PepsiCo CFO Hugh Johnston: Keys to Q3 earnings beat

PepsiCo's latest earnings beat can be attributed to two key factors, CFO Hugh Johnston said Tuesday.

"Previously, Europe, Asia, the Middle East and Africa were growing more quickly as North America was a bit slower. Now that North America has picked up quite a bit, you see all of the businesses … performing really well," Johnston told CNBC's "Squawk on the Street."

Johnston also said the company's investment in automation, market restructuring and shared services boosted earnings.

Johnston spoke after the company posted third-quarter earnings of $1.35 per share, beating analysts' expectations of $1.26 per share. It was helped by higher sales of snacks and beverages in North America.

The soft drink and food giant also raised its target for 2015 adjusted earnings growth to 9 percent from 8 percent, on a constant-currency basis.

Share prices of PepsiCo were up about 2 percent Tuesday morning. (Get the latest quote here.)

The earnings of $1.35 per share were down a penny from last year. Net revenue fell 5.2 percent to $16.33 billion, the fourth-straight quarter of decline. But analysts ehad xpected the food and beverage giant to post revenue of $16.15 billion, according to Thomson Reuters.

Revenue from the company's North America beverages business rose 4 percent in the third quarter, accounting for a third of its total revenue, while revenue from its snacks business in the region increased 1 percent. This is the first time PepsiCo has broken out its North America quarterly beverage sales numbers.

PepsiCo also said it took a charge of $1.4 billion, or 92 cents per share, as it changed its accounting for Venezuela operations.

PepsiCo's shares have outperformed rival Coca-Cola's in the last year, rising about 11 percent compared with Coke's drop of nearly 3 percent, according to FactSet.

Reuters contributed to this report.