US: Dr Pepper Snapple Group Q1 profits up, volumes slide

By | 24 April 2013

  • Q1 like-for-like net profits up by 3.9% to US$106m
  • Net sales in 2012 edge up by 1% to $1.38bn
  • Operating profits increase by 2.6%, hitting $197m
  • Volume sales slip by 2%
DPSG released its Q1 results today

DPSG released its Q1 results today

Dr Pepper Snapple Group (DPSG) has posted a slight rise in first-quarter profits and sales as price hikes offset a volumes drop, the company said today (24 April).

Net profits increased by 3.9% to US$106m in the three months to the end of March, the Texas-based company said today (24 April). Net sales edged up by 1% to $1.38bn over the same period while operating profits increased by 2.6% to $197m.

DPSG president & CEO Larry Young said that despite “continued category headwinds”, tough economic conditions in the US and cold weather through the quarter, the company “remained solid”.

“I remain confident that we will deliver our commitments for the year,” Young said.

Bottle case volumes for Dr Pepper Ten, launched in October 2011, were down as Dr Pepper volumes fell by 3%, DPSG said.

In non-carbonated drinks, Hawaiian Punch volumes dropped by 14% and Snapple fell 2%. Overall, CSDs fell by 2% in volumes while NCDs fell by 4%.

There was better news in Latin America, where the group posted a 1% sales volumes rise and a 9% net sales increase.

Looking ahead, DPSG said it will invest $30m in brands over the year, while cost of goods is expected to increase by 2% due to higher packaging and ingredient prices.

DPSG shares were up by 2.5% in morning trading.

To read the company's official statement, click here.

Expert analysis

Dr Pepper Snapple Group, Inc. - SWOT, Strategy and Corporate Finance Report

Dr Pepper Snapple Group, Inc. - SWOT, Strategy and Corporate Finance Report, is a source of comprehensive company data and information. The report covers the company’s structure, operation, SWOT analysis, product and service offerings, detailed financials, and corporate actions, providing a 360° view of the company.

Sectors: Company results, Soft drinks

Companies: Dr Pepper

View next/previous articles

Currently reading -

UK: Pussy Drinks ad banned

Currently reading -

US: Dr Pepper Snapple Group Q1 profits up, volumes slide

There are currently no comments on this article

Be the first to comment on this article

Related research

Dr Pepper Snapple Group in Soft Drinks (USA)

Dr Pepper Snapple Group formed after the company was spun off from its parent Cadbury Schweppes in 2008. It brings together the former Dr Pepper/Seven Up Inc, Snapple Beverage Group, Mott’s LLP and Bebidas Mexico divisions of Cadbury Schweppes, and a...

Dr Pepper Snapple Group Inc. : Consumer Packaged Goods - Company Profile, SWOT & Financial Report

Canadean's "Dr Pepper Snapple Group Inc. : Consumer Packaged Goods - Company Profile, SWOT & Financial Report" contains in depth information and data about the company and its operations. The profile contains a company overview, key facts, major prod...

Juices in the United States

Juices in the United States industry profile provides top-line qualitative and quantitative summary information including: market size (value 2007-11, and forecast to 2016). The profile also contains descriptions of the leading players including key ...

Related articles

Round-Up - NPD: Will Summer Diet Soft Drink Swoon Jump Start CSD Innovation?

Struggling sales for diet soft drinks should see a new wave of innovation break over the category. Tom Vierhile reports.

US: Dr Pepper Snapple Group boss offloads $3.5m of shares

Dr Pepper Snapple Group's (DPSG) president & CEO has sold around US$3.5m-worth of his own stock in the company.

Analysis - Good-tasting all-natural sweetener still 'holy grail' for CSD producers

Dr Pepper Snapple Group's Ten brands can boost the group, but an all-natural sweetener that "tastes good" remains the "holy grail" for CSD producers, according to an analyst.

just-drinks tagline

Not a member? Join here

Decrease font sizeDecrease font sizeDecrease font size Increase font sizeIncrease font sizeIncrease font size Comment on this article Email this to a friend Print this page