Traeger Q4 Revenue Falls 14% as Project Gravity Delivers $20M Savings
Traeger’s Q4 revenue dropped 14% to $145 million and grills revenue fell 22% to $61 million, yet adjusted EBITDA climbed 6% to $19 million on reduced expenses. Traeger achieved $20 million in Project Gravity savings in fiscal 2025 and guided 2026 revenue of $465M–$485M with $50M–$60M EBITDA.
1. Q4 and Full-Year Performance
In Q4, Traeger generated $145 million in revenue, down 14% year-over-year, with grills sales falling 22% to $61 million due to elasticity, mix shifts and a tough comparison. Fourth-quarter gross margin was 37.4%, or 39.5% adjusted for $3 million of Project Gravity costs, while adjusted EBITDA rose 6% to $19 million. For fiscal 2025, revenue reached $560 million, exceeding the high end of guidance, and adjusted EBITDA totaled $70 million.
2. Project Gravity Savings
Traeger’s multi-year Project Gravity initiative delivered $20 million in run-rate cost savings in fiscal 2025, surpassing the $13 million target. The company now expects total run-rate savings of $64 million–$70 million across both phases and anticipates about $50 million of adjusted EBITDA benefit from Project Gravity in 2026.
3. 2026 Guidance and Outlook
For fiscal 2026, Traeger guided revenue of $465 million to $485 million and adjusted EBITDA of $50 million to $60 million. Management described 2026 as a foundational year focused on channel optimization, inventory normalization and tariff-related pricing actions to protect profitability.