Dr Pepper Snapple Group income up 46% in quarter
August 13, 2009
by FoodBusinessNews.net Staff
PLANO, TEXAS — With greater volume, cost cuts and pricing increases a factor, income for The Dr Pepper Snapple Group, Inc. was up 46% in the second quarter.
For the quarter ended June 30, the company posted net income of $158 million, equal to 62c per share on the common stock, up 46% from $108 million, or 42c per share, during the same quarter of the pervious year. Net sales for the company were $1,481 million, down 4% from $1,545 million during the same quarter of the previous year.
"Our results continue to show the strength of our brands and the flexibility of our balanced routes to market," said Larry Young, president and chief executive officer. "Despite a challenging macroeconomic backdrop, each of our segments posted solid net gains, grew liquid refreshment beverages value share and added new points of distribution. Our continuous improvement mindset and strong cost control focus, coupled with better-than-expected input costs, resulted in double-digit growth in segment operating profit on a comparable, currency neutral basis."
Net income for the six months ended June 30 was $290 million, or $1.14 per share, up 43% from $203 million, or 80c per share, during the same period of the previous year. Sales for the quarter were $2,741 million, down 3% from $2,840 million during the same period of the previous year.
The company expects full-year earning per share to be in the range of $1.88 to $1.96, an 18c net increase from the previous guidance.
"As we look ahead, we remain confident that our advantaged portfolio will continue to deliver industry leading results," Mr. Young said. "With a less onerous input cost environment, we will take full advantage of marketplace investment opportunities to support the long-term health of our brands and will leverage our productivity office to drive further efficiencies in our business."