PepsiCo, Inc.

Overview

• Company: PepsiCo, Inc. (DSOs: “we,” “us,” “our,” “PepsiCo” and “Company”)
• Business: Global leader in beverages and convenient foods
• Brand portfolio highlights: Lay’s, Doritos, Cheetos, Gatorade, Pepsi-Cola, Mountain Dew, Quaker, SodaStream
• Global reach: Products served in more than 200 countries and territories

Organization and reportable segments

PepsiCo reports six operating segments:

1. PFNA — PepsiCo Foods North America

• Focus: Convenient foods in the United States and Canada
• Products: Cereals, chips, dips, granola bars, oatmeal, pasta, rice, syrups/mixes
• Brands: Cheetos, Doritos, Fritos, Lay’s, Pearl Milling Company, Quaker, Ruffles, Tostitos
• Distribution: Sold to independent distributors and retailers

2. PBNA — PepsiCo Beverages North America

• Focus: Beverages in the United States and Canada
• Products: Aquafina, Bubly, Diet Mountain Dew, Diet Pepsi, Gatorade, Mountain Dew (including Baja Blast), Pepsi (including Wild Cherry and Zero Sugar), Propel
• Operations: Owns bottling plants and distribution facilities; sells concentrate and finished goods to distributors and bottlers
• Additional: Ready-to-drink tea and coffee through joint ventures with Unilever (Lipton) and Starbucks; licensed brands and distribution arrangements with Keurig Dr Pepper, Dole/Ocean Spray, and third-party brands in select channels

3. IB Franchise — International Beverages Franchise

• Focus: Beverage concentrate supply to bottlers; SodaStream manufacturing and distribution; international joint venture with Unilever for Lipton tea
• Brands: 7UP, Aquafina, Gatorade, Mirinda, Mountain Dew, Pepsi (including Pepsi Black and Pepsi Zero Sugar), Sting Energy

4. EMEA — Europe, Middle East and Africa

• Focus: Convenient foods and beverages across EMEA; ownership of regional bottlers
• Brands: Cheetos, Chipsy, Doritos, Lay’s, Quaker, Sasko, Walkers, White Star; beverages include 7UP, Mirinda, Pepsi, Pepsi Zero Sugar
• Additional: Dairy products and Lipton joint venture; ownership of multiple plants and distribution facilities

5. LatAm Foods — Latin America Foods

• Focus: Convenient foods in Latin America
• Brands: Cheetos, Doritos, Emperador, Lay’s, Marias Gamesa, Quaker, Ruffles, Sabritas, Saladitas Gamesa, Tostitos

6. Asia Pacific Foods

• Focus: Convenient foods in Asia Pacific, including China, Australia, New Zealand, and India
• Brands: BaiCaoWei, Cheetos, Doritos, Kurkure, Lay’s, Quaker, Smith’s
• Distribution: Through consolidated businesses and noncontrolled affiliates

Distribution and go-to-market

• Primary channels: Direct Store Delivery (DSD), customer warehouses, distributor networks
• Direct-to-consumer: Growing e-commerce presence via company-owned and third-party sites
• Advantages of DSD: Strong in-store merchandising and product visibility
• Channel trends: Expansion into e-commerce and hard-discounter channels; ongoing development of direct-to-consumer capabilities

Customers and bottlers

• Customer types: Wholesale distributors, foodservice operators, grocery, drug, convenience, discount/dollar stores, mass merchandisers, e-commerce retailers, authorized independent bottlers
• Bottler relationships: Independent bottlers receive concentrate and finished goods and pay Aquafina royalties; bottler funding supports trade and consumer programs

Key transactions and licensing

• Sabra Dipping Company: In December 2024, PepsiCo acquired Strauss Group’s 50% ownership; Sabra became a wholly owned subsidiary
• Trademarks and licenses: Owns or licenses a broad set of trademarks; licensing and distribution arrangements include Ocean Spray, Keurig Dr Pepper brands (Dr Pepper, Crush, Schweppes) in certain markets, and distribution partnerships for brands such as Celsius, Alani Nu, and Rockstar in specific channels
• Alcoholic beverages: In 2024, moved to a trademark licensing model for certain markets

People and culture

• Employees: Approximately 306,000 worldwide (as of December 27, 2025); about 125,000 in the United States
• People strategy: Emphasis on culture, pay equity, safety, and leadership development; more than 2.8 million training hours reported in 2025

Revenue-related detail

• Major customer exposure: In 2025, Walmart and Sam’s Club accounted for approximately 14% of PepsiCo’s consolidated net revenue across all segments

Other relevant areas

• Packaging and sustainability: Active focus on recyclable, compostable, and reusable packaging; monitoring regulatory developments on packaging and waste
• Intellectual property: Broad portfolio of trademarks, patents, and trade secrets; emphasis on brand and formula protection
• Regulation and risk: Operations subject to multiple jurisdictions with evolving requirements for labeling, marketing, packaging, data privacy, taxes, and environmental standards
• Research and development: Global centers focused on product innovation, packaging improvements, and efficiency, with goals that include reducing added sugars and sodium and lowering environmental impact