PepsiCo revenue beats estimates as North America sales rise

PepsiCo Inc reported better-than-expected quarterly net revenue, as higher sales of snacks and beverages in North America helped reduce the impact of a strong dollar.

The company increased its 2015 annual dividend to $3.01 per share from $2.81 per share and said it would return about $7 billion to shareholders through dividends and buybacks in 2016.

Revenue from PepsiCo's North America beverages business, which the company started breaking out from the third quarter, rose 2 percent in the fourth quarter ended Dec. 26, accounting for 31.5 percent of total revenue.

Revenue from its snacks business, which includes Frito-lay and Doritos chips, also increased 2 percent in the region.

Frito-Lay North America and North America Beverages were the only two businesses to report revenue growth in the quarter.