Overview
- Celsius reported adjusted EPS of $0.42 on revenue of $725.1 million, topping estimates, with Alani Nu contributing $332 million to the quarter.
- The company booked $246.7 million in distributor termination costs tied to shifting Alani Nu into PepsiCo’s network, with PepsiCo agreeing to fund the fees.
- Shares fell sharply in Thursday trading, with double‑digit declines reported as investors weighed one‑time charges, leverage and near‑term reporting risk.
- Gross margin rose to 51.3%, adjusted EBITDA reached $205.6 million with a 28.4% margin, and the quarter ended with about $806 million in cash and $861 million in long‑term debt.
- Management cautioned that inventory movements during the PepsiCo transition could affect near‑term reported results, and coverage showed conflicting CELSIUS brand growth figures (13% retail sales vs. 44% organic revenue).