Celsius Holdings Q2 revenue misses estimates
CELH•Outlook
- Company expects margin expansion initiatives to be partially offset by rising commodity costs
- Celsius Holdings anticipates realizing more benefits from recent acquisitions as integration progresses
Overview
- US functional beverage firm's Q2 revenue rose 11% yr/yr but missed analyst expectations
- Adjusted diluted EPS for Q2 fell 23% yr/yr
- Company repurchased about $100 mln in shares during the quarter
Result drivers
- ALANI NU PERFORMANCE - Strong consumer demand, expanded distribution and new flavor launches drove Alani Nu sales
- CELSIUS BRAND DECLINE - CELSIUS brand revenue fell 11.7% yr/yr due to increased promotional investment, inventory rebalancing, reduced innovation and SKU optimization
- GROSS MARGIN PRESSURE - Gross margin fell due to higher promotional and incentive activity and channel mix, partially offset by integration improvements and lower transition costs
Key details and analyst coverage
| Metric | Beat/Miss | Actual | Consensus Estimate |
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