PepsiCo To Drop 20% Of Products, Embrace Cleaner Ingredients And Aggressive Cost-Cuts In Major Elliott-Driven Revamp

Benzinga

PepsiCo will cut nearly 20% of its U.S. product lineup and overhaul its supply chain in a plan shaped by Elliott Investment Management, aiming to boost growth, margins, and productivity starting in 2026. New cleaner-label snacks and high-protein launches highlight its refreshed innovation strategy.

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00:00It's Benzinga, bringing Wall Street to Main Street.

00:03PepsiCo announced operational changes backed by Elliott Investment Management

00:06that include a supply chain review and a narrower U.S. product lineup, according to Benzinga.

00:12The company said removing nearly 20% of its lineup will accelerate organic revenue growth,

00:18generate record productivity savings, and improve operating margin starting in 2026.

00:24PepsiCo is expanding its innovation strategy with cleaner label snacks

00:27and added nutritional benefits, including new Simply NKD products,

00:31refreshed chip lines, and a 2026 launch of Doritos Protein.

00:36The changes follow Elliott's disclosure of a $4 billion stake

00:40and calls for adjustments to the company's complex portfolio

00:43and a shrinking beverage market share.

00:46The stock is down 3.05% year-to-date and rose 0.42% Monday to close at $145.63.

00:54For all things money, visit Benzinga.com.

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