Keurig Dr Pepper Inc. (KDP)

Keurig Dr Pepper Inc. (KDP) is a leading North American beverage company that manufactures, markets, distributes and sells hot and cold beverages and single serve brewing systems. It was created on July 9, 2018, through the combination of Keurig, a producer of single serve brewers and specialty coffee, and Dr Pepper Snapple Group, and trades on Nasdaq under the symbol KDP. The company offers more than 125 owned, licensed and partner brands, including Dr Pepper, Canada Dry, Mott's, A&W, Peñafiel, GHOST, 7UP, Snapple, Green Mountain Coffee Roasters, Clamato, The Original Donut Shop and Core Hydration, as well as the Keurig brewing system. On August 24, 2025, it agreed to acquire JDE Peet's, a global pure-play coffee company, with closing expected early in the second quarter of 2026. It also announced its intention to separate its beverage and coffee portfolios into two independent, publicly traded companies after that closing.

KDP reports three segments. U.S. Refreshment Beverages makes and distributes beverage concentrates, syrups and finished beverages to bottlers, distributors, retailers and fountain customers such as fast food restaurants, and also distributes partner brands and makes private label and third-party products. Partner brands include C4 Energy, Electrolit, Vita Coco, Bloom, evian and Bai. U.S. Coffee is a brand owner, manufacturer and distributor of Keurig single serve brewers, K-Cup pods, specialty coffee and ready-to-drink coffee. It makes K-Cup pods for owned and licensed brands and for partners such as Starbucks, Dunkin', Folgers and Peet's. International covers Canada, Mexico, the Caribbean and other markets, selling concentrates, syrups and finished beverages under brands such as Peñafiel, Clamato, Canada Dry and Squirt, plus brewers and K-Cup pods in Canada under brands including McCafé, Tim Hortons and Van Houtte. The company continues to invest in innovation, including new brewers such as the K-Mini Mate and K-Crema, and the Keurig Coffee Collective coffee line.

Customers include supermarkets, mass merchandisers, club stores, e-commerce retailers, convenience stores and fountain customers, plus bottlers and distributors and away-from-home participants such as office coffee distributors and hotel chains. Consumers can also buy directly through keurig.com and keurig.ca. Walmart accounted for about 16% of consolidated net sales in 2025. In the U.S. and Canada, bottlers hold generally exclusive, long-term territorial licenses for the company's carbonated soft drinks. Sales are somewhat seasonal: cold beverages sell more in warm months, hot beverages in cooler months, and brewers in the second half of the year.

Ingredients and materials make up about 55% of cost of sales, including green coffee, water, aluminum, PET bottles, CO2, sweeteners, packaging, fruit, cocoa and tea. Green coffee is bought through direct relationships with farms and cooperatives and through brokers. Distribution uses a direct-store-delivery network and a warehouse delivery system, with about 8,100 vehicles in the U.S. and 2,200 in Mexico plus third-party logistics providers. Keurig brewers are engineered mostly in-house and built by contract manufacturers in Asia. Primary competitors include Coca-Cola, PepsiCo, Starbucks, J.M. Smucker, Kraft Heinz and Nestlé, several of which are also partners or customers. The company has about 30,600 employees, mostly in North America.