Keurig Dr Pepper (KDP) has reported a 13.2% rise in revenue to $3.55 billion for its second quarter, and raised its sales guidance for the full year.
The company said that its “strong” performance reflected balanced growth in all segments, with both pricing and volumes up in Q2.
For the three months ended 30 June, the beverage giant posted a 22.1% decline in GAAP operating income to $572 million, reflecting inflationary pressures, supply chain disruption and the unfavourable impact of items affecting comparability.
Both of KDP’s largest units saw overall net sales growth in Q2 – with packaged beverages growing its net sales by 12.8%, while coffee systems saw an 8.5% increase.
KDP says that its in-market performance in the liquid refreshment beverages (LRB) category remained “exceptionally strong” in the quarter, with market share growing or holding across 92% of the company’s cold beverage portfolio.
In Q2, net sales for KDP’s Latin America beverages division increased 26.5% to $210 million, driven by higher net price realisation of 14.5% and increased volume/mix of 12%. Meanwhile, the company’s beverage concentrates division also recorded double-digit growth in Q2 – with net sales up 22.7% to $460 million.
The company has raised its 2022 forecast for constant currency net sales growth to the low-double-digit range – up from its previous guidance of high-single-digit growth.
Keurig Dr Pepper chairman and CEO, Bob Gamgort, said: “We successfully recovered from supply chain disruptions in coffee and non-carbonated beverages, implemented additional pricing to offset inflation and continued to accelerate growth across our broad portfolio, leading to another quarter of strong market share performance. We remain confident that our ‘all-weather’ business model will enable us to deliver in the ongoing volatile macro environment.”
Ozan Dokmecioglu, who will succeed Gamgort as chief executive later this year, added: “I am pleased with the continued strength of our business and remain confident in our ability to deliver our plans for the second half of this year”.
© FoodBev Media Ltd 2022
World Beverage Innovation Awards – NOW OPEN FOR ENTRIES!
The awards celebrate excellence and innovation across the global beverage industry.
Don’t miss out on having your innovations recognised on a global scale.
Deadline for entries 23 July – enter now!
Don’t get left behind
Start your free Foodbev magazine trial today and join thousands of fellow industry professionals in receiving food and drink trends direct to our business.
Click here to start your free trial