everyone. morning, and Jane, good Thanks,
with execution goals pleased us QX consistent beverage and diversified the strong our are company dynamic. commitments, remains We operating around and portfolio as support to of our continue even KDP's results. delivery environment
significant full QX, fueled bottom our which organic margin gross remains year to line growth In and outlook, reinforcing growth, sales visibility unchanged. healthy reinvestment and progress
Third sales grew quarter net constant currency X.X%.
price from driver, first the As expected, net sequentially. the growth strengthened but primary remain moderated volume realization half line mix while top
our share gains gradual continued reflected recovery results U.S. segment performance Beverages, coffee Our in in Refreshment International in and strong U.S. business. momentum
expanded business, expectations the basis reflecting continue driving in the profit marketing third reinvesting we which simultaneously the us year-over-year inflation, significantly, bottom in profit X while pricing ongoing Gross growth XXX consecutive you was the years, and line July. shared quarter, between an for improved points slightly productivity. with balance up including increased to and margin back improvement Gross in above largest enabled growth
for As we we to year, to revenue move through QX our normalize. and expect next drivers plan continue growth
that considering moderate mix key especially is As relative is over To the and remain albeit pricing a history pricing the to levels improve. to at clear, years. be likely of persist, of line inflation top volume continues expected than last more part moderates to couple recent to equation,
top volume and flexibility on and reinvestment our supporting Simultaneously, line between mix be balancing flow-through. will by focus future earnings margin growth
and how where elasticity shop. The are frame category and we and with demand consumer macro our closely how health, me healthy strategy and assess manageable. take Even remains back consumer environment. in they step calibrating a portfolio so, Let the is our consumers resilient
any delivery in pandemic-related resonate For and normalized. and value-oriented well has have e-commerce channels other convenience would and to services after instance, accelerated uplift growth club the of while continues pickup
hit important innovation to responsive dimension, price key is and increasingly package points and and offer convenience. sizes another but that value price high-quality architecture that multipacks pack activation, and remain including Consumers smaller
and some which margin, households see we to migration essential middle meal at-home towards the income coffee. CSDs also should lower occasions, categories benefit like beverage of and On our more
against all-weather seamlessly meet well backdrop, and growth thanks positioned occasions Our the all why ability capabilities. across service need business to the at made is portfolio as channels our The compelling internal a to model. across beverage and beverage to we heart more formed those significantly this then, the modern this is Since states grew all reach progress consumer even strengthen we've of company. we
our distribution very coffee online strong particularly broad-based the scaled is also side. in-market a on yet forward, prowess with Looking business, enjoy across execution retail we
has Our points format innovation price as value and and captures low beverages. the packaging a as and It news. product, received trade of by well and calorie premium well been pipeline XXXX robust no and indulgent spans combination
also nimbly entirety capabilities. to strong across We continue our leveraging of including by the price management mix portfolio, our
a the resilient short, is line mix levers. price through KDP positioned consumer In to combination top volume, of and but growth is drive and attractive choiceful
growth our our our by and build grow distribution an successful and us powerful XX nearly our out. across enables industry, million commercial of and R&D through the on American is on Our to beverage us focus Keurig and further system, with increasingly high-value share in assets, distribution with and model strategy. beverages portfolio strong combination winning base enhanced our exclusive unparalleled This cold categories seek an counterparts the a using KDP's who begins M&A and rests business North multichannel twin gain installed It partnerships active out system. base which DSD, households backbone, including
today cycle of growth, on that with growing through returns and When partnership a investment of we investment. fill in our spaces, virtuous as category Electrolit, fuels the white announcement such
get store our expands, and Drop our investment get we in enables consumer portfolio anew. our capabilities growth tighten. stronger. This cycle commercial service As scale bigger, new further gets our begins the impactful, sizes and merchandising frequently more more brand and that household relationships and each to
