Dr Pepper Snapple Group reported fourth quarter 2015 EPS of $0.97 compared to $0.77 in the prior year period.
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Core EPS were $1, up 14%, compared to $0.88 in the prior year period. For the year, the company reported earnings of $3.97 per diluted share compared to $3.56 per diluted share in the prior year. Core EPS were $4.02, up 10%, compared to $3.65 in the prior year.
For the quarter, reported net sales increased 2% after a 2% reduction for foreign currency translation.
Net sales grew on favorable product, package and segment mix, price increases and lower discounts.
Reported segment operating profit (SOP) increased 6% after a 2% reduction for foreign currency translation. Contributing to this increase were net sales growth, lower commodity costs and ongoing productivity improvements, partially offset by increases in certain operating costs and a $5 million increase in marketing investments.
Reported income from operations for the quarter was $322 million, which included a $7 million impairment charge on the Garden Cocktail brand, a vegetable juice sold in Canada.
Reported income from operations was $256 million in the prior year period, which included a $23 million unrealized commodity mark-to-market loss and a $14 million charge due to the annuitization of certain pension obligations.
Core income from operations for the quarter was $329 million, up 13%, representing 21.3% of net sales compared to 19.3% in the prior year period. Foreign currency translation neutral growth in core income from operations was 15%.
For the year, reported net sales increased 3%. Reported income from operations was $1,298 million, including the aforementioned $7 million impairment charge and a $5 million unrealized commodity mark-to-market loss.
Foreign currency translation negatively impacted reported net sales and reported income from operations by 2%.
Reported income from operations in the prior year was$1,180 million, which included the aforementioned $14 million pension charge and a $13 million unrealized commodity mark-to-market loss.
Core income from operations was $1,312 million, up 9%, representing 20.9% of net sales compared to 19.7% in the prior year. Foreign currency translation neutral growth in core income from operations was 11%. ■