Keurig Dr. Pepper stock rises after revenue beat, raised guidance
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Keurig Dr. Pepper (NASDAQ:KDP) shares gained on Thursday after the company notched above-expectations sales for the second quarter and raised guidance.

For the reported quarter, the Plano, Texas-based beverage company notched in-line earnings per share while a 13.1% jump in revenue to $3.55B came in $170M above estimates. The strong net sales results credited the CORE Hydration, Snapple, Polar seltzer, Vita Coco, Mott's and Hawaiian Punch brands. The strong sales helped to offset a stark 22.1% drop in operating income from 2021 sparked by âbroad-based inflationary pressures and supply chain disruption.â

"Our strong results reflect the flexibility and resilience of our business and the capability of our team to execute with excellence,â outgoing CEO Bob Gamgort said. âWe successfully recovered from supply chain disruptions in coffee and non-carbonated beverages, implemented additional pricing to offset inflation and continued to accelerate growth across our broad portfolio, leading to another quarter of strong market share performance. We remain confident that our "all-weather" business model will enable us to deliver in the ongoing volatile macro environment."

Given this expectation, the company raised its sales forecast into the second half of 2022. Net sales growth is now anticipated to reach the low-double-digit range on a constant currency basis while guidance for adjusted EPS growth in the mid-single-digit range was maintained. 

Shares rose 2.37% on Thursday after the report.
Read more on the expectations that beverage stocks remain resilient to inflationary pressures.