Keurig Dr Pepper(US:KDP) Prnewswire·2025-04-24 10:30Core Insights - Keurig Dr Pepper Inc. reported strong first-quarter results for 2025, with net sales growth driven by key categories and disciplined expense management [1][2][3] - The company reaffirmed its full-year guidance for 2025, expecting mid-single-digit constant currency net sales growth and high-single-digit adjusted diluted EPS growth [1][14] Financial Performance - Net sales for Q1 2025 increased by 4.8% to $3.64 billion, with a constant currency growth of 6.4% driven by volume/mix growth of 3.6% and favorable net price realization of 2.8% [2][3] - GAAP operating income rose by 4.7% to $801 million, while adjusted operating income increased by 3.9% to $847 million, representing 23.3% of net sales [4][5] - GAAP net income increased by 13.9% to $517 million, or $0.38 per diluted share, with adjusted net income rising by 8.5% to $568 million and adjusted diluted EPS increasing by 10.5% to $0.42 [5][6] Segment Performance - U.S. Refreshment Beverages segment saw net sales increase by 11.0% to $2.3 billion, driven by volume/mix growth of 8.0% and favorable net price realization of 3.0% [7][8] - U.S. Coffee segment experienced a decline in net sales by 3.7% to $0.9 billion, with a volume/mix decline of 5.2% offsetting favorable net price realization of 1.5% [9][10] - International segment net sales decreased by 6.3% to $0.4 billion, but increased by 5.4% on a constant currency basis, driven by favorable net price realization of 4.1% and volume/mix growth of 1.3% [11][12] Cash Flow and Guidance - Operating cash flow for Q1 was $209 million, with free cash flow totaling $102 million [5] - The company anticipates a one percentage point headwind from foreign currency translation for the full year [14] Governance Changes - The company appointed two new independent directors to its Board of Directors, enhancing its leadership and governance structure [15]