Dr Pepper And Snapple Group Case Study

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Dr. Pepper and Snapple Group Stock Evaluation Dillon Trimmer Dr. Pepper has shown steady growth over the past three years. They have been able to increase their total revenues while lowering their selling and administrative expenses. They have increased their total revenues through the sales from their variety of products. Their domestic and international sales have both seen increases from prior year. Their domestic sales saw a 1 percent increase, while their sales in Mexico and the Caribbean saw an 8 percent increase from prior year. In their branded CSDs they saw increases in sales in Pe Afiel by 14 percent in their Latin America markets from increased distribution and more promotional activity. Squirt saw a 7 percent …show more content…

Pepper, driven primarily by declines in diet products, a 3% decrease in RC Cola and a 1% decline in Crush. Canada Dry, 7UP, A&W and Sunkist soda (their "Core 4 brands") were flat compared to the prior year, driven by an 8% increase in Canada Dry fully offset by a 6% decline in 7UP, a 4% decrease in Sunkist soda and a 1% decline in A&W. Their other CSD brands in total were also flat compared to the prior year. Overall Dr. Pepper and Snapple group has been able to make steady increases in their net income through increased sales, lowering their cost and expenses, and increased promotional activity. As well as the increases in sales and promotional activity Dr. Pepper and Snapple Group also just paid a 53 cent dividend per share, which is a 10 percent increase from prior quarters payout. They repurchased lots of their stock as well, 6,500,000 shares in 2015, 6,800,000 shares in 2014, and 6,700,000 shares in 2013. These were all valued at approximately 521,000,000 in 2015 and 400,000,000 in 2014 and 2013. They were also able to repay 500,000,000 in senior notes at maturity on January 15, 2016. In final, they expect to repurchase 650,000,000 to 700,000,000 dollars worth of common stock on December 31,

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