PepsiCo, Inc. (PEP) Margin Analysis - Discounting Cash Flows

PepsiCo, Inc.

PEP (NASDAQ)

(%)

Models
PepsiCo, Inc. Margin Analysis

# --- Years and Quarters
assumptions.set({
    "timeseries": "annual",
    "data": {
        "#years": """
            4
        """,
        "#quarters": """
            8
        """,
    },
    "titles": {
        "#years": "Years",
        "#quarters": "Quarters",
    },
    "properties": {
        "width": "responsive",
        "title": "Years and Quarters",
        "id": "component-1",
        "bindTo": None
    },
    "descriptions": {
        "#years": r"""
The number of historical years used to render the annual chart and tables.
        """,
        "#quarters": r"""
The number of historical quarters used to render the quarterly chart and tables.
        """,
    }
})

# Render description block
model.render_description({
    "data": r"""
## Margin Analysis Report

Margins refer to the ratio between a financial report item and the revenue (example: Net Income Margin = Net Income / Revenue).

This analysis provides annual and quarterly sections for reporting key financial margins.
""",
    "properties": {
        "width": "responsive"
    }
})

# Render description block
model.render_description({
    "data": r"""
## Annual Section

The annual section uses annual data to calculate margins and growth rates.
""",
    "properties": {
        "width": "full"
    }
})

# --- Income Statement Margins
data.compute({
    "user:%revenueGrowthRate": """
        ( income:revenue / income:revenue:-1 ) - 1
    """,
    "user:%grossMargin": """
        income:grossProfit / income:revenue
    """,
    "user:%operatingMargin": """
        income:operatingIncome / income:revenue
    """,
    "user:%netMargin": """
        income:netIncome / income:revenue
    """,
}, forecast=0, timeseries="annual")

model.render_table({
    "timeseries": "annual",
    "data": {
        "income:revenue": "Revenue",
        "user:%revenueGrowthRate": "Revenue Growth Rate",
        "income:costOfRevenue": "Cost of Revenue",
        "income:grossProfit": "Gross Profit",
        "user:%grossMargin": "Gross Margin",
        "income:operatingIncome": "Operating Income",
        "user:%operatingMargin": "Operating Margin",
        "income:netIncome": "Net Income",
        "user:%netMargin": "Net Margin",
    },
    "start": data.get("""
        -assumption:#years
    """),
    "end": 0,
    "properties": {
        "title": "Income Statement Margins",
        "order": "descending",
        "number_format": "M",
        "include_ltm": True,
        "display_averages": False,
        "width": "responsive"
    }
})

# --- Cash Flow Statement Margins
data.compute({
    "user:%cashFromOperatingActivitiesMargin": """
        flow:netCashProvidedByOperatingActivities / income:revenue
    """,
    "user:%freeCashFlowMargin": """
        flow:freeCashFlow / income:revenue
    """,
    "user:%depreciationAndAmortizationMargin": """
        flow:depreciationAndAmortization / income:revenue
    """,
    "user:%capitalExpenditureMargin": """
        flow:capitalExpenditure / income:revenue
    """,
}, forecast=0, timeseries="annual")

model.render_table({
    "timeseries": "annual",
    "data": {
        "income:revenue": "Revenue",
        "flow:netCashProvidedByOperatingActivities": "Cash from Operating Activities",
        "user:%cashFromOperatingActivitiesMargin": "Cash from Operating Activities Margin",
        "flow:freeCashFlow": "Free Cash Flow",
        "user:%freeCashFlowMargin": "Free Cash Flow Margin",
        "flow:depreciationAndAmortization": "Depreciation and Amortization",
        "user:%depreciationAndAmortizationMargin": "Depreciation and Amortization Margin",
        "flow:capitalExpenditure": "Capital Expenditure",
        "user:%capitalExpenditureMargin": "Capital Expenditure Margin",
    },
    "start": data.get("""
        -assumption:#years
    """),
    "end": 0,
    "properties": {
        "title": "Cash Flow Statement Margins",
        "order": "descending",
        "number_format": "M",
        "include_ltm": True,
        "display_averages": False,
        "width": "responsive"
    }
})

