How does Keurig Dr Pepper (KDP) make money?

Keurig Dr Pepper (KDP) generates revenue primarily from LRB, which accounted for 70.3% of total revenue in TTM through Q1 2026. The company reported $16.9B in revenue and converted 10.8% of it into net profit, equivalent to roughly $1.83B in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Keurig Dr Pepper (KDP)?

Keurig Dr Pepper (KDP) reported a gross profit margin of 53.8% in TTM through Q1 2026, equivalent to $9.11B in gross profit on $16.9B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Keurig Dr Pepper (KDP)?

Keurig Dr Pepper (KDP) reported an operating profit margin of 21.3% in TTM through Q1 2026, equivalent to $3.61B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Keurig Dr Pepper (KDP)?

Keurig Dr Pepper (KDP) reported a net profit margin of 10.8% in TTM through Q1 2026, equivalent to $1.83B in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Keurig Dr Pepper (KDP) profitable?

Yes. Keurig Dr Pepper (KDP) reported $1.83B in net income for TTM through Q1 2026, with a net profit margin of 10.8%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Keurig Dr Pepper (KDP) spend on capital expenditures?

Keurig Dr Pepper (KDP) spent $482M on capital expenditures (CapEx) during TTM through Q1 2026, roughly 2.8% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Keurig Dr Pepper (KDP) generate?

Keurig Dr Pepper (KDP) generated $1.58B in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 9.3%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Keurig Dr Pepper (KDP)?

Keurig Dr Pepper (KDP) had an effective tax rate of 23.2% in TTM through Q1 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Keurig Dr Pepper (KDP)?

Keurig Dr Pepper (KDP) reports revenue across 4 reportable product segments, led by LRB at 70.3% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

How Keurig Dr Pepper Makes Money: 2026 Visual Revenue Map

Keurig Dr Pepper (KDP) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported April 23, 2026).

Keurig Dr Pepper discloses geographic revenue only in annual filings. to view the full breakdown.

Keurig Dr Pepper (KDP) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Keurig Dr Pepper (KDP), TTM through Q1 2026.
Segment	Revenue (USD)	% of total
LRB	$11.9B	70.3%
K-Cup Pods	$3.78B	22.3%
Appliances	$638M	3.8%
Other Products	$606M	3.6%
Total	$16.9B	100%

LRB$11.9B
K-Cup Pods$3.78B
Appliances$638M
Other Products$606M
Total$16.9B

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Keurig Dr Pepper (KDP) reports revenue across 4 reportable product segments; the largest segment was LRB at 70.3%, followed by K-Cup Pods (22.3%) and Appliances (3.8%).

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