Dr Pepper Snapple Group Inc.'s net income surged to $508 million in the fourth quarter of 2017 from $165 million in the comparable prior-year period due to a $297 million tax benefit stemming from the new U.S. tax law.

Diluted EPS for the quarter that ended Dec. 31, 2017, stood at $2.81, up from 90 cents in the fourth quarter of 2016.

Net sales grew to $1.64 billion for the quarter, compared with $1.58 billion in the same quarter in 2016.

In full-year terms, the company's net income stood at $1.08 billion, or $5.89 per share, in 2017 from $847 million, or $4.54 per share, in 2016.

The completion of the Bai Brands merger Jan. 31 lowered the company's EPS by 26 cents for the year ending Dec. 31, 2017.

Dr. Pepper Snapple on Jan. 29 entered into a merger agreement with Keurig to create the Keurig Dr Pepper beverage conglomerate.