Keurig Dr Pepper Inc · Q2 2023 earnings

Briefing

Reported strong Q2 net sales growth, led by U.S. Refreshment Beverages and International segments, raised full year net sales outlook, and reaffirmed EPS guidance.

Keurig Dr Pepper reported a 6.6% increase in net sales for Q2 2023, reaching $3.79 billion. The company raised its full year constant currency net sales growth outlook to 5% to 6% and reaffirmed its guidance for Adjusted diluted EPS growth of 6% to 7%. Strong performance in the U.S. Refreshment Beverages and International segments drove the growth, while U.S. Coffee is expected to see a recovery in the back half of the year.

• Net sales increased by 6.6% to $3.79 billion, reflecting a 6.1% increase on a constant currency basis.
• GAAP operating income increased 34.4% to $769 million, while adjusted operating income increased 4.4% to $873 million.
• GAAP net income increased 130.7% to $503 million, or $0.36 per diluted share, while adjusted diluted EPS increased 7.7% to $0.42.
• The company is increasingly confident in its full year outlook, reflecting stronger underlying EPS results.

Headline financials

Revenue & EPS history

KDP expects net sales growth of 5% to 6% for 2023 on a constant currency basis and reaffirms its outlook for Adjusted diluted EPS growth of 6% to 7%.