Business
Keurig Dr Pepper Reports Q1 2024 Results and Reaffirms Fiscal 2024 Guidance
Tim Cofer Appointed CEO & Board Member Effective April 26; Bob Gamgort to Serve as Executive ChairmanFollowing Strong Q1, Company Continues to Expect
About this update from Keurig Dr Pepper Inc.
[{"type":"text","content":"Tim Cofer Appointed CEO & Board Member Effective April 26; Bob Gamgort to Serve as Executive ChairmanFollowing Strong Q1, Company Continues to Expect On-Algorithm 2024 Net Sales and Adjusted EPS Growth \nBURLINGTON, Mass. and FRISCO, Texas, April 25, 2024 /PRNewswire/ -- Keurig Dr Pepper Inc. (NASDAQ: KDP) today reported results for the first quarter of 2024, reaffirmed its full year guidance, and announced the completion of its CEO succession process.\nReported GAAP Basis\nAdjusted Basis1\nQ1\nQ1\nNet Sales\n$3.47 bn\n$3.47 bn\n% vs prior year\n3.4 %\n2.8 %\nDiluted EPS\n$0.33\n$0.38\n% vs prior year\n— %\n11.8 %\nCommenting on this final step in the CEO transition, which began in Fall 2023, Chairman and CEO Bob Gamgort stated, \"It has been a privilege to help establish Keurig Dr Pepper into the formidable company it is today, and I look forward to supporting its future growth as Executive Chairman. As KDP enters its next phase, Tim and his leadership team are activating an exciting, evolved strategy that I am confident will extend our track record of success and continue to differentiate KDP within the beverage industry.\"\nIncoming CEO Tim Cofer added, \"I am honored to lead the next chapter of value creation as CEO of Keurig Dr Pepper and excited to partner with Bob, our Board, and all 28,000 colleagues to unlock our full potential as a beverage industry leader. We have a unique and competitively advantaged business, with a significant growth opportunity that we intend to realize through our evolved strategy. I'm pleased with our strong first quarter results, which reflect consistent execution across the organization and demonstrate the health of our business. This performance underscores our confidence in our 2024 outlook, which is in-line with our long-term financial algorithm.\"\nFirst Quarter Consolidated Results\nNet sales for the first quarter increased 3.4% to $3.5 billion. On a constant currency basis, net sales advanced 2.8%, driven by net price realization of 3.1%, partly offset by lower volume/mix of 0.3%.\nGAAP operating income increased 31.0% to $765 million. The growth was driven by strong operating momentum, aided by a favorable year-over-year impact of items affecting comparability.\nAdjusted operating income increased 17.5% to $825 million and totaled 23.8% as a percent of net sales. Adjusted operating inco...