PepsiCo (PEP.O) beat Wall Street estimates for ​second-quarter revenue on Thursday, as the beverage giant ‌benefited from resilient demand for zero-sugar sodas in some of its key markets.

The company also kept its annual forecasts unchanged, but said tightening consumer budgets due to ​rising inflationary pressures had held back growth in ​North America.

Organic sales for the company’s North America ⁠foods business were down about 2 per cent in the ​reported quarter.

PepsiCo had cut prices on brands such as ​Lay’s and Doritos in North America to lure back budget-conscious consumers, shifting toward cheaper alternatives and smaller pack sizes amid persistent ​inflation concerns.

“Results were tempered in the quarter as ​US food and beverage category performance moderated with consumer budgets tightening ‌due ⁠to rising inflationary pressures,” CEO Ramon Laguarta said in prepared remarks.

The company’s quarterly revenue rose 6.4 per cent to $24.18 billion from a year earlier, while analysts estimated 5.4 per cent increase ​to $23.95 billion, ​according to ⁠data compiled by LSEG.

It also posted quarterly core earnings per share of $2.20, compared with $2.12 ​a year ago.

PepsiCo expects fiscal 2026 organic revenue growth in ​the ⁠range of 2 per cent to 4 per cent.

It also expects fiscal 2026 core constant currency earnings per share to rise between ⁠4 per cent and ​6 per cent.

Shares of the company were ​up about 1 per cent in premarket trading.