Keurig Dr Pepper Inc.
For the period ended Mar 31, 2026. Filed Apr 23, 2026.
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.
Mar 31, 2026 · Filed Apr 23, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Leases
- Leases
The following table presents the components of lease cost:
| First Quarter | ||
|---|---|---|
| (in millions) | 2026 | 2025 |
| Operating lease cost | $45 | $44 |
| Finance lease cost | ||
| Amortization of right-of-use assets | 30 | 28 |
| Interest on lease liabilities | 12 | 9 |
| Variable lease cost(1) | 10 | 9 |
| Total lease cost | $97 | $90 |
(1)Variable lease cost primarily consists of common area maintenance costs, property taxes, and adjustments for inflation.
The following tables present supplemental information about our leases:
| (in millions) | Balance Sheet Location | March 31, 2026 | December 31, 2025 |
|---|---|---|---|
| Assets: | |||
| Operating lease right-of-use assets | Other non-current assets | $837 | $845 |
| Finance lease right-of-use assets(1) | Property, plant, and equipment, net | 998 | 919 |
| Liabilities: | |||
| Operating lease liability | Other current liabilities | $136 | $127 |
| Finance lease liability | Other current liabilities | 184 | 179 |
| Operating lease liability | Other non-current liabilities | 753 | 764 |
| Finance lease liability | Other non-current liabilities | 815 | 745 |
(1)Amounts are presented net of accumulated amortization of $453 million and $426 million as of March 31, 2026 and December 31, 2025, respectively.
| First Quarter | ||
|---|---|---|
| (in millions) | 2026 | 2025 |
| Cash paid for amounts included in the measurement of lease liabilities: | ||
| Operating cash flows from operating leases | $40 | $42 |
| Operating cash flows from finance leases | 12 | 9 |
| Financing cash flows from finance leases | 34 | 25 |
| Right-of-use assets obtained in exchange for lease obligations: | ||
| Operating leases | 27 | 4 |
| Finance leases | 109 | 44 |
The following table presents information about our weighted average discount rate and remaining lease term:
| March 31, 2026 | December 31, 2025 | |
|---|---|---|
| Weighted average discount rate | ||
| Operating leases | 5.3% | 5.3% |
| Finance leases | 4.9% | 4.8% |
| Weighted average remaining lease term | ||
| Operating leases | 8 years | 8 years |
| Finance leases | 9 years | 9 years |
SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS
Future minimum lease payments for non-cancellable leases that have commenced and are reflected in the unaudited Condensed Consolidated Balance Sheets as of March 31, 2026 were as follows:
| (in millions) | Operating Leases | Finance Leases |
|---|---|---|
| Remainder of 2026 | $120 | $189 |
| 2027 | 160 | 151 |
| 2028 | 130 | 140 |
| 2029 | 120 | 134 |
| 2030 | 111 | 124 |
| 2031 | 94 | 95 |
| Thereafter | 359 | 403 |
| Total future minimum lease payments | 1,094 | 1,236 |
| Less: imputed interest | (205) | (237) |
| Present value of minimum lease payments | $889 | $999 |
SIGNIFICANT LEASES THAT HAVE NOT YET COMMENCED
As of March 31, 2026, we have entered into leases that have not yet commenced with estimated aggregated future lease payments of approximately $156 million. These leases will commence between 2026 and 2028, with initial lease terms ranging from 5 years to 10 years.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.