Celsius(CELH) - 2024 Q3 - Quarterly Report

Revenue Performance - Revenue for Q3 2024 was $265.7 million, a 31$384.8 million in Q3 2023, primarily due to inventory optimization and promotional allowances[170] - Revenue for the nine months ended September 30, 2024, was $1,023.4 million, a 5.4$970.6 million in the same period in 2023[178] - Total revenues for the nine months ended September 30, 2024 were $1,023.4 million, a 5$970.6 million in 2023[180] European Market Growth - European revenue increased by 47% to $16.2 million in Q3 2024, driven by successful innovation launches[171][172] - European revenues for the nine months ended September 30, 2024 increased by$15.5 million or 49% to $47.1 million compared to the same period in 2023[179] Gross Profit and Margins - Gross profit decreased by 37$122.2 million in Q3 2024, with gross profit margin dropping to 46% from 50% in Q3 2023[173] - Gross profit for the nine months ended September 30, 2024 increased by $46.6 million or 10$513.5 million, with gross profit margins rising to 50% from 48% in 2023[181] SG&A Expenses - SG&A expenses increased by 30% to 125.4 million in Q3 2024, driven by higher employee costs and marketing investments[174][176][177] - SG&A expenses for the nine months ended September 30, 2024 increased by 79.8 million or 31% to $339.3 million, driven by a$56.0 million increase in marketing investments[182] Net Income and Loss - Net loss attributable to common stockholders was $0.6 million in Q3 2024, compared to a net income of$70.4 million in Q3 2023[175] - Net income attributable to common stockholders for the nine months ended September 30, 2024 was $131.0 million, with basic earnings per share of$0.56[184] International Expansion - The company expanded its international presence through agreements with Pepsi in Canada and Suntory in the UK, Ireland, Australia, New Zealand, France, and Benelux[164][165][167][168] - The company entered into an incentive program with Pepsi in March 2024 to align businesses and expand the product portfolio in the U.S.[166] Product Innovation - The company introduced a new CELSIUS® Essentials line in 16-ounce cans in 2023[162] - The company's MetaPlus formulation, a blend of ginger root, guarana seed extract, chromium, vitamins, and green tea extract, is a key part of its product portfolio[163] Cash Flow and Financial Position - Cash and cash equivalents as of September 30, 2024 were $903.7 million, up from$756.0 million as of December 31, 2023[185] - Cash flows provided by operating activities for the nine months ended September 30, 2024 increased by $51.2 million to$187.2 million compared to the same period in 2023[188] - Cash flows used in investing activities for the nine months ended September 30, 2024 totaled $21.0 million, primarily due to increased purchases of property and equipment[189] - Cash flows used in financing activities for the nine months ended September 30, 2024 were$18.5 million, mainly driven by cash dividends paid on Series A Preferred Stock[190] Off Balance Sheet Arrangements - The company had no off balance sheet arrangements as of September 30, 2024 and December 31, 2023[191]