India has played a major role in PepsiCo’s international growth during the second quarter of 2026, with strong demand for its beverages and snack products helping boost the company’s global performance.
For the quarter ended June 13, 2026, PepsiCo reported healthy organic volume and net revenue growth across its global beverages and convenient foods businesses, supported by strong consumer demand in several international markets, including India.
PepsiCo’s International Beverage Franchise (IBF), which contributes more than 60% of the company’s global beverage volumes, recorded 5% organic volume growth during the quarter. Its international convenient foods business, which accounts for nearly 70% of global convenient foods volumes, also posted 4% organic volume growth, driven by steady demand across key markets.
The company said India continued to be one of the major contributors to this growth, with both its beverage and snack businesses performing well during the quarter. “IB franchise unit volume grew 5%, primarily reflecting broad-based increases, led by India, partially offset by a decline in Mexico,” PepsiCo said.
The International Beverage Franchise business, which includes PepsiCo’s international franchise beverage operations and the SodaStream business, reported an 11% increase in net revenue during the 12-week quarter and 10% growth for the first 24 weeks of the year.
For the second quarter ended June 13, 2026, PepsiCo reported net revenue of $24.18 billion, up 6.4% year-on-year, while operating profit stood at $4.02 billion. India also remained an important growth market for PepsiCo’s convenient foods business. The company’s Asia Pacific Foods segment, which includes India, China, Australia and New Zealand, reported a 12% increase in net revenue during the quarter.
PepsiCo said it either maintained or increased its market share in the savoury snacks category across several countries, including India, China, Brazil, Egypt, Saudi Arabia, Australia, the Netherlands, Thailand, France and Pakistan. “For beverages, we held or gained share in the UK, Philippines, Germany, Argentina, Australia, Spain, India, Thailand, Guatemala, Pakistan, Egypt, and Vietnam,” the company said.
The company is also refreshing its snack portfolio globally, with India among the key markets for product and marketing upgrades. PepsiCo said it is updating the Lay’s brand with new packaging, fresh marketing campaigns and messaging focused on simple, high-quality ingredients and the absence of artificial flavours and colours.
In India, the company is also giving Kurkure a new visual identity while highlighting its “no artificial flavours or colours” proposition.
Earlier this month, PepsiCo India announced plans to invest Rs 5,700 crore between 2025 and 2030 to expand its manufacturing operations in the country. The investment includes new food manufacturing plants in Assam and Tamil Nadu, along with the recently commissioned Rs 1,266 crore flavour manufacturing facility in Ujjain, aimed at strengthening its production and supply chain network.
“Net revenue increased 6.4% due to 2.4% organic revenue growth, a 2.2% point benefit from foreign exchange translation and a 1.8% point net benefit from acquisitions and divestitures,” the company said. Looking ahead, PepsiCo said it continues to expect organic revenue growth of between 2% and 4% in 2026.
“Year-to-date, PepsiCo’s global organic volume has increased at the highest rate since 2022, aided by the strength of the international business and the continued evolution of the portfolio to offer more choices,” said Chairman and CEO Ramon Laguarta.
