We are in the middle of summer, when the temperature rises people turn to drinking more liquids or refreshing themselves. Often the liquids include pop and 2 companies dominate the cola markets Coca-Cola and Pepsi. People enjoy the beverages and in a book by John Scully about his time at Pepis the big 2 liter bottles were brought in as something different than the glass bottles of Coke. Consumers loved the bottles and for z time, Pepsi outsold Coke

In an article from Reuters, Pepsi recently posted its 2nd quarter net revenue rising by 5.2% to $ 20.23 billion, beating the expected $19.51 billion.

Outside of having to write down $1.4 billion due to the Russia Ukraine war, Pepsi expects its core revenues to rise 10%.

Hugh Johnston, chief financial officer at PepsiCo said there has been no slowdown in demand even though price hikes were implemented.

Linking to dividend paying stocks, one aspect you should be looking for is the ability to maintain margins as prices rise. If the company can do that, as an investor you like it. Every company should know when the price is too high or consumers seek alternatives, but if consumers keep demand high as prices rise that is good.

There are more questions than answers, till the next time – to raising questions.