Business
Freshpet, Inc. Reports First Quarter 2022 Financial Results
Delivers Strongest Quarterly Growth Since Going Public in 2014Announces Enhanced Capacity Plan that Delivers Greater Capital Efficiency and Incremental
About this update from Freshpet, Inc.
[{"type":"text","content":"Delivers Strongest Quarterly Growth Since Going Public in 2014Announces Enhanced Capacity Plan that Delivers Greater Capital Efficiency and Incremental Capacity SECAUCUS, N.J., May 02, 2022 (GLOBE NEWSWIRE) -- Freshpet, Inc. (“Freshpet” or the “Company”) (Nasdaq: FRPT) today reported financial results for its first quarter ended March 31, 2022. First Quarter 2022 Financial Highlights Compared to Prior Year Period Net sales of $132.2 million, an increase of 41.5%Net loss of $17.5 million, compared with prior year net loss of $10.9 millionAdjusted EBITDA of $5.1 million, compared to prior year of $7.8 million 1 \"Our Q1 results demonstrate that we are a much more resilient company today than we were one year ago. The investments we made in our workforce and buffer capacity enabled us to overcome the challenges presented by Omicron, industry-wide supply chain disruptions, and our ERP conversion - and still deliver Freshpet's strongest quarterly net sales growth rate (41.5%) since the Company went public in 2014,\" commented Billy Cyr, Freshpet's Chief Executive Officer. \"We are now extending that same conservative planning and aggressive action approach to our long-term capacity expansion plan. Our updated capacity plan delivers incremental capacity, expanded capacity and greater efficiency than the previous plan. This will ensure that Freshpet continues to fulfill its mission of changing the way people nourish their pets forever.\" First Quarter 2022 Net sales increased 41.5% to $132.2 million for the first quarter of 2022 compared to $93.4 million for the first quarter of 2021. Net sales for the first quarter of 2022 were driven by velocity, pricing, distribution gains and innovation. Gross profit was $44.8 million, or 33.9% as a percentage of net sales, for the first quarter of 2022, compared to $36.3 million, or 38.9% as a percentage of net sales, in the prior year period. For the first quarter of 2022, Adjusted Gross Profit was $55.4 million, or 41.9% as a percentage of net sales, compared to $43.6 million, or 46.7% as a percentage of net sales, in the prior year period. The decrease in gross profit as a percentage of net sales and Adjusted Gross Profit as a percentage of net sales was primarily due to increased cost at Freshpet Kitchens as a result of our wage increase plan, investments as we grow into capacity, inflation of...