in In our years. over at all but Refreshment XX% Beverages, beginning in U.S. X quarters least XXXX. outperformed of business consistently of have our share this multiple growing proven since the We dollar we model have categories,
such XX ready-to-drink in and hydration, spaces very months We today's multiple the a capital-efficient achieved within energy sports manner. as also entered were all announcement, strategic coffee, past white after
ahead with and economics The are increasingly both and term, where attractive. growth The and are long our brands. our evident path relationships are growth and is latter, owned strategic partner mix positive,
Coffee, the beyond within category. the coffee our are continued and gain steadily of ready-to-drink we strategy coffee, K-Cup share important with total single-serve to time, format. this Keurig's encompass leadership segment expanding of and the has position same to coffee cementing At iced, forms other at-home
margin. similar Beverages local Refreshment in well a as And as coffee approaching and a in billion mid-XXs our $X Canada experienced strategies and deeply Mexico, we business with to leveraged build teams across business operating revenue, have combined
International As a scaled contributor with become segment to ahead. overall result, a portfolio the significant growth our has runway
CSD quarter. building detail out Beverages, is the I'll with of successful momentum earlier Dr our QX, played in healthy. to greater the iconic cream of marketing category in U.S. now briefly strawberries Refreshment Pepper strategy Sudhanshu on this with campaign. guidance. year, the Fansville the and XX% business a of sixth in season how with follow and In discuss business outpaced growth
saw commands also in where brands and sparkling Other #X Squirt now Polar's volume Dry water, the Canada gains. position. momentum -- it such as And share continued
work partnership waters traction we've CORE, do from and in with particular, is in U.S. undergoing seeing year. CORE with Evian restage great in drivers our including significant That portfolio premium still remains elsewhere said, to and reformulation with gymnastics. strong next buy, a the
KDP share CX's partnership is strong very market Nutrabolt and earned taken QX, has the well. In proceeding on regions of Importantly, while where velocities brand's remain those control CX with display accelerated our route-to-market. across
the is in where tremendous only CX rollout room potential. X%, as market share in its we first significant Even and CX have future continues KDP's for growth energy, year, has
the growing unique customer sports for portfolio brand are announcement its a to we With Electrolit foothold, important product heritage strong is has mix space loyal a white and attributes, another large scientific extending and hydration KDP. regional the Electrolit accretive base. extremely quickly that established thanks category, today, into our
scale to it and sports Electrolit U.S. appeal over-indexes generates good that X potential. is than popularity consumers. in extends has multicultural the Electrolit The in broad market U.S. but and brand past Hispanic with over years, where upside a tenfold leader increase today Though $XXX the representing than sales, retail in significant more Mexico, more has million already the in hydration enjoys the
commercial are We breadth parent distribution with Grupo partner enhance expertise PiSA, depth retail. and and KDP's company, across Electrolit's excited U.S. the expand while to further the position at to leveraging to also brand's the all channels in brand's meaningfully
our business. and extending halo of portfolio entered CX, having months, the these positive With growth XX Electrolit have while increased Colombe rest we last on the of the over a La potential each for meaningfully brands our
incorporating For in scale is convenience by I XX% and a cycle example, continue approximately few these the our providing described This entirety that total will portfolio. the and benefits volume ago KDP's across will to fuel just efficiency stores brands, virtuous of success. chain which minutes increase our after
address the category fronts, our at-home turn. driving half coffee on progress in gradually is of U.S. back let's Turning to improvement coffee, margin both focused where each context now segment visible in on volumes. improving With
start the improvement. with I'll margin segment
meaningfully margins We income, than in short-term strong do sequentially with our objective improved to category have and we a deliver began QX, trends. the segment against we in year-over-year. control greater a both operating ability to with which inflection and
expect to delayed continue. partner margin improvements that it pricing the We we has. brands, flow said Importantly, and would our through previously
pricing across commodity strengthened bottom and any enhancing Plus, even to now inflation reinvestment. building and across significant visibility segment, these the the long-term is not our to ongoing lag to headwinds are pricing the with do and grow continuing protocols recur in now between have moderating expect future. line We productivity cost the partnerships
