Celsius (NASDAQ:CELH – Get Free Report) released its earnings results on Thursday. The company reported $0.41 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.34 by $0.07, FiscalAI reports. Celsius had a return on equity of 36.52% and a net margin of 4.24%. The business had revenue of $847.23 million for the quarter, compared to analyst estimates of $800.63 million. During the same quarter in the prior year, the company posted ($0.27) earnings per share. Celsius’s revenue was up 16.8% on a year-over-year basis.
Here are the key takeaways from Celsius’ conference call:
- Third-quarter revenue rose 17% to approximately $847 million, led by Alani Nu’s record $410 million in net sales. Alani Nu’s retail sales grew 58%, core retail sales excluding Witch’s Brew grew about 50%, and non-U.S. revenue increased 56%.
- Brand CELSIUS remained weak, with retail sales down about 7% and net sales down about 6% year over year. Management expects the brand to return to growth in 2027, citing planned innovation and continued work on the core portfolio.
- Rockstar showed signs of stabilization: continuing SKUs were within about 1% of prior-year retail sales, and dollars per point of distribution improved about 14% sequentially. However, total retail sales were still down about 13% year over year, and management did not forecast a return to growth yet.
- Gross margin fell to 46.8%, from 51.3% a year earlier, as higher aluminum and diesel costs offset operational improvements. The company expects full-year gross margin in the high 40s and said margin recovery may take longer than previously anticipated.
- Management expects fourth-quarter reported revenue growth to be below the first three quarters, citing $20–$25 million of shipments pulled forward into Q3, a difficult prior-year comparison, and higher trade investment. It characterized these as timing and comparison effects rather than a sign of weaker underlying demand.
Celsius Stock Performance
Shares of NASDAQ CELH traded up $2.12 during mid-day trading on Friday, reaching $32.16. 8,187,595 shares of the company were exchanged, compared to its average volume of 5,140,359. The stock has a market capitalization of $8.14 billion, a P/E ratio of 35.73, a P/E/G ratio of 2.16 and a beta of 1.00. The company has a quick ratio of 1.42, a current ratio of 1.80 and a debt-to-equity ratio of 0.56. The company’s 50-day simple moving average is $28.75 and its 200-day simple moving average is $34.13. Celsius has a twelve month low of $23.56 and a twelve month high of $59.31.
More Celsius News
Here are the key news stories impacting Celsius this week:
- Positive Sentiment: Third-quarter earnings were $0.41 per share versus $0.34 expected, and revenue of $847.2 million topped the $800.6 million consensus estimate, rising 16.8% year over year. Alani Nu and international sales helped drive growth. CELH Q3 Earnings Top Estimates as Alani Nu Drives Revenue Growth
- Positive Sentiment: The company is targeting longer-term growth through a new three-brand operating structure and expects non-U.S. revenue to exceed 15% of total revenue within five years. Celsius outlines international revenue goal and new brand-led units
- Neutral Sentiment: Analyst target changes were mixed: Needham raised its target to $40, while B. Riley and Stifel lowered theirs to $53 and $36, respectively, even as B. Riley reaffirmed its Buy rating. Stifel lowers Celsius price target
- Negative Sentiment: Flagship CELSIUS brand weakness, commodity inflation and margin pressure temper the strong sales report and could complicate the company’s recovery plans. CELH Q3 Earnings Call Highlights Alani Nu Growth and Margin Pressure
Insider Activity at Celsius
In related news, Director Damon DeSantis purchased 20,000 shares of the firm’s stock in a transaction that occurred on Monday, September 14th. The shares were acquired at an average price of $27.65 per share, for a total transaction of $553,000.00. Following the purchase, the director owned 2,712,187 shares in the company, valued at approximately $74,991,970.55. This represents a 0.74% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Hal Kravitz purchased 12,000 shares of the stock in a transaction on Tuesday, September 15th. The stock was bought at an average cost of $28.00 per share, for a total transaction of $336,000.00. Following the completion of the acquisition, the director owned 239,158 shares in the company, valued at approximately $6,696,424. This trade represents a 5.28% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. In the last 90 days, insiders have purchased 66,000 shares of company stock worth $1,830,120. Insiders own 2.33% of the company’s stock.
Wall Street Analysts Forecast Growth
CELH has been the topic of several recent analyst reports. Stephens lowered their price target on Celsius from $65.00 to $50.00 and set an “overweight” rating on the stock in a research report on Monday, August 10th. Wall Street Zen upgraded Celsius from a “sell” rating to a “hold” rating in a research note on Sunday, October 4th. TD Cowen cut their price objective on Celsius from $41.00 to $35.00 and set a “buy” rating for the company in a report on Tuesday, October 13th. Roth Capital reissued a “buy” rating and issued a $48.00 price objective on shares of Celsius in a report on Friday, August 7th. Finally, Piper Sandler reissued an “overweight” rating and issued a $36.00 target price on shares of Celsius in a research note on Monday, August 24th. Fourteen equities research analysts have rated the stock with a Buy rating, six have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $42.39.
Read Our Latest Stock Analysis on CELH
About Celsius
Celsius Holdings, Inc (NASDAQ: CELH) develops, markets and distributes functional beverages designed to support active lifestyles. Its flagship CELSIUS brand offers carbonated and non-carbonated energy drinks, including products positioned around energy, fitness and wellness. The company also markets CELSIUS Essentials, CELSIUS Vibe and powdered drink mixes, with product formulations that commonly feature ingredients such as caffeine, vitamins and other functional components.
Founded in 2004, Celsius has expanded from a niche fitness beverage business into a broader energy-drink platform.
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