UPDATE 3-PepsiCo sees snacking boost as lockdowns hammer soda sales [Reuters]
Coca-Cola Company (The) (KO)
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Source: Reuters
PepsiCo sees snacking boost as lockdowns hammer soda sales (Reuters) - PepsiCo ( PEP.O ) warned on Tuesday surging demand for Lays and Doritos would only partially offset a hit to business in the second quarter from coronavirus lockdowns that have shuttered restaurants, theaters and sports venues key for its soda sales. The company said it had seen an increase in consumers making breakfast and snacking during the day while stuck under stay-at-home orders, leading to a surge in sales of snacks, oatmeal and Aunt Jemima pancakes late in the first quarter. Its drinks business, however, is not faring as well under the tough moves to stifle the virus, and the company ditched its full year forecast and predicted second-quarter organic sales would decline at a low single digit rate. The warning mirrored that of rival Coca-Cola Co ( KO.N ), last week, which said volumes had fallen 25% globally since the beginning of April, largely stemming from a loss of sales other than at retail stores.
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