Dr. Pepper Snapple (DPS) revealed weaker-than-expected fourth-quarter earnings and a disappointing outlook on Wednesday amid softer sales volumes.
The Plano, Texas-based maker of non-alcoholic soft drinks and juices posted net income of $170 million, or 81 cents a share, compared with a year-earlier profit of $166 million, or 77 cents.
Excluding one-time items, Dr. Pepper said it earned 82 cents, below average analyst estimates of 85 cents in a Thomson Reuters poll.
Sales for the three months ended Dec. 31 climbed 2% to $1.48 billion from $1.46 billion, but narrowly missed the Street’s view of $1.5 billion as sales volume slowed in all but its Latin America Beverages group.
Dr. Pepper said it sees fiscal 2013 sales growing approximately 3% and earnings in the range of $3.04 to $3.12 a share, which is below the consensus view of $3.20.
Its shares ticked down about 5.3% Wednesday morning to $42.90.
Meanwhile, Dr. Pepper's board authorized a 12% increase in its quarterly dividend to 38 cents a share, payable on April 5 to shareholders of record on March 15.