category points still volume trends of growth volume accelerated is the QX, but Moving Though are XXX pace recovery broader gradual. coffee From relative by about QX in modestly to channels. to QX lower measured the category performance. across strengthened volumes basis to At-home year-over-year. admittedly category
which Keurig's ago, both QX. comprehensive approximately measured our to will proving flat channels, market to continues the was These gain green is them in share X% from down spanning approximately compatible consumption share pod QX as data, and indicating continue and a coffee untracked Single-serve are volume we at-home more nurture single-serve with leader. encouraging, year versus of proprietary shoots that
price in lean promotions saw we to the the the ecosystem. category, the share begin aggressively into resulting During quarter, shifts some in in various brands competitors across more single-serve our
participate manufacture of U.S., compatible Keurig label As to partner all and branded changes we tend the private brands pods occur a reminder, in because we and XX% even our as share nearly licensed brands conditions operating changing the around manage our licensed intend our and brands. Nevertheless, price and to must us. owned and category gaps the nimble within to owned we responsibly between stay
to margins segment surgically as we to recent price respond activity, expect in choose QX. the accelerate Importantly, to we
not do consumer lean also activity which into competitive We pricing that emerging trends. and at-home far know meaningfully coffee responsive to accelerate buying, high-quality more category we to influence expect the are activities choice
KDP leader, single-serve always increased and will innovation, renovation the have usage with penetration continue category our consumers. to expansion As households we growth drive that among build existing through and new white space as
With multiyear opportunity ahead. drinking Keurig are which home, at using XX XX is coffee U.S. brewers, of than million significant actively million there households fewer a
to XXXX, continue we ice like expanded new pursue that consumables varieties growth refreshers. cold through will and brew,
licensed across La new marketing collaborations and brewers, K-Cup starting by and ship QX, supported our all activity, Colombe, begins owned ready-to-drink strong way, brand like brands which, the significantly in activation in New exciting and by in to including new brands. innovation format
Moving QX, and digits performed margin our and impressive well. again, in growth continued performance Both double on Beverages expansion. once in to segment Coffee revenue Refreshment which businesses our remained with International
and blast growth. that alcohol we RTD ready-to-drink generated are growing, velocity share contributing significant distribution from the consumer alcohol the vodka-based as ATP to demand. Tahitian and and exceptional a and past, Canada, segment no built gained Treat is
Squirt brands, leveraging invest. a In which go-to-market both we rate, double-digit behind strong capabilities continue and at Mexico, and our grew powerhouse our to Penafiel DSD
Mexico, through these assets. In across we partnerships have we and our leverage like in both core as ahead distribution portfolio significant growth potential unique the U.S.,
profile generation of example we another broader are with and announcement KDP's reach enablers yet growth of highly a strong our today's market in Electrolit balance grow our powerful cash sheet manner. and strategy capital-efficient portfolio can how
be can approach policy financial our result, dynamic. a and flexible As
shareholders. furthering supplier our year, are X.X% announced some deploying of record Simultaneously, our our we in dividend flow we dividend income program. to annual a regularly reduce our This of strategically growing track increase financing our for cash
the when With our value business the having we buyback KDP we over repurchased million share in of shares on compelling in see substantial flexibility to already $X billion XX last years, stock remaining lean we and know X have over opportunistically authorization best.
results consistent up, third against another commitments. of our Wrapping represented our quarter period delivery
and and and growth line in we reinvested differentiated top was capabilities. our strong brands resilient Our
proof also U.S. visible in results. recovery margin points achieved gross progress, as margin quarter and in important our We journey our in this segment consolidated Coffee
results adjusted EPS our outlook XXXX to QX X%. Our currency and growth to X% enhanced for net visibility to X% growth of sales unchanged provide constant X% of
We expect aspiration out lending to to in of composition having improved to significantly profile, algorithm further our support XXXX. close XXXX our be on earnings
it now over I'll Sudhanshu. turn to