Higher sales help drive profit at Dr Pepper Snapple
Oct. 26, 2011
PLANO, TEXAS — Net income at Dr Pepper Snapple Group, Inc. increased 7% during the third quarter, boosted by increased sales and the impact of a licensing agreement.
For the quarter ended Sept. 30, the company had income of $154 million, equal to 71c per share on the common stock, which compared with $144 million, or 61c per share, in the same period a year ago. Sales for the quarter were $1,529 million, up 5% from $1,457 million.
“As we continue to operate in challenging times, I remain pleased with the performance of our portfolio,” said Larry Young, president and chief executive officer. “Our teams are committed to executing our focused strategy with the goal of providing value to our customers while managing price, mix and productivity to offset higher input costs. The national launch of Dr Pepper TEN is bringing excitement and energy to the Dr Pepper trademark, and we are continuing to build per capita consumption with new fountain availabilities and cold drink placements. Our rapid continuous improvement efforts are gaining traction across the organization, and we’re beginning to experience meaningful results.”
For the nine months ended Sept. 30, the company had income of $440 million, or $2 per share, up 6% from $416 million, or $1.70 per share, during the same period of the previous year. Sales for the nine months were $4,442 million, up 5% from $4,224 million.
The company said for the full-year it expects net sales to increase 3% to 5% and earnings per share to be in the $2.70 to $2.78 range.