Vital Farms, Inc. · NASDAQ:VITL
Vital Farms — Q2 2025 Earnings Presentation
25 slides from Vital Farms's earnings presentation, Aug 7, 2025
Slide 1: Vital Farms, Inc. August 2025 Corporate Presentation
Vital Farms, Inc. (Nasdaq: VITL) • August 2025 Corporate Presentation
Slide 2: Reporting Disclaimer
Reporting Disclaimer This presentation contains, in addition to historical information, certain “forward-looking statements” (within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended), that are based on our curren
Slide 3: Bird of the Quarter
BIRD OF THE QUARTER Adorable Alice’s sweet clucks echo through the pasture, creating a joyful melody for all to hear. —
Slide 4: Our values are rooted in Conscious Capitalism
Our values are rooted in Conscious Capitalism CKHOLDER TO We operate a S S STAKEHOLDER MODEL that prioritizes the long-term benefits of each Y & ENVIRO RS & CONS NIT ME of our stakeholders UM COMMU TO NM ERS CUS ENT Our approach has been validated by our designation as a CERTIFIED B CORPORATION, FA
Slide 5: We have developed an alternative to factory farming practices
We have developed an alternative to factory farming practices Year-Round Production Our Framework LIVING OPEN AIR, 108 SQUARE CONDITIONS FEET PER HEN OMNIVOROUS, FEED INCLUDING GRAIN, PLANTS, INSECTS LAND SUSTAINABLE PRACTICES MANAGEMENT DIRECT RELATIONSHIPS NETWORK WITH FAMILY FARMS 5
Slide 6: Our model allows us to deliver quality at scale
Our model allows us to deliver quality at scale Network of more than National Distribution 500 family farms (Products more than 23,500 Retail Stores) WE EGG CENTRAL WE DELIVER AGGREGATE DIRECTLY TO PRODUCTS STATION CUSTOMERS FROM FARM Springfield, MO AND THROUGH RETAIL NETWORK WASH, GRADE, PACK, DIS
Slide 7: Performance Charts
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Slide 8: We are aiming to deliver $1 billion in net sales by 2027
We are aiming to deliver $1 billion in net sales by 2027 NET REVENUE $1 Billion GROSS MARGIN ~35% ADJUSTED 12% to 14% of Net Revenue EBITDA MARGIN Note: These metrics are management goals only and are subject to a number of risks and uncertainties, including risks described in the "Risk Factors" in
Slide 9: We believe we are on track to deliver the long-term targets
We believe we are on track to deliver the long-term targets • Egg supply is growing at an accelerated pace – farm recruiting is not currently a constraint • Consumer awareness, household penetration and buy rate are all increasing • Distribution and velocity are both expanding • Our market share gro
Slide 10: Acceleration of laying hens under contract is a strong indication of future volume growth
Acceleration of laying hens under contract is a strong indication of future volume growth (w/ 5 quarter lag) Contracted Laying Hens vs. Vital Farms Reported Volume (EQ Units) 5 Quarter Lag We expect 11M 9.0M hens needed to achieve $1bn revenue target 36.4M 1.1M 13.1M Q4'21 Q1'26 Q1'20 Q2'20 Q3'20 Q4
Slide 11: We continue to have a strong farmer pipeline and available space
We continue to have a strong farmer pipeline and available space to continue the supply expansion We have a strong pipeline of farmers We are currently occupying only a very small fraction interested in working with Vital Farms of existing farmland 8x Missouri alone has 27 million acres of farmland.
