Once Upon a Farm Shares Soar 17% on $198M IPO, Valued near $900M
Once Upon a Farm priced its IPO at $18 and jumped to $21.14 for a 17% gain, raising $198 million and securing a near $900 million valuation. It generated $202 million in sales for the year ended June 30, 2025 with 64.6% CAGR since 2018 and 40–44% gross margins.
1. IPO Launch and Market Debut
Once Upon a Farm priced its IPO at $18 per share and saw its stock jump to $21.14 on its first day, delivering a 17% gain. The offering raised $198 million and established a market valuation near $900 million.
2. Rapid Sales Growth and Healthy Margins
The company reported $202 million in net sales for the 12 months ended June 30, 2025, achieving a 64.6% compound annual growth rate since 2018. It sustained gross margins between 40% and 44%, reflecting strong pricing power for its organic baby-food pouches.
3. Proprietary Cooler Network Creates Moat
Once Upon a Farm has deployed 2,800 branded coolers at major retailers, generating an annual run-rate of $10,500 per unit and driving approximately 61% incremental growth in the baby-food category. This cold-chain infrastructure secures premium shelf space and deters competitors from entry.
4. Strategic Investments and Global Expansion
IPO proceeds are earmarked for slotting fees, research and development and debt reduction to fund product line growth and supply-chain improvements. The company is expanding beyond baby food with new refrigerated snacks and planning a UK market entry in March 2026 to broaden its addressable market.