Keurig Dr Pepper Inc
For the period ended Sep 30, 2024. Filed Oct 24, 2024.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Oct 24, 2024
Extracted filing text, with the paragraph anchors used by the comparison.
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Leases
- Leases
The following table presents the components of lease cost:
| Third Quarter | First Nine Months | |||
|---|---|---|---|---|
| (in millions) | 2024 | 2023 | 2024 | 2023 |
| Operating lease cost | $42 | $40 | $127 | $118 |
| Finance lease cost | ||||
| Amortization of right-of-use assets | 33 | 21 | 93 | 60 |
| Interest on lease liabilities | 8 | 6 | 22 | 18 |
| Variable lease cost(1) | 9 | 10 | 29 | 30 |
| Short-term lease cost | 1 | 1 | 2 | 1 |
| Sublease income | (1) | — | (1) | — |
| Total lease cost | $92 | $78 | $272 | $227 |
(1)Variable lease cost primarily consists of common area maintenance costs, property taxes, and adjustments for inflation.
The following table presents supplemental cash flow and other information about our leases:
| First Nine Months | ||
|---|---|---|
| (in millions) | 2024 | 2023 |
| Cash paid for amounts included in the measurement of lease liabilities: | ||
| Operating cash flows from operating leases | $121 | $110 |
| Operating cash flows from finance leases | 22 | 18 |
| Financing cash flows from finance leases | 83 | 74 |
| Right-of-use assets obtained in exchange for lease obligations: | ||
| Operating leases | 60 | 78 |
| Finance leases | 128 | 75 |
The following table presents information about our weighted average discount rate and remaining lease term:
| September 30, 2024 | December 31, 2023 | |
|---|---|---|
| Weighted average discount rate | ||
| Operating leases | 5.3% | 5.3% |
| Finance leases | 4.4% | 3.9% |
| Weighted average remaining lease term | ||
| Operating leases | 9 years | 10 years |
| Finance leases | 9 years | 9 years |
Future minimum lease payments for non-cancellable leases that have commenced and are reflected on the unaudited Condensed Consolidated Balance Sheets as of September 30, 2024 were as follows:
| (in millions) | Operating Leases | Finance Leases |
|---|---|---|
| Remainder of 2024 | $28 | $36 |
| 2025 | 161 | 145 |
| 2026 | 149 | 182 |
| 2027 | 126 | 92 |
| 2028 | 97 | 81 |
| 2029 | 91 | 78 |
| Thereafter | 460 | 313 |
| Total future minimum lease payments | 1,112 | 927 |
| Less: imputed interest | (233) | (160) |
| Present value of minimum lease payments | $879 | $767 |
SIGNIFICANT LEASES THAT HAVE NOT YET COMMENCED
As of September 30, 2024, we have entered into leases that have not yet commenced with estimated aggregated future lease payments of approximately $227 million. These leases are expected to commence between the fourth quarter of 2024 through 2027, with initial lease terms ranging from 5 years to 11 years.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.