20.41B |
| Total Debt | $36.95B | $39.28B | $32.32B | $32.51B | $44.61B | $40.78B | $39.55B | $44.66B | $44.95B | $49.90B |
| Net Debt | $20.82B | $19.77B | $23.33B | $26.77B | $35.06B | $34.79B | $34.21B | $34.66B | $35.68B | $40.37B |
| Working Capital | $5.32B | $10.53B | -$245.0M | -$2.82B | -$371.0M | -$4.44B | -$5.25B | -$4.70B | -$5.71B | -$4.82B |
Balance Sheet (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Cash & Equivalents | $8.13B | $9.16B | $10.47B | $10.25B |
| Total Assets | $106.56B | $107.40B | $110.65B | $112.19B |
| Total Liabilities | $87.02B | $86.85B | $89.11B | $89.92B |
| Total Equity | $19.39B | $20.41B | $21.38B | $22.10B |
| Total Debt | $50.85B | $49.90B | $52.73B | $53.21B |
Cash Flow (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Income | $6.38B | $4.91B | $12.56B | $7.35B | $7.17B | $7.68B | $8.98B | $9.15B | $9.63B | $8.29B |
| Depreciation & Amortization | $2.37B | $2.37B | $2.40B | $2.84B | $3.03B | $3.21B | $3.28B | $3.52B | $3.81B | $4.18B |
| Stock-based Compensation | $284.0M | $292.0M | $256.0M | $237.0M | $264.0M | $301.0M | $343.0M | $380.0M | $362.0M | $288.0M |
| Change in Working Capital | $896.0M | -$487.0M | $912.0M | -$479.0M | -$303.0M | $718.0M | -$888.0M | -$337.0M | -$1.70B | -$1.65B |
| Operating Cash Flow | $10.40B | $9.99B | $9.41B | $9.65B | $10.61B | $11.62B | $10.81B | $13.44B | $12.51B | $12.09B |
| Capital Expenditure | -$3.04B | -$2.97B | -$3.28B | -$4.23B | -$4.24B | -$4.62B | -$5.21B | -$5.52B | -$5.32B | -$4.42B |
| Acquisitions | -$127.0M | $206.0M | -$991.0M | -$2.46B | -$6.37B | $108.0M | $2.63B | -$239.0M | -$90.0M | -$3.39B |
| Stock Repurchased | -$3.01B | -$2.00B | -$2.00B | -$3.00B | -$2.00B | -$106.0M | -$1.50B | -$1.00B | -$1.00B | -$1.00B |
| Dividends Paid | -$4.23B | -$4.47B | -$4.93B | -$5.30B | -$5.51B | -$5.82B | -$6.17B | -$6.68B | -$7.23B | -$7.64B |
| Free Cash Flow | $7.36B | $7.03B | $6.13B | $5.42B | $6.37B | $6.99B | $5.60B | $7.92B | $7.19B | $7.67B |
Cash Flow (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Operating Cash Flow | $4.47B | $6.62B | $41.0M | $2.32B |
| Capital Expenditure | -$992.0M | -$1.92B | -$447.0M | -$819.0M |
| Free Cash Flow | $3.48B | $4.70B | -$406.0M | $1.50B |
| Dividends Paid | -$1.95B | -$1.95B | -$1.97B | -$1.95B |
| Stock-based Compensation | $76.0M | $81.0M | $93.0M | $69.0M |
Growth & Margins (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue Growth (YoY) | +1.2% | +1.8% | +3.9% | +4.8% | +12.9% | +8.7% | +5.9% | +0.4% | +2.3% | |
| Net Income Growth (YoY) | -23.3% | +157.7% | -41.6% | -2.7% | +7.0% | +17.0% | +1.8% | +5.6% | -14.0% | |
| EPS Growth (YoY) | -22.1% | +158.5% | -40.8% | -1.7% | +7.2% | +17.2% | +2.0% | +5.9% | -13.6% | |
