Keurig Dr Pepper Inc.

Company facts

Industry

Beverages

Headquarters

Frisco, Texas

Most recent report

8-K, filed Sep 1, 2026

Incorporated

Delaware

Filings on record

1,001+ filings

On EDGAR

CIK 1418135

Fiscal year ends

December

Filer status

Large accelerated filer

What to read: Jun 2026 10-Q

SECSift found 4 of 11 sections worth reading, with 1 positive, 10 notable, and 7 negative flags.

• Financial Statements (Item 1)

  Major acquisition, convertible preferred stock, JV, litigation, and earnings decline from JDE Peet's integration.
  Notable

  • Pod Manufacturing JV received $4B cash for 49% interest; KDP retains 51% and consolidates.
  • JDE Peet's contributed $2,802M net sales in Q2 2026 but lost $(62)M from operations.
  Negative

  • Antitrust litigation claims exceed $1.5B in damages; no accrual, but risk remains.

• Management's Discussion (Item 2)

  Major acquisition closes; EPS down 90%, U.S. Coffee weak, credit downgraded, parent negative equity.
  Positive

  • U.S. Refreshment Beverages operating income up 14.9% in Q2 2026, driven by net sales growth.
  Notable

  • Total pre-tax acquisition and integration costs reached $624M in first six months of 2026.
  • JDE Peet's inventory step-up added $314M to cost of sales in Q2 2026, driving its segment loss.
  Negative

  • Net income attributable to KDP dropped 74% to $142M in Q2 2026 from $547M.
  • Diluted EPS fell 90% to $0.04 in Q2 2026 from $0.40 a year ago.
  • U.S. Coffee operating income down 36.1% in Q2 2026, coffee volume down 12.8%.

• Market Risk (Item 3)

  New JDE Peet's exposures quantified with derivative notional, debt composition, and sensitivity estimates.
  Notable

  • Acquisition added $5,906M FX derivative notional; 10% euro weakening impacts fair value by ~$73M.
  • JDE Peet's debt consists of $4,506M fixed-rate and $686M variable-rate notes (June 30, 2026).
  • Commodity derivative notional $269M; 10% price change impacts fair value by ~$27M (net asset $25M).

• Risk Factors (Item 1A)

  Risk factors materially updated: Separation, PPWR regs, Russia exposure quantified.
  Notable

  • Pod Manufacturing JV: $4B cash contributed by JV partners for a 49% stake; KDP retains control at 51%.
  • Convertible Preferred Stock pays 4.75% dividend, ranks senior to common, can dilute common holders.
  • Coffee business spin-off (Separation) targeted for early 2027; condition-heavy, may not happen.
  Negative

  • Goodwill $30B and intangibles $38B on $88B total assets; impairment risk if JDE Peet's synergy falls short.
  • EU rules require coffee-pod compostability by Feb 2028 and material recycling by 2030; non-compliance could block sales.
  • Russia operations: 6% of 2025 consolidated revenue (JDE Peet's), with risk of loss or seizure.

What changed: Jun 2026 vs. Mar 2026

About 57% of KDP's Jun 2026 10-Q is new information. 375 paragraphs were added, 122 changed, and 38 removed. Below are the most important lines SECSift identified.

• Item 1A 232
• Item 1 123
• Item 2 78
• Item 3 6
• Item 4 3
• Item 6 1
• Item 5 1