model.render_chart({
    "timeseries": "annual",
    "data": {
        "user:%grossMargin": "Gross Margin",
        "user:%operatingMargin": "Operating Margin",
        "user:%netMargin": "Net Margin",
        "user:%freeCashFlowMargin": "Free Cash Flow Margin",
    },
    "start": data.get("""
        -assumption:#years
    """),
    "end": 0,
    "properties": {
        "title": "Annual Chart",
        "include_ltm": False,
        "set_editable": [],
        "hidden_keys": [],
        "bar_keys": ["user:%grossMargin", "user:%operatingMargin", "user:%netMargin", "user:%freeCashFlowMargin"],
        "width": "full"
    }
})

# Render description block
model.render_description({
    "data": r"""
## Quarterly Section

The quarterly section uses quarterly data to calculate margins and growth rates.
""",
    "properties": {
        "width": "full"
    }
})

model.render_table({
    "timeseries": "quarterly",
    "data": {
        "income:revenue": "Revenue",
        "user:%revenueGrowthRate": "Revenue Growth Rate",
        "income:costOfRevenue": "Cost of Revenue",
        "income:grossProfit": "Gross Profit",
        "user:%grossMargin": "Gross Margin",
        "income:operatingIncome": "Operating Income",
        "user:%operatingMargin": "Operating Margin",
        "income:netIncome": "Net Income",
        "user:%netMargin": "Net Margin",
    },
    "start": data.get("""
        -assumption:#quarters
    """),
    "end": 0,
    "properties": {
        "title": "Income Statement Margins",
        "order": "descending",
        "number_format": "M",
        "display_averages": False,
        "width": "responsive"
    }
})

model.render_table({
    "timeseries": "quarterly",
    "data": {
        "income:revenue": "Revenue",
        "flow:netCashProvidedByOperatingActivities": "Cash from Operating Activities",
        "user:%cashFromOperatingActivitiesMargin": "Cash from Operating Activities Margin",
        "flow:freeCashFlow": "Free Cash Flow",
        "user:%freeCashFlowMargin": "Free Cash Flow Margin",
        "flow:depreciationAndAmortization": "Depreciation and Amortization",
        "user:%depreciationAndAmortizationMargin": "Depreciation and Amortization Margin",
        "flow:capitalExpenditure": "Capital Expenditure",
        "user:%capitalExpenditureMargin": "Capital Expenditure Margin",
    },
    "start": data.get("""
        -assumption:#quarters
    """),
    "end": 0,
    "properties": {
        "title": "Cash Flow Statement Margins",
        "order": "descending",
        "number_format": "M",
        "display_averages": False,
        "width": "responsive"
    }
})

model.render_chart({
    "timeseries": "quarterly",
    "data": {
        "user:%grossMargin": "Gross Margin",
        "user:%operatingMargin": "Operating Margin",
        "user:%netMargin": "Net Margin",
        "user:%freeCashFlowMargin": "Free Cash Flow Margin",
    },
    "start": data.get("""
        -assumption:#quarters
    """),
    "end": 0,
    "properties": {
        "title": "Quarterly Chart",
        "set_editable": [],
        "hidden_keys": [],
        "bar_keys": ["user:%grossMargin", "user:%operatingMargin", "user:%netMargin", "user:%freeCashFlowMargin"],
        "width": "full"
    }
})

Years and Quarters

Years Years The number of historical years used to render the annual chart and tables.	#
Quarters Quarters The number of historical quarters used to render the quarterly chart and tables.	#

Margin Analysis Report

Margins refer to the ratio between a financial report item and the revenue (example: Net Income Margin = Net Income / Revenue).

This analysis provides annual and quarterly sections for reporting key financial margins.

Annual Section

The annual section uses annual data to calculate margins and growth rates.

