PepsiCo
PepsiCo, Inc. is a global beverage and convenient food company headquartered in Purchase, New York.
Contents14 sections
Key facts
1893–1923Origins of Pepsi-Cola
A drink created by Caleb Bradham was sold as Brad’s Drink in 1893 and renamed Pepsi-Cola in 1898. Bradham founded the Pepsi-Cola Company in 1902 and patented the drink in 1903. The company later ran into trouble and went bankrupt in 1923.[1]
1931Revival Under Guth
In 1931 the company went bankrupt again and was revived by Charles G. Guth, president of Loft Inc.[2]
1965Merger of Pepsi-Cola and Frito-Lay
In 1965 Donald Kendall, CEO of Pepsi-Cola, and Herman Lay, CEO of Frito-Lay, combined the two companies to form PepsiCo, Inc., calling it “a marriage made in heaven.”[3]
The newly formed PepsiCo then went public on the New York Stock Exchange.[1]
1977–1986Restaurant Acquisitions
In 1977 and 1978 PepsiCo acquired Pizza HutPizza HutPizza Hut is a pizza restaurant chain founded in 1958 by brothers Dan Carney and Frank Carney in Wichita, Kansas, known for pizzas such as the Original Pan and Original Stuffed Crust; at the end of 2025 it had nearly 20,000 restaurants in 108 countries and territories. PepsiCo acquired it in 1977, and in 1997 it went with PepsiCo’s restaurant spin-off into the company that became Yum! Brands. In 2026 Yum! Brands sold it in two transactions for $2.7 billion in the aggregate: the Mainland China business to Yum China and the rest to the private equity firm LongRange Capital.Open the full entry and Taco BellTaco BellTaco Bell is a Mexican-inspired quick-service restaurant brand within Yum! Brands, founded by Glen Bell in Downey, California, in 1962 and headquartered in Irvine. It serves tacos, burritos and other customizable food through franchised and company-owned restaurants. Sean Tresvant has served as division CEO since 2024.Open the full entry, and in 1986 it acquired Kentucky Fried ChickenKFCKFC (originally Kentucky Fried Chicken) is a global fast-food chain owned by Yum! Brands that specializes in fried chicken. It grew out of a roadside restaurant run by Harland Sanders in Corbin, Kentucky, and as of June 2026 had more than 34,000 restaurants in more than 150 countries.Open the full entry (KFC).[2]
In 1986 D. Wayne Calloway became chairman and CEO.[3]
1996–1998Restaurant Spin-Off, Tropicana
In 1997 Taco Bell, Pizza Hut and KFC were spun off into a new company, Tricon Global RestaurantsYum! BrandsYum! Brands is a restaurant franchising group headquartered in Louisville, Kentucky, and listed on the New York Stock Exchange (ticker YUM). Its brands are KFC, Taco Bell, and Habit Burger & Grill, and as of September 2026 it operated or franchised more than 44,000 restaurants in 151 countries and territories; it and Yum China Holdings, which runs these brands in mainland China, are two separate publicly traded companies.Open the full entry. In 1998 PepsiCo acquired Tropicana Products for $3.3 billion.[2]
Roger Enrico became chairman and CEO in 1996.[3]
April 1999Pepsi Bottling Group Offering
In April 1999 certain wholly owned bottling businesses were offered to the public as The Pepsi Bottling Group, with PepsiCo retaining a direct noncontrolling ownership interest of 35.5%.[4]
December 2000–August 2001Merger with Quaker Oats
PepsiCo’s deal to buy the Quaker Oats Company had been pending since December 2000. Federal Trade Commission staff recommended blocking it, concerned that acquiring Gatorade, with about 80% of the sports drink market, would create a monopoly. The commission split 2–2 on enforcement action and then voted 4–0 to close the investigation.[5]
The merger was completed on August 2, 2001, with Quaker shareholders receiving 2.3 PepsiCo shares for each Quaker share. PepsiCo issued about 306 million shares and sold the global rights to its All Sport beverage brand to The Monarch Company, Inc. of Atlanta.[4]
Steven S. Reinemund became chairman and CEO the same year.[3]
