Cott Corp. (TSX:BCB)(NYSE:COT) is a Tampa-based company that manufactures and sells beverages. Some of its top brands include Dr. Pepper, Snapple, Vess, and others. Cott stock was up 0.25% at the bottom of the noon hour on March 2. Shares have dropped 4.4% in 2018 thus far. The company released its 2017 fourth quarter and full-year results on March 1.
In the fourth quarter Cott saw revenue jump 10% to $571 million with impressive coffee volume growth in its Coffee, Tea, and Extract Solutions business. Cott’s route-based services segment also rose 13.6% in the quarter. The company reported a $31 million income tax benefit compared to a $26 million expense in the prior year, due to a $33 million boon after the U.S. Tax Cuts and Jobs Act was enacted. EBITDA increased to $49 million compared to $34 million in the prior year.
For the full-year revenue climbed 40% to $2.27 billion and gross profit rose 33% to $1.12 billion. Cott Corp. also announced that it had entered in to a definitive agreement to acquire Crystal Rock Holdings, Inc., a direct-to-consumer home and office water, coffee, filtration, and supplies delivery business. The transaction is expected to close this month.
Cott also announced a dividend of $0.08 per share representing a 1.5% dividend yield. Shares have climbed 41.7% year over year. Cott continues to be an attractive option as it increases its foothold in direct-to-consumer businesses. It offers a solid dividend and has been a strong growth stock since 2009.
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