New York, July 17: Pepsico Inc on Thursday reported a 19 per cent increase in its second quarter net income, as higher earnings at its snack foods division offset increased spending to capture more of the North American beverage market.PepsiCo said late on Thursday that second quarter sales in its snack foods division were up six per cent to $2.61 billion from $2.47 billion. Global snack food volume was up 8 per cent, the company said. Beverage sales were up 1 per cent to $2.65 billion from $2.62 billion, the company said. Global beverage volume was up 6 per cent.
``Our global volume growth so far this year is greater than it was a year earlier in both snacks and beverages,'' PepsiCo chairman Roger Enrico said in a statement.
Pepsi said worldwide operating profits were down, as expected, because of increased spending in its North American beverage unit.
The company has undertaken a series of initiatives to improve fountain, cold bottle vending and advertising and marketing, it said.
``The higherspending more than offset the increased profits at Pepsi-Cola International,'' the company said.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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