Keurig Dr Pepper Inc (KDP)
Profitability ratios
Return on sales
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 56.49% | 55.55% | 54.66% | 54.35% | 55.27% | 52.61% | 53.24% | 53.98% | 54.78% | 59.22% | 59.43% | 59.23% | 58.84% | 59.23% | 59.38% | 60.33% | 60.65% | 60.05% | 57.57% | 50.47% |
| Operating profit margin | 22.32% | 20.57% | 17.22% | 16.29% | 19.66% | 19.69% | 23.15% | 24.74% | 22.72% | 24.37% | 24.56% | 23.69% | 22.50% | 23.03% | 21.76% | 22.13% | 22.74% | 21.44% | 19.18% | 16.37% |
| Pretax margin | 19.28% | 17.01% | 13.78% | 11.26% | 12.98% | 16.83% | 20.94% | 24.32% | 21.98% | 19.09% | 18.70% | 17.37% | 15.90% | 16.12% | 14.76% | 14.94% | 16.20% | 14.56% | 12.46% | 10.14% |
| Net profit margin | 15.25% | 13.66% | 11.41% | 9.66% | 10.84% | 13.53% | 16.47% | 18.48% | 16.85% | 14.70% | 14.28% | 13.34% | 12.02% | 12.04% | 10.92% | 11.13% | 11.99% | 10.80% | 9.30% | 7.66% |
Keurig Dr Pepper Inc's profitability ratios have exhibited some fluctuations in recent quarters. The gross profit margin has generally remained above 50%, showing a slight improvement from Q1 2023 to Q4 2023. This suggests that the company has effectively managed its cost of goods sold and maintained healthy margins on its products.
The operating profit margin has also shown a positive trend, increasing from 18.32% in Q1 2023 to 21.39% in Q4 2023. This indicates efficient management of operating expenses and an ability to generate profits from core business activities.
However, the pretax margin has been more volatile, with a significant decline from 24.61% in Q1 2022 to 10.71% in Q1 2023, before recovering slightly to 18.61% in Q4 2023. This may suggest challenges in managing non-operating expenses or fluctuations in tax obligations.
The net profit margin has followed a similar pattern, with a notable decrease from 18.71% in Q1 2022 to 9.20% in Q1 2023, before improving to 14.72% in Q4 2023. This indicates that while the company has generated profits, there have been fluctuations in net income relative to sales.
Overall, Keurig Dr Pepper Inc has shown a generally healthy profitability position, with improvements in gross and operating margins. However, its pretax and net profit margins have experienced greater variability, indicating potential areas for further analysis and operational improvement.
Return on investment
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 6.12% | 5.64% | 4.67% | 4.30% | 5.03% | 5.17% | 5.95% | 6.28% | 5.72% | 5.70% | 5.62% | 5.27% | 4.98% | 5.05% | 4.73% | 4.80% | 4.80% | 4.48% | 3.99% | 3.16% |
| Return on assets (ROA) | 4.18% | 3.75% | 3.09% | 2.55% | 2.77% | 3.55% | 4.23% | 4.70% | 4.24% | 3.44% | 3.27% | 2.96% | 2.66% | 2.64% | 2.37% | 2.42% | 2.53% | 2.26% | 1.94% | 1.48% |
| Return on total capital | 8.96% | 8.28% | 6.87% | 6.35% | 7.20% | 7.25% | 8.28% | 8.68% | 7.92% | 7.94% | 7.86% | 7.42% | 7.09% | 7.11% | 6.63% | 6.64% | 6.51% | 6.04% | 5.48% | 4.25% |
| Return on equity (ROE) | 8.49% | 7.65% | 6.34% | 5.25% | 5.72% | 7.27% | 8.57% | 9.43% | 8.59% | 7.09% | 6.78% | 6.21% | 5.56% | 5.59% | 5.08% | 5.21% | 5.39% | 4.86% | 4.19% | 3.21% |
Keurig Dr Pepper Inc has shown consistent profitability improvements over the quarters analyzed based on its profitability ratios. The company's Operating Return on Assets (Operating ROA) has been gradually increasing, indicating efficient utilization of assets to generate operating income, reaching 6.08% in Q4 2023. Furthermore, the Return on Assets (ROA) has also been on an upward trend, indicating improvement in overall profitability, with a notable increase to 4.18% in Q4 2023.
In terms of Return on Total Capital, the company has consistently shown healthy returns above 7%, demonstrating an effective use of both debt and equity capital to generate profits. Additionally, the Return on Equity (ROE) figures have displayed a positive trend, with Q4 2023 showing an ROE of 8.49%, reflecting the company's ability to generate returns for its shareholders.
Overall, Keurig Dr Pepper Inc's profitability ratios suggest a strong performance in effectively managing its assets and capital to generate profits for the company and its stakeholders.