Keurig Dr Pepper Inc. (NASDAQ: KDP) reported fourth-quarter results that exceeded analyst expectations, sending shares more than 2% higher in premarket trading Tuesday.
The beverage maker posted adjusted earnings per share of $0.60, topping consensus estimates by $0.01. Revenue reached $4.5 billion, surpassing the $4.36 billion forecast.
The company’s fiscal 2026 revenue outlook significantly exceeded Wall Street expectations, reflecting the anticipated acquisition of JDE Peet’s.
For fiscal 2026, Keurig Dr Pepper projected revenue between $25.9 billion and $26.4 billion, well above the consensus estimate of $17.196 billion. The midpoint of $26.15 billion incorporates the expected contribution from JDE Peet’s, with the transaction anticipated to close in early April.
The company expects low-double-digit adjusted EPS growth in 2026, including 4% to 6% growth from its standalone business plus incremental contribution from JDE Peet’s.
Fourth-quarter adjusted operating income rose 4.8% to $1.19 billion, representing 26.5% of net sales. Growth was driven by higher net sales and productivity initiatives, partially offset by inflationary pressures and increased SG&A expenses.
The U.S. Refreshment Beverages segment led performance, with net sales rising 11.5% to $2.7 billion. Volume/mix increased 7.0%, supported by 4.5% favorable net price realization. The GHOST acquisition contributed 6.1 percentage points to volume growth.
For full-year 2025, adjusted EPS increased 7.3% to $2.05, while revenue rose 8.2% to $16.6 billion.
