Keurig Dr Pepper reported a strong finish to 2025, with double-digit revenue growth in Q4 driven by strong performance in U.S. Refreshment Beverages and International segments, alongside a significant acquisition of JDE Peet's planned for 2026. The company anticipates continued momentum and double-digit adjusted EPS growth in 2026, supported by strategic initiatives and a planned separation into two distinct companies.
Full year 2025 net sales increased 8.2% to $16.6 billion, with constant currency net sales advancing 8.6%.
positiveQ4 2025 net sales increased 10.5% to $4.5 billion, with constant currency net sales advancing 9.9%.
positiveFull year 2025 Adjusted diluted EPS increased 7.3% to $2.05.
positiveQ4 2025 Adjusted diluted EPS increased 1.7% to $0.60.
positiveFull year 2025 operating cash flow was $1,991 million and free cash flow totaled $1,519 million.
positiveU.S. Refreshment Beverages segment net sales increased 11.9% for the full year and 11.5% in Q4.
positiveInternational segment net sales increased 5.9% for the full year and 21.0% in Q4.
positiveU.S. Coffee segment net sales increased only 0.6% for the full year and 3.9% in Q4, driven by favorable net price realization offset by a volume/mix decline of 4.2% for the full year and 4.1% in Q4.
attentionU.S. Coffee segment Adjusted operating income decreased 4.4% for the full year and 8.8% in Q4, primarily reflecting inflationary pressures and volume/mix declines.
negativeFull year operating cash flow included a $225 million headwind from one-time distribution termination payments related to the GHOST acquisition.
attentionFull year 2025 GAAP net income increased 44.3% to $2.1 billion, or $1.53 per diluted share, including a favorable year-over-year impact of items affecting comparability.
attentionQ4 2025 GAAP net income increased from a loss of $144 million to income of $353 million, or $0.26 per diluted share, including a favorable year-over-year impact of items affecting comparability.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total | CC |
|---|---|---|---|---|---|
U.S. Refreshment Beverages | N/A | — | — | — | +11.5% |
U.S. Coffee | N/A | — | — | — | +0.6% |
International | N/A | — | — | — | +9.3% |
| Total Revenue | $0.00M | — | — | 100.0% | — |
Segment performance shows business unit health and growth drivers. Constant currency (CC) removes FX impact for like-for-like comparison.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
2025 was another strong year for KDP. We delivered on our guidance, navigated the dynamic operating environment with agility, and executed well in the marketplace with winning innovation and robust commercial activation of our brands.
In 2026, we intend to build upon our momentum with the acquisition and integration of JDE Peet’s and progress towards the subsequent separation into two advantaged pure play companies.
With KDP delivering strong performance in 2025 and establishing a compelling outlook for a transformational 2026, the time is right for me to step back from the Board.
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