Keurig Dr Pepper Files Q3 2024 10-Q

TL;DR

KDP filed its Q3 2024 10-Q. Check financials.

AI Summary

Keurig Dr Pepper Inc. filed its 10-Q for the period ending September 30, 2024. The company, formerly known as Dr Pepper Snapple Group, Inc., is incorporated in Delaware and headquartered in Burlington, MA. The filing covers the third quarter of 2024, with financial data reported as of September 30, 2024.

Why It Matters

This filing provides investors with the latest financial performance and operational details for Keurig Dr Pepper Inc. during the third quarter of 2024.

Risk Assessment

Risk Level: low — This is a standard quarterly financial filing for a publicly traded company, providing routine financial disclosures.

Key Players & Entities

• Keurig Dr Pepper Inc. (company) — Filer
• Dr Pepper Snapple Group, Inc. (company) — Former company name
• CSAB Inc. (company) — Former company name
• 20240930 (date) — Period of report
• 20241024 (date) — Filing date

FAQ

Key Financial Figures

• $0.01 — he registrant's common stock, par value $0.01 per share, outstanding. KEURIG DR PEP
• $4 billion — KDP Revolving Credit Agreement KDP's $4 billion revolving credit agreement, which was e

Filing Documents

• kdp-20240930.htm (10-Q) — 1797KB
• kdp-ex311_20240930.htm (EX-31.1) — 11KB
• kdp-ex312_20240930.htm (EX-31.2) — 11KB
• kdp-ex321_20240930.htm (EX-32.1) — 5KB
• kdp-ex322_20240930.htm (EX-32.2) — 6KB
• kdp-20240930_g1.jpg (GRAPHIC) — 921KB
• kdp-20240930_g2.jpg (GRAPHIC) — 17KB
• kdp-20240930_g3.jpg (GRAPHIC) — 19KB
• kdp-20240930_g4.jpg (GRAPHIC) — 15KB
• kdp-20240930_g5.jpg (GRAPHIC) — 16KB
• kdp-20240930_g6.jpg (GRAPHIC) — 82KB
• kdp-20240930_g7.jpg (GRAPHIC) — 58KB
• 0001418135-24-000090.txt ( ) — 12576KB
• kdp-20240930.xsd (EX-101.SCH) — 49KB
• kdp-20240930_cal.xml (EX-101.CAL) — 93KB
• kdp-20240930_def.xml (EX-101.DEF) — 242KB
• kdp-20240930_lab.xml (EX-101.LAB) — 744KB
• kdp-20240930_pre.xml (EX-101.PRE) — 532KB
• kdp-20240930_htm.xml (XML) — 1858KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) Condensed Consolidated Statements of Income 1 Condensed Consolidated Statements of Comprehensive Income 2 Condensed Consolidated Balance Sheets 3 Condensed Consolidated Statements of Cash Flows 4 Condensed Consolidated Statements of Changes in Stockholders' Equity 6 Notes to Condensed Consolidated Financial Statements 8 1 General 8 2 Long-Term Obligations and Borrowing Arrangements 8 3 Acquisition 10 4 Goodwill and Other Intangible Assets 11 5 Derivatives 12 6 Leases 16 7 Segments 17 8 Revenue Recognition 18 9 Earnings Per Share 20 10 Stock-Based Compensation 20 1 1 Investments 21 12 Income Taxes 21 1 3 Accumulated Other Comprehensive Income 22 1 4 Other Financial Information 23 15 Commitments and Contingencies 25 1 6 Restructuring 25 17 Transactions with Related Parties 26 18 Subsequent Event 26 Item 2

