- Net sales for Keurig Dr Pepper (KDP, Financial) increased 4.8% to $3.64 billion in Q1 2025.
- The U.S. Refreshment Beverages segment saw an 11% increase in net sales to $2.3 billion.
- KDP reaffirmed its 2025 guidance, projecting mid-single-digit sales growth amidst currency headwinds.
Keurig Dr Pepper Inc. (KDP) has reported robust financial results for the first quarter of 2025, with net sales reaching $3.64 billion, marking a 4.8% increase over the previous year. On a constant currency basis, net sales rose by 6.4%, driven by a 3.6% growth in volume/mix and favorable pricing adjustments of 2.8%.
The company's U.S. Refreshment Beverages segment was a standout performer, experiencing an impressive 11% growth in net sales, which totaled $2.3 billion. This growth was propelled by an 8% increase in volume/mix, complemented by a favorable net price realization of 3%. KDP attributed gains in this segment to increased market share in carbonated soft drinks, energy, and sports hydration categories, bolstered by the strategic acquisition of GHOST.
Conversely, the U.S. Coffee segment faced challenges, with net sales declining by 3.7% to $0.9 billion. This was primarily due to a 5.2% drop in volume/mix, which was affected by the timing of pricing actions necessitated by rising green coffee costs. The International segment also saw a reported sales decrease of 6.3% to $0.4 billion, though it achieved a 5.4% increase on a constant currency basis.
KDP confirmed its fiscal 2025 guidance, anticipating mid-single-digit growth in net sales on a constant currency basis and high-single-digit growth in adjusted diluted EPS. The company expects a roughly one percentage point disadvantage due to foreign currency translation affecting its overall annual revenue and earnings growth.
