AI-extracted from the 10-Q filed 2026-08-10 — Q2 FY2026 (quarter ended June 30, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Net sales rose 75.6% YoY to $7.31B on the newly consolidated JDE Peet's segment ($2.80B), but diluted EPS fell 90% to $0.04 as acquisition financing costs, inventory step-up, and integration expenses swamped operating profit.
Biggest Revenue Drivers
U.S. Refreshment Beverages$2,925M+10.0% YoY
Volume/mix growth led by energy and sports hydration drinks plus higher net price realization
JDE Peet's$2,802M+100% YoY (new segment)
Wholly incremental from the JDE Peet's Acquisition, which closed April 1, 2026
Biggest Revenue Drivers
Total revenue: $7.3B+75.6% YoY
U.S. Refreshment Beverages$2,925M+10.0% YoY
Volume/mix growth led by energy and sports hydration drinks plus higher net price realization
JDE Peet's$2,802M+100% YoY (new segment)
Wholly incremental from the JDE Peet's Acquisition, which closed April 1, 2026
U.S. Coffee$918M-3.2% YoY
Unfavorable volume/mix from price elasticity, single-serve category softness, and a temporary shift of Peet's K-Cup pods into the JDE Peet's segment
KDP International$664M+19.6% YoY
Favorable FX translation, volume/mix growth, and higher net price realization
Largest Expense Items
Cost of sales$4,243M+122.4% YoY
Inclusion of JDE Peet's costs plus $314M inventory step-up amortization recognized as acquired inventory was sold
SG&A expenses$2,397M+76.8% YoY
Inclusion of JDE Peet's SG&A (53 pts of the increase) and transaction/integration costs tied to the acquisition and planned Separation (20 pts)
Interest expense, net$336M+86.7% YoY
Increased debt and higher financing costs, including debt assumed in the JDE Peet's Acquisition
Restructuring - Integration of JDE Peet's$140M
New one-time program for system integration, severance, retention, and professional services tied to the acquisition and planned coffee-business separation
Margins: Gross margin fell 1,230 bps to 41.9% as the benefit of JDE Peet's consolidation and organic sales growth was more than offset by the JDE Peet's inventory step-up (14 pts) and unfavorable input costs including tariffs (4 pts). Operating margin dropped 1,300 bps to 8.6% as SG&A and acquisition/integration costs outpaced gross profit gains.
Watch Items from the Filing
JDE Peet's Acquisition (~$17.9B total consideration) was funded with ~$6B in new notes, a $3.6B delayed draw term loan, a $4B Pod Manufacturing JV investment, and $4.5B of convertible preferred stock, materially increasing leverage.
Following the acquisition financing, Moody's and S&P downgraded KDP's long-term debt and commercial paper ratings, though both remain investment grade.
JDE Peet's Russian operations represented approximately 6% of JDE Peet's consolidated revenue in 2025 and 2024, exposing KDP to sanctions, expropriation, and geopolitical risk in Russia and Ukraine.
Multidistrict antitrust litigation plaintiffs are collectively claiming more than $1.5 billion in monetary damages against Keurig; no loss accrual has been recorded.
Effective tax rate rose 730 bps YoY to 31.1%, primarily from a non-cash revaluation of state deferred tax liabilities tied to the JDE Peet's Acquisition.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
Cofer Timothy P.CEO & PresidentShares withheld for tax or exercise price · May 20, 2026
Oliveira RafaelCEO Coffee Operating UnitGrant or award · Apr 27, 2026
Gamgort Robert JamesDirectorShares withheld for tax or exercise price · Mar 5, 2026
Congress trading in KDP
13 transactions in KDP reported by 6 members of Congress under the STOCK Act, most recent trade Sep 23, 2025. Reported transactions, not recommendations.
About Keurig Dr Pepper Inc. (KDP): stock profile, AI score and financials
Keurig Dr Pepper Inc. (KDP) stock profile, AI quality score, and SEC EDGAR financial data, a Consumer Staples sector company. 13F Pro's AI-powered ranking engine scores KDP at 64.4/100 on a composite quality score built from its SEC filings, placing it at rank #536 of 2,925 stocks — the top 25% of the AI-ranked universe. KDP scores in the top quartile across institutional flow (93.4), revenue scale (92.5). Based on the latest XBRL financial filings (Q2 2026), Keurig Dr Pepper Inc. reports quarterly revenue of $7.3B, net income of $142.0M, an operating margin of 8.6%. Top institutional holders of KDP by reported 13-F value include FMR, BlackRock, Capital World Investors, based on the most recent SEC filings. KDP trades on the Nasdaq exchange and files with the SEC under CIK 1418135. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate KDP daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for Keurig Dr Pepper Inc. directly from SEC EDGAR.