Financial Performance - Q2 2024 net revenue decreased 3% to $89.0 million from $91.9 million in Q2 2023[3] - Revenue for Q2 2024 was $89,017,000, a decrease of 3.2% from $91,947,000 in Q2 2023[16] - Total net sales for the three months ended June 30, 2024, were $89,017,000, a decrease of 3.2% compared to $91,947,000 for the same period in 2023[22] - Direct to Consumer sales decreased to $29,970,000 for the three months ended June 30, 2024, down 13.5% from $34,586,000 in the prior year[22] - Wholesale revenue grew 8% year-over-year, reaching $53.8 million in Q2 2024, while Direct-to-Consumer revenue decreased 13.3% to $30.0 million[4] Profitability Metrics - Adjusted EBITDA improved to $8.5 million in Q2 2024, compared to $0.1 million in Q2 2023, marking an increase of $8.4 million[3] - Adjusted EBITDA for the three months ended June 30, 2024, was $8,450,000, compared to $147,000 in the same period of 2023[30] - Operating income improved to $978,000 in Q2 2024, compared to a loss of $13,661,000 in Q2 2023[16] - Net income attributable to BRC Inc. was a loss of $482,000 in Q2 2024, an improvement from a loss of $4,228,000 in Q2 2023[16] - Free Cash Flow for the three months ended June 30, 2024, was $998,000, a significant improvement from a negative $29,984,000 in the prior year[31] Expenses and Cost Management - Marketing expenses increased 5.7% to $7.4 million, representing 8.3% of revenue in Q2 2024[5] - General and administrative expenses decreased 43.5% to $10.9 million, improving efficiency in corporate infrastructure[7] Cash Flow and Liquidity - Net cash provided by operating activities was $7,212,000 in the first half of 2024, compared to a cash outflow of $40,457,000 in the first half of 2023[19] - Free cash flow conversion is projected to remain at 80% for fiscal 2024[8] - Cash and cash equivalents at the end of Q2 2024 were $9,642,000, down from $12,448,000 at the end of 2023[19] Assets and Liabilities - Total current assets decreased to $99,369,000 as of June 30, 2024, down from $107,738,000 at the end of 2023[18] - Total liabilities decreased to $177,728,000 as of June 30, 2024, compared to $189,268,000 at the end of 2023[18] - Long-term debt decreased to $52,450,000 as of June 30, 2024, down from $68,683,000 at the end of 2023[18] Future Outlook and Product Development - The company reiterated full-year adjusted EBITDA guidance of $32 million to $42 million for fiscal 2024[1] - Black Rifle Energy™ RTD is set to launch in Q4 2024, expanding the product line to cater to more customers[1] - The company expects coffee products to be available in almost every significant grocery chain by the end of 2025[2] Subscriber and Store Metrics - DTC subscribers decreased to 201,200 as of June 30, 2024, compared to 239,500 in 2023, representing a decline of 15.9%[23] - The company-owned stores increased to 18 as of June 30, 2024, up from 17 in 2023, while franchise stores rose to 18 from 14[23] Revenue Recognition - The company recognized $11,904,000 in revenue for inventory exchanged for prepaid advertising during the first half of 2024[20] - The wholesale revenue for the three months ended June 30, 2024, was $53,761,000, an increase of 7.5% from $50,010,000 in the prior year[22] Adjusted EBITDA Presentation - The company has modified the presentation of Adjusted EBITDA to include certain legal expenses and cash expenses associated with RTD start-up and production issues starting from June 30, 2023[25]

BRC Inc (BRCC) is a Zacks Rank #1 (Strong Buy) that has a F for Value and an A for Growth. This company makes and ships coffee and associated merchandise. There are a handful of stores in Arkansas but the majority of sales are made online. Let's explore more about this company in this Bull of The Day article. Black Rifle Coffee Company engages in the business of sourcing, processing, manufacturing, packaging, distributing, marketing, and selling coffee and other food and beverage products. It utilizes a thr ...

It's judicious for investors to pick breakout stocks for enticing returns. This method involves zeroing in on stocks whose prices vary within a narrow band. In other words, the demand for a stock is at its lowest at its support level, which means that most traders are willing to sell it. At the resistance level, most traders are willing to go long on the stock, meaning they would like to add it to their portfolio. The key to identifying breakout stocks is to zero in on those on the verge of a breakout or th ...

Fundamentally speaking, rising earnings estimates and the consequent rating upgrade for BRC INC imply an improvement in the company's underlying business. Investors should show their appreciation for this improving business trend by pushing the stock higher. Empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, so it could be truly rewarding if such revisions are tracked for making an investment decision. Here is where the tried-and-tested ...

Perhaps what is singularly impressive about BRC is the fact that it has taken a (let's face it) commoditized and undifferentiated coffce industry and placed a unique brand behind it. The company's founder, Evan Hafer, is a former Green Beret who founded the company in 2015 (and took it public in early 2022, which is a very quick rise from startup to major player). BRC core brand identity (BRC January 2024 Investor Presentation) IN YEAR ONE, WE'VE BUILT A $100M+ FDM BUSINESS One of the biggest growth areas f ...

The Consumer Staples group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Is BRC Inc. (BRCC) one of those stocks right now? A quick glance at the company's year-to-date performance in comparison to the rest of the Consumer Staples sector should help us answer this question. BRC Inc. is one of 192 companies in the Consumer Staples group. The Consumer Staples group currently sits at #5 within the Zacks Sector Rank. The Zacks Sector Rank gau ...

Shares of BRC Inc. (BRCC) have gained 36.2% over the past four weeks to close the last trading session at $5.68, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $7.13 indicates a potential upside of 25.5%. The average comprises six short-term price targets ranging from a low of $4.75 to a high of $11, with a standard deviation of $2.28. While the lowest estimate indicates a decl ...

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though? While the ABR calls for buying BRC INC, it may not be wise to make an investment decision solely based on this information. Several studies have shown limited to no success of brokerage recommendations in guiding investors t ...

For those looking to find strong Consumer Staples stocks, it is prudent to search for companies in the group that are outperforming their peers. Is BRC Inc. (BRCC) one of those stocks right now? By taking a look at the stock's year-to-date performance in comparison to its Consumer Staples peers, we might be able to answer that question. BRC Inc. is one of 191 companies in the Consumer Staples group. The Consumer Staples group currently sits at #6 within the Zacks Sector Rank. The Zacks Sector Rank considers ...

The average comprises six short-term price targets ranging from a low of $4.75 to a high of $11, with a standard deviation of $2.28. While the lowest estimate indicates a decline of 5.9% from the current price level, the most optimistic estimate points to an 117.8% upside. More than the range, one should note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts. While the consensus price target is h ...