Income Statement Margins

Monetary values in USD amounts except #	LTM Mar 13	2025 Dec 27	2024 Dec 31	2023 Dec 31	2022 Dec 31
Revenue	93,925	93,925	91,854	91,471	86,392
Revenue Growth Rate	0%	2.25%	0.419%	5.88%	8.71%
Cost of Revenue	43,066	43,066	41,744	41,881	40,576
Gross Profit	50,859	50,859	50,110	49,590	45,816
Gross Margin	54.15%	54.15%	54.55%	54.21%	53.03%
Operating Income	11,498	11,498	12,887	11,986	11,512
Operating Margin	12.24%	12.24%	14.03%	13.1%	13.33%
Net Income	8,240	8,240	9,578	9,074	8,910
Net Margin	8.77%	8.77%	10.43%	9.92%	10.31%

Cash Flow Statement Margins

Monetary values in USD amounts except #	LTM Mar 13	2025 Dec 27	2024 Dec 31	2023 Dec 31	2022 Dec 31
Revenue	93,925	93,925	91,854	91,471	86,392
Cash from Operating Activities	12,087	12,087	12,507	13,442	10,811
Cash from Operating Activities Margin	12.87%	12.87%	13.62%	14.7%	12.51%
Free Cash Flow	7,672	7,672	7,189	7,924	5,604
Free Cash Flow Margin	8.17%	8.17%	7.83%	8.66%	6.49%
Depreciation and Amortization	4,178	4,178	3,815	3,518	3,280
Depreciation and Amortization Margin	4.45%	4.45%	4.15%	3.85%	3.8%
Capital Expenditure	-4,415	-4,415	-5,318	-5,518	-5,207
Capital Expenditure Margin	-4.7%	-4.7%	-5.79%	-6.03%	-6.03%

Annual Chart

Monetary values in USD

{"sectionId": "section-chart-1", "sectionType": "chart", "title": "Annual Chart", "timeseries": "annual", "series": [{"label": "Gross Margin", "mappingKey": "user:%grossMargin", "data": [{"l": "2022", "x": "2022-12-31", "y": 53.03}, {"l": "2023", "x": "2023-12-31", "y": 54.21}, {"l": "2024", "x": "2024-12-31", "y": 54.55}, {"l": "2025", "x": "2025-12-27", "y": 54.15}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "annual", "hidden": false}, {"label": "Operating Margin", "mappingKey": "user:%operatingMargin", "data": [{"l": "2022", "x": "2022-12-31", "y": 13.33}, {"l": "2023", "x": "2023-12-31", "y": 13.1}, {"l": "2024", "x": "2024-12-31", "y": 14.03}, {"l": "2025", "x": "2025-12-27", "y": 12.24}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "annual", "hidden": false}, {"label": "Net Margin", "mappingKey": "user:%netMargin", "data": [{"l": "2022", "x": "2022-12-31", "y": 10.31}, {"l": "2023", "x": "2023-12-31", "y": 9.92}, {"l": "2024", "x": "2024-12-31", "y": 10.43}, {"l": "2025", "x": "2025-12-27", "y": 8.77}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "annual", "hidden": false}, {"label": "Free Cash Flow Margin", "mappingKey": "user:%freeCashFlowMargin", "data": [{"l": "2022", "x": "2022-12-31", "y": 6.49}, {"l": "2023", "x": "2023-12-31", "y": 8.66}, {"l": "2024", "x": "2024-12-31", "y": 7.83}, {"l": "2025", "x": "2025-12-27", "y": 8.17}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "annual", "hidden": false}], "editableDates": {}, "properties": {"display_table": false}, "width": "full"}

Quarterly Section

The quarterly section uses quarterly data to calculate margins and growth rates.

Income Statement Margins

Monetary values in USD amounts except #	2025 (Q4) Dec 27	2025 (Q3) Sep 06	2025 (Q2) Jun 14	2025 (Q1) Mar 22	2024 (Q4) Dec 31	2024 (Q3) Sep 07
Revenue	29,343	23,937	22,726	17,919	27,784	23,319
Revenue Growth Rate	22.58%	5.33%	26.83%	-35.51%	19.15%
Cost of Revenue	13,723	11,113	10,304	7,926	13,181	10,396
Gross Profit	15,620	12,824	12,422	9,993	14,603	12,923
Gross Margin	53.23%	53.57%	54.66%	55.77%	52.56%	55.42%
Operating Income	3,557	3,569	1,789	2,583	2,250	3,872
Operating Margin	12.12%	14.91%	7.87%	14.41%	8.1%	16.6%
Net Income	2,540	2,603	1,263	1,834	1,523	2,930
Net Margin	8.66%	10.87%	5.56%	10.23%	5.48%	12.56%

