Dr Pepper Snapple income down 11% in quarter
April 25, 2012
PLANO, TEXAS — Higher packaging and ingredient costs, operating cost increases and higher marketing investments contributed to an 11% decline in income during the first quarter at Dr Pepper Snapple Group, Inc.
For the quarter ended March 31, the company posted income of $102 million, equal to 48c per share on the common stock, which compared with income of $114 million, or 51c per share, during the same quarter of the previous year. Sales for the quarter were $1,362 million, up 2% from $1,331 million.
“Despite expected commodity headwinds and higher pricing across our C.S.D. brands and Hawaiian Punch and Mott’s trademarks, our business continued to perform well in the quarter and consistent with our expectations,” said Larry Young, president and chief executive officer. “We outperformed the industry in both volume and dollar share in both the C.S.D. and tea categories. Now in its second year, Rapid Continuous Improvement is delivering results for our customers and in our financial performance. With solid marketing plans in place for the remainder of the year and R.C.I. further expanding across the organization, I remain confident in our plans for the year.”
For the full year the company expects earnings per share to be in the range of $2.90 to $2.98.