As Americans continue to grapple with high grocery bills, PepsiCo is responding by cutting prices on some of the nation’s favorite snack foods by 15 percent—just before next weekend’s Super Bowl game. The company also reported fourth-quarter fiscal 2025 results that exceeded expectations.
In a Feb. 3 statement, PepsiCo said the new suggested retail prices on snacks, including Lay’s, Doritos, Cheetos, Tostitos, and more, are expected to begin rolling out this week. It also noted that since retailers typically set their own prices, some shoppers may see even more savings, depending on the store.
“We’ve spent the past year listening closely to consumers, and they’ve told us they’re feeling the strain,” Pepsico Foods U.S. CEO Rachel Ferdinando said in the statement.
“Lowering the suggested retail price reflects our commitment to help reduce the pressure where we can. Because people shouldn’t have to choose between great taste and staying within their budget.”
Ferdinando said some packaging updates for the snacks are being made based on consumer feedback.
“We’ll continue taking steps that keep our most loved brands within reach, while maintaining the same quality and same taste that consumers love,” she said.
The new price reductions are part of the company’s strategy to increase accessibility and offer additional choices for consumers. PepsiCo said it will continue to update its portfolio of products, including the removal of artificial flavors and colors from Lay’s and Tostitos.
Meanwhile, the global food and beverage giant is preparing to debut a new TV commercial during the Feb. 8 Super Bowl. Directed by Academy Award-winning filmmaker Taika Waititi, “The Choice” will feature the famous cola-loving polar bear who chooses PepsiCo in a blind taste test.
Also on Feb. 3, PepsiCo released its fourth-quarter and full-year fiscal 2025 financial results.
In the fourth quarter, the company recorded net revenue of $29.34 billion and earnings per share of $1.85 in the quarter, up by 5.6 percent and by 68 percent year over year, respectively. Analysts had expected earnings per share of $2.24 on net revenue of $29 billion, according to FactSet.
Net revenue and earnings per share for the full year were $93.9 billion and $6.00, respectively, compared with the consensus estimates of $93.41 billion and $8.11–$8.12, respectively.
“PepsiCo’s fourth quarter results reflected a sequential acceleration in reported and organic revenue growth, with improvements in both the North America and International businesses,” PepsiCo Chairman and CEO Ramon Laguarta said in the report. “Accelerated net revenue growth and strong productivity savings led to strong operating margin expansion and double-digit EPS growth in the fourth quarter.”
The company affirmed its December 2025 financial guidance for fiscal 2026, expecting net revenue to grow by 4 percent to 6 percent and earnings per share to increase by 7 percent to 9 percent.
As of 1:10 p.m. ET on Feb. 3, PepsiCo’s shares were up by 4.19 percent.