Slide 12: Consumer metrics continue to improve; household penetration is growing
Consumer metrics continue to improve; Household penetration is growing, buy rate on an upward trend Shell Egg Household Penetration Shell Egg Brand Aided Awareness (Millions of Households) Shell Egg Buy Rate $38.96 $37.80 $34.62 Comp A not to scale Comp A not to scale 31% 13.9 12.2 $27.19 26% $24.87
Slide 13: To meet growing consumer demand, we are expanding our distribution
To meet the growing consumer demand, we are expanding our distribution Vital Farms Total Average Items Selling (AIS) Vital Farms Eggs Average Items Selling (AIS) MULO+ Channel MULO+ Channel 3.4 2.6 TDPs: TDPs: 136 189 2.3 3.3 3.1 Convenient breakfast introduction and 2.0 discontinuation 1.8 2.9 Butt
Slide 14: Sales velocity is also increasing: retailers want new items
While we are increasing our distribution on shelf, sales velocity is also increasing: Retailers want new items Vital Farms Eggs $ per Average Items Selling (AIS) MULO+ Channel $/AIS: +68% $246 AIS: +78% 2.6 $/AIS: $147 AIS: 1.4 Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22
Slide 15: Private Label is expanding the pasture raised category but not sourcing growth from brands
Private Label is expanding the pasture raised category but not sourcing its growth from branded products Vital Farms shell egg volume share gains far Private Label is growing, outpace Private Label gains but not stealing from other brands Volume Share of Shell Eggs Total US Food Vital Farms Private
Slide 16: Long term targets only included volume growth but results also benefited from price/mix
Long term targets only included volume growth but recent results have also benefited from price/mix Vital Farms: 20 quarters of volume and revenue growth since IPO 70% 60% 50% 40% 30% 20% 10% 0% -10% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2020 2020 2020 2020 2021 2021 2021
Slide 17: Financial Update
Financial Update
Slide 18: Q2 2025 Key Financial Metrics
Q2 2025 KEY FINANCIAL METRICS Net Revenue Gross Margin Adj. EBITDA Diluted EPS $185M 38.9% $30M $0.36 +25.4%* (28)bps* 28.7%* (0.3)%* * Compared to prior year period. 18
Slide 19: Financial Summary Highlights: Q2 2025 Update
Financial Summary Highlights: Q2 2025 Update Highlights Financial Performance • Net Revenue increased 25.4% to $184.8 million in Q2 ($ thousands) Q2'25 Q2'24 % Change $ Change 2025 versus Q2 2024. The increase in net revenue Net Revenue $ 184,767 $ 147,388 25.4% 37,379 was driven by price/mix benefi
Slide 20: Financial Summary Highlights: Net Revenue Growth
Financial Summary Highlights: Net Revenue Growth Q2 ‘25 Net Revenue Growth Highlights Net Revenue by product segment ($ Millions) Growth Rates • Net revenue for Q2 2025 was $184.8 Q2 '24 Q2 '25 million, compared to $147.4 million for Q2 Eggs 27% 25% 2024, representing growth of 25.4%. +25.4% Butter
Slide 21: Financial Summary Highlights: Margin Performance
Financial Summary Highlights: Margin Performance Highlights Gross profit and margin Operating Expenses • Gross profit increased $14.1 million in Q2 Gross Margin SG&A as a % of Net Revenue 2025 versus Q2 2024, driven by greater net revenue from higher volume, increased 39.1% 38.9% 22.6% 21.1% pricing
Slide 22: Our updated 2025 guidance keeps us on the path to our 2027 targets
Our updated 2025 guidance keeps us on the path to our 2027 targets At least $770 Million NET REVENUE (Previous Guidance: At least $740 Million) At least $110 Million ADJUSTED EBITDA (Previous Guidance: At least $100 Million) CAPTIAL $90 to $110 Million EXPENDITURES (Previous Guidance: $50 to $60 Mil
Slide 23: We are aiming to deliver $1 billion in net sales by 2027
We are aiming to deliver $1 billion in net sales by 2027 NET REVENUE $1 Billion GROSS MARGIN ~35% ADJUSTED 12% to 14% of Net Revenue EBITDA MARGIN Note: These metrics are management goals only and are subject to a number of risks and uncertainties, including risks described in the "Risk Factors" in
Slide 24: Appendix
APPENDIX
Slide 25: Adjusted EBITDA and Adjusted EBITDA Margin reconciliation
Adjusted EBITDA and Adjusted EBITDA Margin reconciliation 13-Weeks 13-Weeks Ended Ended ($ thousands) 29-Jun-25 30-Jun-24 Net income $ 16,638 $ 16,339 Depreciation and amortization 3,468 3,288 Stock-based compensation expense 3,034 2,916 Provision for income tax 7,893 1,772 Interest expense 218 257