Cash Flow Statement Margins

Monetary values in USD amounts except #	2025 (Q4) Dec 27	2025 (Q3) Sep 06	2025 (Q2) Jun 14	2025 (Q1) Mar 22	2024 (Q4) Dec 31	2024 (Q3) Sep 07
Revenue	29,343	23,937	22,726	17,919	27,784	23,319
Cash from Operating Activities	6,619	4,472	1,969	-973	6,287	4,905
Cash from Operating Activities Margin	22.56%	18.68%	8.66%	-5.43%	22.63%	21.03%
Free Cash Flow	4,703	3,480	1,065	-1,576	3,819	3,756
Free Cash Flow Margin	16.03%	14.54%	4.69%	-8.79%	13.75%	16.11%
Depreciation and Amortization	1,374	998	977	829	1,259	899
Depreciation and Amortization Margin	4.68%	4.17%	4.3%	4.63%	4.53%	3.85%
Capital Expenditure	-1,916	-992	-904	-603	-2,468	-1,149
Capital Expenditure Margin	-6.53%	-4.14%	-3.98%	-3.36%	-8.88%	-4.93%

Quarterly Chart

Monetary values in USD

{"sectionId": "section-chart-2", "sectionType": "chart", "title": "Quarterly Chart", "timeseries": "quarterly", "series": [{"label": "Gross Margin", "mappingKey": "user:%grossMargin", "data": [{"l": "2024 (Q3)", "x": "2024-09-07", "y": 55.42}, {"l": "2024 (Q4)", "x": "2024-12-31", "y": 52.56}, {"l": "2025 (Q1)", "x": "2025-03-22", "y": 55.77}, {"l": "2025 (Q2)", "x": "2025-06-14", "y": 54.66}, {"l": "2025 (Q3)", "x": "2025-09-06", "y": 53.57}, {"l": "2025 (Q4)", "x": "2025-12-27", "y": 53.23}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "quarterly", "hidden": false}, {"label": "Operating Margin", "mappingKey": "user:%operatingMargin", "data": [{"l": "2024 (Q3)", "x": "2024-09-07", "y": 16.6}, {"l": "2024 (Q4)", "x": "2024-12-31", "y": 8.1}, {"l": "2025 (Q1)", "x": "2025-03-22", "y": 14.41}, {"l": "2025 (Q2)", "x": "2025-06-14", "y": 7.87}, {"l": "2025 (Q3)", "x": "2025-09-06", "y": 14.91}, {"l": "2025 (Q4)", "x": "2025-12-27", "y": 12.12}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "quarterly", "hidden": false}, {"label": "Net Margin", "mappingKey": "user:%netMargin", "data": [{"l": "2024 (Q3)", "x": "2024-09-07", "y": 12.56}, {"l": "2024 (Q4)", "x": "2024-12-31", "y": 5.48}, {"l": "2025 (Q1)", "x": "2025-03-22", "y": 10.23}, {"l": "2025 (Q2)", "x": "2025-06-14", "y": 5.56}, {"l": "2025 (Q3)", "x": "2025-09-06", "y": 10.87}, {"l": "2025 (Q4)", "x": "2025-12-27", "y": 8.66}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "quarterly", "hidden": false}, {"label": "Free Cash Flow Margin", "mappingKey": "user:%freeCashFlowMargin", "data": [{"l": "2024 (Q3)", "x": "2024-09-07", "y": 16.11}, {"l": "2024 (Q4)", "x": "2024-12-31", "y": 13.75}, {"l": "2025 (Q1)", "x": "2025-03-22", "y": -8.8}, {"l": "2025 (Q2)", "x": "2025-06-14", "y": 4.69}, {"l": "2025 (Q3)", "x": "2025-09-06", "y": 14.54}, {"l": "2025 (Q4)", "x": "2025-12-27", "y": 16.03}], "dataType": "%", "displayAs": "bar", "dataTimeseries": "quarterly", "hidden": false}], "editableDates": {}, "properties": {"display_table": false}, "width": "full"}