PepsiCo on Tuesday reported quarterly earnings and revenue that beat analysts’ expectations and raised its outlook for its full-year earnings.

Shares of the company rose 2% in premarket trading.

Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG, formerly known as Refinitiv:

• Earnings per share: $2.25 adjusted vs. $2.15 expected
• Revenue: $23.45 billion vs. $23.39 billion expected

For 2023, Pepsi now expects constant currency earnings per share growth of 13%, up from its prior forecast of 12%. It’s the third consecutive quarter that the snacking and beverage giant has hiked its full-year forecast.

Pepsi reported third-quarter net income attributable to the company of $3.09 billion, or $2.24 per share, up from $2.7 billion, or $1.95 per share, a year earlier.

Excluding items, the company earned $2.25 per share.

Net sales rose 6.7% to $23.45 billion. The company’s organic revenue, which excludes acquisitions and divestitures, climbed 8.8% in the quarter.

But PepsiCo’s volume, which strips out pricing and currency changes, fell again this quarter. Pepsi’s price hikes to mitigate inflation have weakened demand for its products. The company has also been shrinking portions and making smaller value packs to drive more transactions, Pepsi executives also told analysts on a conference call. That strategy results in more affordable options for consumers — and lower volume sold.

Pepsi’s North American beverages unit reported volume declines of 6%. CEO Ramon Laguarta said the company has pruned some promotions, like for its bottled water business, in order to preserve margins. But those deals drove volume for the drinks, gains that disappeared without the promotions.

There were some bright spots in beverages. Gatorade, for example, saw double-digit revenue growth. The company also plans to relaunch Mountain Dew Baja Blast, a fan favorite flavor that is only available at Taco Bell.

The company’s North American food divisions performed better than the beverages unit did. Quaker Foods North America’s volume rose 1%, while Frito-Lay North America’s volume was flat. Quaker Foods’ brands also gained market share in key categories, like pancake mix and syrup, executives said in prepared remarks.

Looking to 2024, Pepsi anticipates organic revenue growth on the high end of 4% to 6% and core constant currency earnings per share growth in the high single digits.