KDP revenue +75.6% to $7.31B on JDE Peet's close; operating income -30% on step-up charge

Filed August 10, 2026 · Period ending June 30, 2026 · Compared to 10-Q Jul 24, 2025 · ~2 min read

Key Changes

• high

  Operating income fell 30% to $628M while net income dropped 89% to$$135M — the bottom-line decline did NOT come from operations. Below-the-line items (non-operating/other -$143M, income tax +$76M, noncontrolling interest -$68M) drove a net -$135M swing, with non-operating/other the dominant drag.

  MD&A: Operating Results verify on EDGAR →
• high

  JDE Peet's acquisition closed April 1, 2026 for $17.4B cash (97.75% of shares), funded via $3.6B term loan, ~$6B senior notes, $4B JV investment, and $4.5B convertible preferred stock. JDE Peet's results consolidated beginning Q2 2026, adding a fourth segment.

  Notes: JDE Peet's Acquisition verify on EDGAR →
• high

  JDE Peet's segment reported $62M operating loss in Q2 2026, driven by $314M non-cash inventory step-up charge (purchase accounting adjustment). This one-time charge depressed consolidated gross margin by 14 percentage points in the quarter.

  MD&A: JDE Peet's Inventory Step-Up verify on EDGAR →