Keurig Dr Pepper Q3 Earnings Report
Keurig Dr Pepper is set to announce its Q3 earnings, including increased profit and revenue growth. Areas to watch include coffee business performance and impact of prices.
Keurig Dr Pepper is preparing to announce its third-quarter earnings on Thursday before the opening bell. Here are the key details you need to know.
The beverage company is anticipated to report a profit of $647 million, or 45 cents per share. This is a significant increase compared to $180 million, or 13 cents per share, in the same quarter last year, according to FactSet.
After excluding one-time items, adjusted earnings are projected to be 47 cents per share, based on FactSet's estimates.
Revenue is expected to reach $3.77 billion, surpassing the $3.62 billion achieved in the same quarter of the previous year, as reported by FactSet.
Keurig Dr Pepper's coffee segment has faced challenges over the past year due to a decrease in coffee consumption at home, as individuals returned to offices. Investors will be closely monitoring any signs of improvement in this category's volumes.
The company successfully grew its revenue by 6% in the second quarter through an 8% increase in prices, which compensated for a decline in volumes. Investor focus will be on determining if Keurig Dr Pepper will sustain its pricing power and how it will continue to influence volumes.
Given the recent surge in popularity of GLP-1 weight-loss drugs, analysts have been urging food and beverage companies to address the potential impact on their businesses this earnings season. Keurig Dr Pepper is expected to comment on its strategy for responding to possible shifts in consumption trends.
Original text written by Dean Seal