$KDP · Keurig Dr Pepper Inc.
Keurig Dr Pepper filed its Q3 2026 10-Q. Net sales jumped 70.6% to $7.344B, almost entirely from the JDE Peet's acquisition (which added $2.649B in the quarter). Net income attributable to KDP rose to $882M from $662M, with diluted EPS of $0.59 vs $0.49. However, nine-month diluted EPS fell 33.1% to $0.85 from $1.27, reflecting the JDE Peet's acquisition costs, higher interest expense, and $138M of non-controlling interest dilution.
- Q3 net sales rose 70.6% to $7.344B, with JDE Peet's contributing $2.649B.
- Q3 diluted EPS rose to $0.59 from $0.49; net income attributable to KDP was $882M.
- Nine-month diluted EPS fell 33.1% to $0.85 from $1.27.
- Interest expense more than doubled to $474M in Q3 from $188M a year earlier.
- Total assets nearly doubled to $86.87B from $55.46B at year-end 2025.
Extended-hours last trade $36.70, +0.19% vs regular close of $36.63; muted reaction to a transformative quarter.
KDP's JDE Peet's acquisition transformed its top line but diluted nine-month earnings, framing the stakes of its planned portfolio separation.
The JDE Peet's acquisition makes KDP a global coffee leader, adding $2.649B in quarterly sales and reshaping its portfolio ahead of the planned beverage/coffee separation.
Nine-month EPS fell 33.1% as acquisition-related costs, higher interest expense ($1.091B vs $516M), and $138M non-controlling interest dilution weighed on results. Integration and separation execution risk remain.