Quarterly guidance

Quarterly guidance
No specific quarterly guidance was provided, though management expects continued sequential improvement in U.S. coffee profitability in Q4.

Annual guidance

Net Sales
$25.9 billion to $26.4 billion.
Legacy KDP EPS Growth
3% to 5%.
JDE Peet's EPS Contribution
7 to 8 percentage points.
Interest Expense
$1.09 billion to $1.11 billion.
Effective Tax Rate
22% to 23%.

Outlook

U.S. Coffee Category
Management expects macro-driven value sensitivity to persist, with consumers favoring lower-cost formats like roast and ground coffee.
Energy Drinks
Management sees significant runway for growth, driven by distribution expansion and broader household penetration.
Separation
The company remains on track for an early 2027 separation, subject to market conditions.
JDE Peet's Integration
Synergy capture is expected to accelerate quarter-by-quarter through the end of the year.
Capital Allocation
The company remains focused on investing in the business, maintaining the dividend, and paying down debt.