Keurig Dr Pepper(US:KDP) Prnewswire·2025-07-24 11:00Core Insights - Keurig Dr Pepper Inc. reported strong Q2 results for 2025, with net sales increasing by 6.1% to $4.16 billion, driven by healthy growth in U.S. Refreshment Beverages and international markets, alongside improving trends in U.S. Coffee [1][3][4] - The company reaffirmed its fiscal 2025 guidance, expecting constant currency net sales growth in the mid-single-digit range and adjusted diluted EPS growth in the high-single-digit range [1][14] Financial Performance - Net Sales: Q2 net sales reached $4.16 billion, a 6.1% increase year-over-year, with a constant currency growth of 7.2% [2][3] - Diluted EPS: Reported diluted EPS was $0.40, reflecting a 5.3% increase compared to the previous year [2][5] - Operating Income: GAAP operating income rose by 4.3% to $898 million, while adjusted operating income increased by 7.0% to $1.028 billion, representing 24.7% of net sales [4][5] Segment Performance - U.S. Refreshment Beverages: Net sales increased by 10.5% to $2.7 billion, driven by volume/mix growth of 9.5% and favorable net price realization of 1.0% [7][8] - U.S. Coffee: Net sales slightly decreased by 0.2% to $0.9 billion, with a volume/mix decline of 3.8% offset by a favorable net price realization of 3.6% [9][10] - International: Net sales decreased by 1.8% to $0.6 billion, but increased by 5.7% on a constant currency basis, driven by favorable net price realization and volume/mix growth [11][12] Cash Flow and Guidance - Cash Flow: Operating cash flow for Q2 was $431 million, with free cash flow totaling $325 million [5] - 2025 Guidance: The company expects a foreign currency translation headwind of approximately 0.5% to full-year growth, but remains confident in achieving its 2025 outlook [14]