Zevia Q2 net sales rise 10.1%, beat expectations
Overview
Zevia Q2 net sales rise 10.1% to $44.5 mln, beating expectations
Adjusted EBITDA turns positive, beating analyst estimates, per LSEG data
Net loss narrows to $0.7 mln
Outlook
Zevia expects Q3 2025 net sales of $38 mln to $40 mln
Company expects 2025 adjusted EBITDA to reflect marketing reinvestment
Result Drivers
VOLUME GROWTH - Net sales increase driven by 14.3% volume growth, largely from expanded distribution at Walmart and drug channel
GROSS PROFIT MARGIN - Improvement in gross profit margin due to lower product costs and better inventory management
SELLING EXPENSES - Reduced selling expenses due to savings in freight and warehousing costs from Productivity Initiative
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Sales | Beat | $44.52 mln | $41.70 mln (5 Analysts) |
Q2 EPS | -$0.01 | ||
Q2 Adjusted EBITDA | Beat | $200,000 | -$2.45 mln (4 Analysts) |
Q2 Gross Profit | $21.69 mln | ||
Q2 Income from Operations | -$1.02 mln | ||
Q2 Operating Expenses | $22.71 mln | ||
Q2 Pretax Profit | -$634,000 |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the non-alcoholic beverages peer group is "buy"
Wall Street's median 12-month price target for Zevia PBC is $5.00, about 34.4% above its August 5 closing price of $3.28
Press Release: