PepsiCo Q2 profit surges 125% as prior-year impairments roll off; OECD tax now in effect

Filed July 9, 2026 · Period ending June 13, 2026 · Compared to 10-Q Jul 17, 2025 · ~1 min read

Key Changes

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  Operating profit jumped 125% (12w) and 65% (24w) to $4.0B and $7.2B, with margins expanding 8.7pp and 5.8pp, driven by the absence of prior-year Rockstar/Be & Cheery impairments, productivity savings, and effective pricing.

  MD&A: Operating Results verify on EDGAR →
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  OECD global minimum tax (15%) came into effect in 2026 across EU and other jurisdictions, increasing the tax rate 3.4pp (12w) and 1.5pp (24w) to 22.0% and 21.7% — a structural headwind now embedded in the rate.

  MD&A: Tax Rate verify on EDGAR →
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  Supreme Court invalidated certain IEEPA tariffs; PepsiCo is pursuing refunds through CBP and has begun receiving payments, though ultimate recovery remains uncertain. New tariffs may offset gains.

  MD&A: Tariffs verify on EDGAR →