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 27 Item 3

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 41 Item 4

Controls and Procedures

Controls and Procedures 41 Part II Other Information Item 1

Legal Proceedings

Legal Proceedings 42 Item 1A

Risk Factors

Risk Factors 42 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 42 Item 5 Other Information 42 Item 6 Exhibits 43 s-i KEURIG DR PEPPER INC. FORM 10-Q MASTER GLOSSARY Term Definition Annual Report Annual Report on Form 10-K for the year ended December 31, 2023 AOCI Accumulated other comprehensive income or loss Athletic Brewing Athletic Brewing Holding Company, LLC, an equity method investment of KDP Board The Board of Directors of KDP bps Basis points CEO Chief Executive Officer Chobani FHU US Holdings LLC, an equity method investment of KDP DIO Days inventory outstanding DPO Days of payables outstanding DPS Dr Pepper Snapple Group, Inc. DPS Merger The combination of the business operations of Keurig and DPS as of July 9, 2018 DSD Direct Store Delivery, KDP's route-to-market whereby finished beverages are delivered directly to retailers DSO Days sales outstanding EPS Earnings per share Exchange Act Securities Exchange Act of 1934, as amended FX Foreign exchange GHOST GHOST Lifestyle LLC, a Delaware limited liability company JAB JAB Holding Company S.a.r.l. and affiliates Kalil Kalil Bottling Company Kalil Acquisition The acquisition of all production, sales, and distribution assets of Kalil by KDP on August 9, 2024 KDP Keurig Dr Pepper Inc. Keurig Keurig Green Mountain, Inc., a wholly-owned subsidiary of KDP, and the brand of our brewers LRB Liquid refreshment beverages Notes Collectively, the Company's senior unsecured notes Nutrabolt Woodbolt Holdings LLC, d/b/a Nutrabolt, an equity method investment of KDP Revolving Credit Agreement KDP's $4 billion revolving credit agreement, which was executed in February 2022 RSU Restricted share unit Tractor Tractor Beverages, Inc., an equity method investment of KDP SEC Securities and Exchange Commission SG&A Selling, general and administrative SOFR Secured Overnight Financing Rate U.S. GAAP Accounting principles generally accepted in the U.S

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) KEURIG DR PEPPER INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME ( UNAUDITED ) Third Quarter First Nine Months (in millions, except per share data) 2024 2023 2024 2023 Net sales $ 3,891 $ 3,805 $ 11,281 $ 10,947 Cost of sales 1,751 1,694 5,029 5,051 Gross profit 2,140 2,111 6,252 5,896 Selling, general and administrative expenses 1,245 1,217 3,716 3,654 Impairment of intangible assets — 2 — 2 Other operating (income) expense, net ( 7 ) ( 4 ) 8 ( 9 ) Income from operations 902 896 2,528 2,249 Interest expense, net 106 237 488 432 Other income, net ( 6 ) ( 5 ) ( 28 ) ( 41 ) Income before provision for income taxes 802 664 2,068 1,858 Provision for income taxes 186 146 483 370 Net income $ 616 $ 518 $ 1,585 $ 1,488 Earnings per common share: Basic $ 0.45 $ 0.37 $ 1.16 $ 1.06 Diluted 0.45 0.37 1.16 1.05 Weighted average common shares outstanding: Basic 1,356.2 1,397.4 1,364.2 1,401.3 Diluted 1,361.9 1,406.2 1,370.4 1,410.8 The accompanying notes are an integral part of these unaudited condensed consolidated financial statements. 1 Table of Contents KEURIG DR PEPPER INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME ( UNAUDITED ) Third Quarter First Nine Months (in millions) 2024 2023 2024 2023 Net income $ 616 $ 518 $ 1,585 $ 1,488 Other comprehensive (loss) income: Foreign currency translation adjustments ( 69 ) ( 135 ) ( 326 ) 132 Net change in cash flow hedges, net of tax of $ 2 , $ — , $ 3 and $ 24 , respectively 6 9 25 ( 90 ) Total other comprehensive (loss) income ( 63 ) ( 126 ) ( 301 ) 42 Comprehensive income $ 553 $ 392 $ 1,284 $ 1,530 The accompanying notes are an integral part of these unaudited condensed consolidated financial statements. 2 Table of Contents KEURIG DR PEPPER INC. CONDENSED CONSOLIDATED BALANCE SHEETS ( UNAUDITED ) September 30, December 31, (in millions, except share and per share data) 2024 2023 Assets Current assets: Cash an

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View this 10-Q filing on SEC EDGAR