Vital Farms(US:VITL)2025-11-04 12:25Financial Performance - Third Quarter Net Revenue reached a record $198.9 million, up 37.2% compared to $145.0 million in the prior year period[2] - Adjusted EBITDA for the third quarter was $27.4 million, representing 13.8% of net revenue, compared to $15.2 million, or 10.5% of net revenue, in the same quarter last year[11] - Gross profit was $75.0 million, or 37.7% of net revenue, up from $53.5 million, or 36.9% of net revenue, in the prior year's third quarter[7] - Net income for the third quarter was $16.4 million, compared to $7.4 million in the prior year quarter, with net income per diluted share increasing to $0.36 from $0.16[10] - Net revenue for the 39 weeks ended September 28, 2025, was $545.892 million, a 24% increase from $440.318 million for the same period in 2024[25] - Gross profit for the 39 weeks ended September 28, 2025, was $209.257 million, up 23% from $170.050 million in 2024[25] - Net income for the 39 weeks ended September 28, 2025, reached $49.958 million, representing a 16.5% increase compared to $42.808 million in 2024[25] - Adjusted EBITDA for the 39 weeks ended September 28, 2025, was $84.784 million, a 25.4% increase from $67.579 million in 2024[35] - The company reported a net income margin of 9.2% for the 39 weeks ended September 28, 2025, compared to 9.7% in 2024[35] Outlook and Growth - The company raised its Fiscal Year 2025 Net Revenue Outlook to at least $775 million, a 28% increase from 2024[15] - The company remains on track to achieve its $1 billion net revenue target by 2027[2] - The company expects capital expenditures in the range of $80 million to $100 million for future growth initiatives[16] Capital Expenditures and Assets - Capital expenditures for the 39-week period ended September 28, 2025, totaled $44.0 million, compared to $10.5 million in the same period last year[14] - Cash and cash equivalents decreased to $93.796 million as of September 28, 2025, from $150.601 million at the end of December 2024[27] - Total assets increased to $481.504 million as of September 28, 2025, up from $359.332 million at the end of December 2024[27] - Total liabilities rose to $150.288 million as of September 28, 2025, compared to $90.030 million at the end of December 2024[27] - The company incurred $44.024 million in capital expenditures for property, plant, and equipment during the 39 weeks ended September 28, 2025[29] Operational Efficiency - Approximately 75 new family farms were added during the quarter, bringing the total network to 575 family farms[2] - The new ERP system went live, and a third production line was added at Egg Central Station in Springfield, enhancing operational efficiency[4] Stock-Based Compensation - Stock-based compensation expense for the 39 weeks ended September 28, 2025, was $9.126 million, an increase from $7.572 million in 2024[35] Margin Calculations - Net income margin is calculated by dividing net income by net revenue[36] - Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by net revenue[36]