Keurig Green Mountain: Reports Q4/2015 Results

Waterbury / VT. (kgm) Keurig Green Mountain Inc., a leader in specialty coffee, coffee makers, teas, and other beverages with its innovative brewing technology, announced its business results for the 13 weeks and 52 weeks ended September 26, 2015.

The company announced a Non-GAAP EPS of 0.85 USD and GAAP EPS of 0.61 USD for the quarter; Non-GAAP EPS of 3.56 USD and GAAP EPS of 3.14 USD for the full year 2015; Net sales of 1.04 billion USD for the quarter and 4.5 billion USD for the full year. The company generated 2015 free cash flow of 344 million USD; repurchased approximately four percent or 350 million USD in common shares from the beginning of the fiscal fourth quarter 2015 through November 18. The outlook includes fiscal year 2016 currency neutral revenue growth of flat to low single digits with Non-GAAP EPS of 3.25 USD to 3.45 USD and free cash flow in the range of 420 to 500 million USD. The board of Directors authorized a 13 percent dividend increase.

«Our results for the quarter and the year reflect the competitive and dynamic marketplace in which we operate as well as the steps we are taking to position our Company for longer-term growth and value creation», said Brian Kelley, Keurig’s President and CEO. «I am particularly pleased with the benefits realized from our cost reduction efforts as well as our strong cash generation, both of which exceeded expectations in the fourth quarter. While we expect marketplace conditions will remain challenging in the near term, we have a stronger product line-up and price positioning as we enter the new holiday season».

Kelley continued, «Our priorities for 2016 are to reinvigorate our hot system and continue the disciplined rollout of our Kold system. We remain confident that our investments in the business and our multi-year productivity program will deliver long-term value to shareholders. Today’s announcement of the Board’s authorization of a 13 percent increase in our dividend underscores our confidence in our future prospects and continues our track record of delivering strong cash returns to our shareholders» (Image: