• Q1 net profits leap by 46.2% to US$155m
  • Net sales in three months to end of March inch up by 1.3% to $1.40bn
  • Operating profits jump by 31.2% to $260m
  • Forecasts FY sales to come in flat to +1%
Dr Pepper Snapple Group reported its Q1 numbers earlier today

Dr Pepper Snapple Group reported its Q1 numbers earlier today

Dr Pepper Snapple Group has hailed a strong start to 2014, as profits soared on steady sales.

The company said earlier today (23 April) that net profits in the three months to the end of March jumped by 46.2% year-on-year to US$155m, as sales rose by 1.3% to $1.40bn. Operating profits were also strong, increasing by 31.2% to $260m.

The bottom line was boosted by $12m of "unrealised commodity mark-to-market gains", DPSG noted.

Overall volumes in the quarter slipped by 1% with CSD volumes dipping similarly. Non-carbonated beverages volumes fell by 2% in the three-month period.

The CSD category was flagged as having struggled with "significant headwinds": The Dr Pepper brand delivered a 4% volumes slide, while the company's "Core 4 brands" - Ten, Canada Dry, Sunkist and A&W - reported flat volumes.

The US and Canada saw volumes drop by 2%, although Mexico and the Caribbean posted a 3% increase.

"We had a strong start to the year," noted president & CEO Larry Young. "Our 2014 priorities remain unchanged. Our teams will continue to build the Ten platform with programming focused on driving awareness and trial (and) providing consumers with a range of products that meet their evolving needs.”

Turning to the full year, DPSG said it expects sales in 2014 to come in either flat or up 1%. Core earnings per share in the year will be in the $3.38 to $3.46 range.

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