Dr Pepper Snapple Group Inc., Plano, Texas, reported that net sales and volume both increased 1 percent, respectively. These increases were impacted by favorable product and package mix and net pricing, partially offset by unfavorable segment mix and 1 percentage point of foreign currency.
Reported segment operating profit in the quarter increased 14 percent, or $40 million, on net sales growth, lower commodity costs — including an unfavorable year-over-year last-in, first-out comparison — and ongoing productivity improvements. Reported income from operations for the quarter was $260 million, including $12 million of unrealized commodity mark-to-market gains. Core income from operations was $248 million, up 21.6 percent compared with the prior-year period.