August 2018–February 2019Ramon Laguarta Succeeds Indra Nooyi
On August 6, 2018, the board unanimously elected Ramon Laguarta CEO. Indra Nooyi, who had spent 24 years at the company, the last 12 as CEO, stepped down as CEO on October 3, 2018, and remained chairman until early 2019. Laguarta had then worked at PepsiCo for 22 years.[6]
In January 2019 the board elected Laguarta chairman, effective on Nooyi’s retirement on February 1, 2019. He became “the sixth Chairman and CEO in PepsiCo’s 53-year history.”[7]
January–May 2025: FTC Price Discrimination Suit
In January 2025 the Federal Trade Commission sued PepsiCo under the 1936 Robinson-Patman Act, alleging it gave WalmartWalmartWalmart is an American retailer founded by Sam Walton in 1962, with businesses spanning physical retail, membership warehouse clubs, e-commerce and related services. Its businesses include Walmart and Sam’s Club, and it has expanded into other markets through international investments; its shares trade on Nasdaq under the ticker WMT.Open the full entry unfair price advantages. On May 22, 2025, the commission voted to dismiss the suit, and Chairman Andrew Ferguson called it “a nakedly political effort.” PepsiCo said it was pleased with the withdrawal.[8]
January 17, 2025Siete Foods Acquisition Completed
On January 17, 2025, PepsiCo closed its $1.2 billion acquisition of Garza Food Ventures LLC, doing business as Siete Foods, a Mexican-American food brand founded by the Garza family in Austin in 2014.[9]
September–December 2025: Elliott Stake and Overhaul Plan
Elliott Investment Management took a $4 billion stake in PepsiCo in September 2025. In December PepsiCo reached an agreement with Elliott to cut nearly 20% of its product offerings by early 2026, lower prices, use the savings for marketing and better consumer value, and review its supply chain.[10]
February 2026Fiscal 2025 Results and Annual Report
Net revenue for fiscal 2025 was $93,925 million, up 2.3% from $91,854 million in 2024. Net income attributable to PepsiCo was $8,240 million, compared with $9,578 million, and EPS was $6.00, down 14%. The company also announced its 54th consecutive annual dividend increase and a share repurchase program of up to $10 billion.[11]
PepsiCo’s fiscal 2025 annual report lists six reportable segments. The company employed about 306,000 people worldwide as of December 27, 2025, including about 125,000 in the United States. Its common stock trades on Nasdaq under the symbol PEP.[12]
October 8, 2026Third-Quarter 2026 Results
For the 12 weeks ended September 5, 2026, PepsiCo’s net revenue was $25,274 million, up 5.6%, net income attributable to PepsiCo was $3,048 million, and EPS was $2.23. The company updated its full-year net revenue growth outlook to about 6% and extended its multi-year productivity plan through the end of 2030.[13]
Sources
- PepsiCo: From Pepsi and Gatorade to Doritos and Lay’s (opens in a new window)
- History of PepsiCo, Inc. – FundingUniverse (opens in a new window)
- About the Company | PepsiCo (opens in a new window)
- Annual Report on Form 10-K (opens in a new window)
- FTC OKs Pepsi-Quaker (opens in a new window)
- Ramon Laguarta Elected Chief Executive Officer of PepsiCo (opens in a new window)
- PepsiCo Elects CEO Ramon Laguarta As Chairman of the Board (opens in a new window)
- FTC dismisses lawsuit against PepsiCo that was filed by Biden-era FTC (opens in a new window)
- PEPSICO COMPLETES ACQUISITION OF SIETE FOODS (opens in a new window)
- PepsiCo to cut prices, eliminate products as part of a deal with an activist investor (opens in a new window)
- PepsiCo Reports Fourth Quarter and Full-Year 2025 Results; Affirms 2026 Financial Outlook; Announces Annual Dividend Increase (opens in a new window)
- PEPSICO INC - Form 10-K - FY2025 (opens in a new window)
- PepsiCo Reports Third-Quarter 2026 Results (opens in a new window)