PepsiCo predicted inflation would stay elevated for the rest of the year, and said it remained open to raising prices further after seeing limited pushback from consumers so far. (The Financial Times £)
The US fizzy drink, snacks and cereals combine PepsiCo today reported a better than expected 5.2% rise in sales, to $20.23bn, for the 12 weeks to 11 June. However, PepsiCo appears to have been sacrificing an element of profitability to keep sales growing, with its CFO noting that the company was facing a “tough, tough” inflationary backdrop. (Sky News)
After spending more than $50bn on coffee chains, restaurant groups and cosmetics companies, JAB Holdings has found a cute solution to boosting its mixed returns. The European group, which manages money for Germany’s billionaire Reimann family and outside investors, is hoping that pets can outperform its previous investments in a tougher economic climate. (The Financial Times £)
The world’s biggest drinks group has given a clear signal on the identity of its next chief executive by appointing Debra Crew as chief operating officer. (The Times £)
Supplies of olive oil, risotto rice and passata are under threat as northern Italy suffers its worst drought in 70 years, stirring up the cost of living crisis further. (The Guardian)
Rising costs turn up the heat on farmers. The surge in the cost of “the three Fs” of fertiliser, fuel and feed mean that the business model used for centuries — using the money from last year’s crop to plant and raise this year’s — is, not working. (The Times £)
Britons’ confidence in the economy has fallen for a seventh consecutive month, adding to mounting signs of squeezed spending leading to a recession this year. (The Times £)
Wagamama owner The Restaurant Group has bought Mexican-style restaurant chain Barburrito in a £7m deal. The hospitality firm said it initially hopes to double the size of Barburrito’s current estate over the coming four years, with many potential new sites being opened across southern England. (The Daily Mail)
The mustard makers of Burgundy say they have been hit by a triple catastrophe that has cut supplies of the seeds of Brassica juncea used for the Dijon product. First, there was bad weather in Burgundy itself and in Canada linked to climate change, then there was the Russian invasion of Ukraine, and last, importers faced the global Covid-related shipping and transport logjams. (The Financial Times £)
As supply chain pressures and shipping delays are felt around the world, New Zealand is being hit by a nationwide dearth of bourbon, with shortages also hitting the craft beer and chicken nugget markets. (The Guardian)
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