PepsiCo, the soft-drink maker that makes half of its sales outside of the US, said currency fluctuations will cut revenue growth by about 2 percentage points this year, more than previously forecast.

The company projected a 1 percentage-point effect in July. Foreign-exchange rates will have an “unfavourable impact” on full-year core earnings per share, New York-based PepsiCo, which is also the world’s largest snack maker, said yesterday.

Chief executive Indra Nooyi has been trying to sell snacks to countries with a growing middle class, such as India, Brazil and Russia.

PepsiCo reiterated a forecast for earnings per share growth of 7 per cent, in constant currencies. Excluding certain items, that would equal profit of about $4.39 a share this year. – (Bloomberg)