Dr Pepper Snapple Group Earnings: Here’s Why the Stock is Down Now

Dr Pepper Snapple Group, Inc. (NYSE:DPS) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 0.8%.

Dr Pepper Snapple Group, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 1.18% to $0.84 in the quarter versus EPS of $0.85 in the year-earlier quarter.

Revenue: Decreased 0.62% to $1.61 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Dr Pepper Snapple Group, Inc. reported adjusted EPS income of $0.84 per share. By that measure, the company missed the mean analyst estimate of $0.85. It missed the average revenue estimate of $1.64 billion.

Quoting Management: DPS President and CEO Larry Young said, “I am pleased with the perseverance of our people as they continued to execute our strategy amid a very challenging environment. During the quarter, our business was negatively impacted by unseasonably cold and wet weather, a cautious consumer and continued CSD category headwinds.”

Key Stats (on next page)…

Revenue increased 16.74% from $1.38 billion in the previous quarter. EPS increased 58.49% from $0.53 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.84 and has not changed. For the current year, the average estimate has moved down from a profit of $3.10 to a profit of $3.09 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)