Business
The Vita Coco Company Reports Third Quarter 2023 Financial Results
Third Quarter Net Sales Increased 11% to $138MM; Year-To-Date Net Sales Grew 15% Third Quarter Gross Margin of 41%, an Improvement of Over 1,400 Basis Points
About this update from The Vita Coco Company, Inc.
[{"type":"text","content":"Third Quarter Net Sales Increased 11% to $138MM; Year-To-Date Net Sales Grew 15% Third Quarter Gross Margin of 41%, an Improvement of Over 1,400 Basis Points Over 2022 Company Raises Full Year Net Sales and Adjusted EBITDA(1) Guidance Company Announces $40MM Share Repurchase Program NEW YORK, Oct. 31, 2023 (GLOBE NEWSWIRE) -- The Vita Coco Company, Inc. (NASDAQ: COCO) (“Vita Coco” or the \"Company”), a leading high-growth platform of better-for-you beverage brands, today announced financial results for the third quarter ended September 30, 2023. Third Quarter 2023 Highlights Compared to Prior-Year Period Net sales grew by 11% to $138 million driven by strong 8% net sales growth and 5% volume growth of Vita Coco Coconut Water which continues to be the largest contributor to growth on a consolidated basis.Gross profit was $56 million, or 41% of net sales, an increase of $24 million as compared to 26% of net sales in the prior-year period with the improvement driven by lower year-over-year transportation costs, net sales growth and higher Vita Coco Coconut Water pricing.Net income was $15 million, or $0.26 per diluted share, compared to $7 million, or $0.13 per diluted share. Net income benefited from strong net sales growth and gross margin improvement resulting primarily from decreased transportation costs, partially offset by increased investments in sales, general and administrative (\"SG&A\") and a mark-to-market adjustment in foreign currency hedges.Non-GAAP Adjusted EBITDA1 was $27 million, compared to $12 million in the prior-year period, up $15 million due to improvements in gross profit partially offset by increased SG&A spending. 2023 Year-To-Date Highlights Compared to Prior-Year Period Net sales grew 15% to $387 million driven by strong 16% net sales growth and 13% volume growth of Vita Coco Coconut Water which continues to be the largest contributor to growth on a consolidated basis.Gross profit was $141 million, or 36% of net sales, an increase of $60 million as compared to 24% of net sales in the prior-year period, with the increase driven primarily by lower year-over-year transportation costs, net sales growth and increased Vita Coco Coconut Water pricing.Net income was $40 million, or $0.68 per diluted share, compared to $11 million, or $0.19 per diluted share, in the prior-year period with the increase driven by ...