| Shares Change (YoY) | -1.0% | -0.9% | -1.3% | -1.1% | -0.2% | -0.1% | -0.3% | -0.4% | -0.4% | |
| FCF Growth (YoY) | -4.6% | -12.7% | -11.7% | +17.6% | +9.7% | -19.8% | +41.4% | -9.3% | +6.7% | |
| Gross Margin | 55.1% | 54.7% | 54.6% | 55.1% | 54.8% | 53.3% | 53.0% | 54.2% | 54.6% | 54.1% |
| Operating Margin | 15.6% | 16.2% | 15.6% | 15.3% | 14.3% | 14.0% | 13.3% | 13.1% | 14.0% | 14.4% |
| EBITDA Margin | 19.5% | 20.7% | 19.8% | 19.5% | 18.8% | 18.7% | 17.3% | 17.2% | 18.2% | 16.5% |
| Net Margin | 10.1% | 7.6% | 19.4% | 10.9% | 10.1% | 9.6% | 10.3% | 9.9% | 10.4% | 8.8% |
| FCF Margin | 11.7% | 11.1% | 9.5% | 8.1% | 9.1% | 8.8% | 6.5% | 8.7% | 7.8% | 8.2% |
| Effective Tax Rate | 25.4% | 48.9% | -36.7% | 21.0% | 20.9% | 21.8% | 16.1% | 19.8% | 19.4% | 19.0% |
Per-Share Data (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| FCF Per Share | $5.07 | $4.89 | $4.30 | $3.85 | $4.58 | $5.03 | $4.04 | $5.73 | $5.22 | $5.59 |
| Dividends Per Share | $2.91 | $3.11 | $3.46 | $3.77 | $3.96 | $4.19 | $4.45 | $4.83 | $5.25 | $5.56 |
| Shares Outstanding (Basic) | $1.43B | $1.42B | $1.42B | $1.40B | $1.39B | $1.38B | $1.38B | $1.38B | $1.37B | $1.37B |
What to look at in Consumer Defensive companies
- Gross margin (stable 5y) (Stable >=35%) — Brand pricing power — Coca-Cola does not drop margins.
- ROE / ROIC stable (ROE >=15% stable) — Defensive businesses have high consistent ROEs — Lynch's stalwarts.
- FCF / Net Income (>=90%) — Earnings to cash conversion — best names exceed 95%.
- Dividend growth 10y (>=6%/year) — Dividend Aristocrats raise 25+ years — moat signal.
- Payout Ratio (<75%) — >80% = dividend at risk. <60% comfortable.
- Net Debt / EBITDA (<2.5x) — Defensive with high debt loses its essence.
Profitability
| Return on Equity | 40.38% |
| Return on Invested Capital | 13.29% |
| Return on Assets | 7.67% |
| Gross Margin | 53.96% |
| Operating Margin | 14.96% |
| Net Margin | 10.82% |
Financial Health
| Debt / Equity | 2.41 |
| Current Ratio | 0.93 |
| Piotroski F-Score | 5 |
| Altman Z-Score | 3.54 |
Key Ratios (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| P/E | 23.83 | 35.06 | 12.50 | 26.13 | 28.85 | 31.53 | 27.97 | 25.77 | 21.79 | 23.84 |
| P/B | 13.47 | 15.64 | 10.77 | 12.93 | 15.27 | 14.96 | 14.54 | 12.63 | 11.57 | 9.63 |
| P/S | 2.38 | 2.68 | 2.42 | 2.85 | 2.92 | 3.02 | 2.89 | 2.55 | 2.27 | 2.09 |
| Gross Margin | 55.1% | 54.7% | 54.6% | 55.1% | 54.8% | 53.3% | 53.0% | 54.2% | 54.6% | 54.1% |
| Operating Margin | 15.6% | 16.2% | 15.6% | 15.3% | 14.3% | 14.0% | 13.3% | 13.1% | 14.0% | 14.4% |
| Net Margin | 10.1% | 7.6% | 19.4% | 10.9% | 10.1% | 9.6% | 10.3% | 9.9% | 10.4% | 8.8% |
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Explore sector: Consumer Defensive · Beverages - Non-Alcoholic
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