Celsius (NASDAQ:CELH) Posts Earnings Results, Beats Expectations By $0.12 EPS

Key Points

• Celsius beat Q1 expectations, reporting adjusted EPS of $0.41 versus $0.29 expected and revenue of $782.6 million versus $763.1 million expected. Revenue jumped 137.7% year over year, highlighting strong demand.
• Management pointed to record performance and growth drivers, including Alani Nu and Rockstar Energy helping boost sales and market share. The company said its portfolio dollar share reached 20.9% in tracked U.S. channels.
• Profitability improved, but margin pressure remains a risk, with GAAP net income of $110 million and adjusted EBITDA of $195 million. Celsius warned that higher aluminum and freight costs could slow its return to low-50s gross margins.

Celsius (NASDAQ:CELH - Get Free Report) announced its quarterly earnings results on Thursday. The company reported $0.41 EPS for the quarter, beating analysts' consensus estimates of $0.29 by $0.12, FiscalAI reports. The company had revenue of $782.62 million during the quarter, compared to analyst estimates of $763.08 million. Celsius had a return on equity of 37.68% and a net margin of 4.29%.The firm's revenue was up 137.7% on a year-over-year basis. During the same period in the prior year, the company earned $0.18 earnings per share.

Here are the key takeaways from Celsius' conference call:

• Record Q1 revenue of $783 million and portfolio dollar share reached 20.9% (4 weeks ending April 12), meaning roughly one in five U.S. energy drinks in tracked channels is a Celsius portfolio product.
• Completed the Alani Nu integration and captured approximately $50 million of synergies; Alani reported net sales of $368 million in Q1 (pro forma growth ~60% YoY; scanner growth ~85–100%).
• Profitability strengthened with GAAP net income of $110 million, adjusted EBITDA of $195 million and adjusted EBITDA margin of 24.9%, and management reiterates a path toward low‑50s gross margin over time.
• Company flagged rising input costs — notably the LME and Midwest aluminum premium, plus elevated freight — saying sustained commodity pressure could delay the timing of margin expansion back to the low‑50s.
• Returned capital via buybacks — repurchased ~700,000 shares for $24.1 million in Q1 and have ~$236.1 million remaining under the $300 million repurchase authorization.

Celsius Trading Down 5.8%

Shares of CELH traded down $1.97 during midday trading on Friday, hitting $32.29. The stock had a trading volume of 13,594,755 shares, compared to its average volume of 6,266,305. Celsius has a 1 year low of $31.80 and a 1 year high of $66.74. The firm has a market cap of $8.30 billion, a PE ratio of 129.16, a price-to-earnings-growth ratio of 1.31 and a beta of 0.95. The company has a debt-to-equity ratio of 0.57, a current ratio of 1.68 and a quick ratio of 1.37. The stock's 50 day moving average is $38.58 and its 200 day moving average is $45.09.

Key Headlines Impacting Celsius

Here are the key news stories impacting Celsius this week:

• Positive Sentiment: Celsius reported Q1 EPS of $0.41 versus $0.29 expected and revenue of $782.6 million versus $763.1 million expected, signaling stronger-than-forecast demand. Article title
• Positive Sentiment: Management said first-quarter revenue was a record, with Alani Nu and Rockstar Energy helping drive triple-digit sales growth and expand category share. Article title
• Positive Sentiment: Analysts and commentary highlighted improving fundamentals, including healthier underlying growth, market-share gains, and margin stabilization after prior-quarter pressure. Article title
• Positive Sentiment: Investors also responded to signs that integration benefits from PepsiCo distribution and acquisition synergies could support margin recovery later this year. Article title
• Neutral Sentiment: The company announced upcoming investor conference participation, which is routine and does not by itself change the operating outlook. Article title
• Neutral Sentiment: Unusual call-option buying suggested traders are positioning for further upside, but this is a market signal rather than fundamental news. Article title

Hedge Funds Weigh In On Celsius

Hedge funds have recently added to or reduced their stakes in the company. Quadrant Capital Group LLC lifted its stake in Celsius by 1.3% in the third quarter. Quadrant Capital Group LLC now owns 18,459 shares of the company's stock worth $1,061,000 after purchasing an additional 238 shares during the last quarter. UMB Bank n.a. raised its holdings in shares of Celsius by 14.2% in the fourth quarter. UMB Bank n.a. now owns 2,049 shares of the company's stock worth $94,000 after buying an additional 254 shares during the period. Blue Chip Partners LLC raised its holdings in shares of Celsius by 2.4% in the second quarter. Blue Chip Partners LLC now owns 11,701 shares of the company's stock worth $543,000 after buying an additional 271 shares during the period. Orion Porfolio Solutions LLC lifted its stake in shares of Celsius by 7.5% during the 4th quarter. Orion Porfolio Solutions LLC now owns 5,425 shares of the company's stock worth $248,000 after acquiring an additional 378 shares during the last quarter. Finally, FAS Wealth Partners Inc. lifted its stake in shares of Celsius by 10.2% during the 4th quarter. FAS Wealth Partners Inc. now owns 4,613 shares of the company's stock worth $211,000 after acquiring an additional 428 shares during the last quarter. 60.95% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of research firms have recently commented on CELH. TD Cowen lowered their target price on Celsius from $66.00 to $55.00 and set a "buy" rating for the company in a research report on Monday, April 20th. Morgan Stanley reiterated an "overweight" rating and set a $55.00 price objective (down from $64.00) on shares of Celsius in a research report on Friday. Needham & Company LLC boosted their target price on shares of Celsius from $70.00 to $75.00 and gave the stock a "buy" rating in a report on Friday, February 27th. Bank of America raised shares of Celsius from an "underperform" rating to a "buy" rating and set a $65.00 price target for the company in a report on Friday, February 27th. Finally, Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and issued a $44.00 price target on shares of Celsius in a research report on Friday. Twenty analysts have rated the stock with a Buy rating and four have given a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $63.89.

About Celsius

Celsius Holdings, Inc is an American beverage company known for its line of fitness and energy drinks formulated to support active lifestyles. The company's flagship product, the Celsius® brand, features beverages enhanced with ingredients such as green tea extract, guarana seed extract and essential vitamins, positioned as a functional alternative to traditional energy drinks. These products are designed to deliver a blend of ingredients that support metabolism and sustained energy without high sugar content or artificial preservatives.

In addition to its core carbonated drink portfolio, Celsius has expanded its offerings to include powder mixes and non-carbonated ready-to-drink variants, catering to consumer preferences around taste, convenience and nutritional needs.

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