Peanut protein concentrates (PPCs) were prepared by aqueous extraction processing (AEP), organic solvent extraction processing (SEP) and prepress‐organic solvent extraction processing (P‐SEP) and converted into powder by freeze and spray drying. The drying method showed an influence on the surface morphology and second structure of PPCs. Peanut protein concentrates of AEP were found to have lower protein contents, solubility and higher surface hydrophobicity, resulted in similar emulsion ability index (EAI) values and lower emulsion stability index (ESI) and water‐holding capacity (WHC) values compared to PPCs of SEP and P‐SEP. Foaming capacity was barely affected by oil extraction processing and drying methods, foaming stability was significantly influenced by oil extraction processing. Freeze‐dried PPCs had higher solubility, WHC and fat absorption capacity than spray‐dried PPCs, which was not the case for EAI and ESI. Hence, PPCs of AEP showed adequate functional properties, making AEP more appropriate for phytoprotein beverages.