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Charting Dr Pepper Snapple Group's Latest Earnings Release

By Seth Jayson – Updated Apr 10, 2017 at 12:40PM

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Just the facts, Fool.

Dr Pepper Snapple Group (NYSE: DPS) reported earnings on July 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), Dr Pepper Snapple Group missed estimates on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped slightly. Non-GAAP earnings per share dropped. GAAP earnings per share shrank.

Gross margins increased, operating margins shrank, net margins contracted.

Revenue details
Dr Pepper Snapple Group reported revenue of $1.61 billion. The 10 analysts polled by S&P Capital IQ anticipated revenue of $1.64 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.84. The 14 earnings estimates compiled by S&P Capital IQ averaged $0.84 per share. Non-GAAP EPS of $0.84 for Q2 were 1.2% lower than the prior-year quarter's $0.85 per share. GAAP EPS of $0.76 for Q2 were 8.4% lower than the prior-year quarter's $0.83 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 58.0%, 30 basis points better than the prior-year quarter. Operating margin was 17.7%, 80 basis points worse than the prior-year quarter. Net margin was 9.6%, 140 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $1.58 billion. On the bottom line, the average EPS estimate is $0.84.

Next year's average estimate for revenue is $6.14 billion. The average EPS estimate is $3.09.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 400 members out of 431 rating the stock outperform, and 31 members rating it underperform. Among 162 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 154 give Dr Pepper Snapple Group a green thumbs-up, and eight give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Dr Pepper Snapple Group is hold, with an average price target of $48.69.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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Dr Pepper Snapple Group, Inc. Stock Quote
Dr Pepper Snapple Group, Inc.
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