Business
Keurig Dr Pepper Reports Strong 4th Quarter and Full Year Results
Company Provides 2020 Guidance, including its Outlook for Accelerated Top-line Growth and 2-Year Combined Financial Performance in line with its Long-term
About this update from Keurig Dr Pepper Inc.
[{"type":"text","content":"Company Provides 2020 Guidance, including its Outlook for Accelerated Top-line Growth and 2-Year Combined Financial Performance in line with its Long-term Merger Targets\n\n\nBURLINGTON, Mass. and PLANO, Texas, Feb. 27, 2020 /PRNewswire/ -- Keurig Dr Pepper Inc. (NYSE: KDP) today reported financial results for the fourth quarter and full year ended December 31, 2019 and provided guidance for 2020, the Company's second full fiscal year since the merger between Keurig Green Mountain and Dr Pepper Snapple Group, Inc. created KDP. \nThe Company's reported results were significantly impacted by the July 9, 2018 merger. \nReported GAAP Basis\nAdjusted Pro Forma and Adjusted Basis1\nQ4\nFY 2019\nQ4\nFY 2019\nNet Sales\n % vs Prior Year\n$2.93 bn\n4.3%\n$11.12 bn\n49.4%\nNet Sales\n % vs Prior Year\n$2.93 bn\n4.3%\n$11.12 bn\n0.9%\nDiluted EPS\n % vs Prior Year\n$0.29\n52.6%\n$0.88\n66.0%\nDiluted EPS\n % vs Prior Year\n$0.35\n16.7%\n$1.22\n17.3%\nCommenting on the announcement, Keurig Dr Pepper Chairman and CEO Bob Gamgort stated, \"We delivered strong performance for 2019, with underlying net sales growth in all four segments and EPS growth above our merger target range. In-market performance was healthy across our portfolio, as innovation, marketing and in-store execution drove share growth in key segments. Free cash flow continued to be robust, enabling us to rapidly delever. As we look toward 2020, we are increasing our investment behind growth drivers, leading to our expectation that revenue will accelerate above our merger targets, while still delivering double-digit EPS growth. We continue to expect that we will generate our merger target synergies of $600 million and three-year EPS growth within our target range of 15% to 17%.\"\nFull-year 2019 highlights include:\nDelivered underlying net sales growth of 3.2% and Adjusted diluted EPS growth above the merger target range of 15% - 17%. Achieved merger synergies in excess of the Company's $200 million target and strong productivity, contributing to a 220 basis point increase in Adjusted operating income margin. Drove strong in-market2 performance, with market share growth in the majority of the Company's key categories, including CSDs3, premium unflavored still water, shelf stable fruit drinks and shelf stable apple juice and apple sauce. In coffee, KDP manufactured pod growth wa...