PepsiCo (PEP) FY2022 results: revenue $86.4 billion, up 8.7% on the year

PepsiCo Inc. (PEP) reported revenue of $86.4 billion for fiscal 2022, the year ended 31 December 2022, up 8.7% on the year before. Net income was $8.9 billion, up 17.0%, and diluted earnings per share $6.42. The figures are the company's own, from the 10-K it filed with the SEC on 9 February 2023.

Revenue

$86.4 billion

+8.7% on the year

FY2015FY2022

Operating margin

13.3%

14.0% a year earlier

FY2015FY2022

Net income

$8.9 billion

+17.0% on the year

FY2015FY2022

Diluted EPS

$6.42

+16.9% on the year

FY2015FY2022

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2022 · Q2 FY2022 · Q3 FY2022 · Q4 FY2022

Income statement (profit and loss)

$ million	FY2022	FY2021	FY2020	On the year
Revenue	86,392	79,474	70,372	+8.7%
Cost of revenue	40,576	37,075	31,797	+9.4%
Gross profit	45,816	42,399	38,575	+8.1%
Gross margin	53.0%	53.3%	54.8%
Research and development	771	752	719	+2.5%
Selling, general and administrative	34,459	31,237	28,495	+10.3%
Operating income	11,512	11,162	10,080	+3.1%
Operating margin	13.3%	14.0%	14.3%
Interest expense	939	1,863	1,128	-49.6%
Pre-tax income	10,705	9,821	9,069	+9.0%
Income tax	1,727	2,142	1,894	-19.4%
Effective tax rate	16.1%	21.8%	20.9%
Net income	8,910	7,618	7,120	+17.0%
Net margin	10.3%	9.6%	10.1%
Diluted EPS	$6.42	$5.49	$5.12	+16.9%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2022	FY2021	FY2020	On the year
Operating cash flow	10,811	11,616	10,613	-6.9%
Capital expenditure	5,207	4,625	4,240	+12.6%
Free cash flow	5,604	6,991	6,373	-19.8%
Free cash flow margin	6.5%	8.8%	9.1%
Cash from investing	-2,430	-3,269	-11,619
Cash from financing	-8,523	-10,780	3,819
Depreciation and amortisation	2,763	2,710	2,548	+2.0%
Share-based compensation	343	301	264	+14.0%
Buybacks	1,500	106	2,000	+1,315.1%
Dividends paid	6,172	5,815	5,509	+6.1%
Dividend per share	$4.53	$4.25	$4.02	+6.5%
Diluted shares, weighted	1,387m	1,389m	1,392m	-0.1%

Balance sheet

$ million	FY2022	FY2021	FY2020	On the year
Shareholders' equity	17,149	16,043	13,454	+6.9%
Non-controlling interest	124	108	98.0	+14.8%
Debt	39,071	40,334	44,150	-3.1%
Operating lease liabilities	1,933	1,598	1,233	+21.0%
Other liabilities	33,910	34,294	33,983	-1.1%
Total liabilities and equity	92,187	92,377	92,918	-0.2%
Fixed assets	24,291	22,407	21,369	+8.4%
Goodwill	18,202	18,381	18,757	-1.0%
Intangible assets	1,277	1,538	1,703	-17.0%
Investments	394	392	1,366	+0.5%
Cash and equivalents	4,954	5,596	8,185	-11.5%
Inventory	5,222	4,347	4,172	+20.1%
Other assets	37,847	39,716	37,366	-4.7%
Total assets	92,187	92,377	92,918	-0.2%

10-K for the year ended 31 December 2022, filed 9 February 2023: the filing.