BROS Margins Under Pressure: Can it Balance Growth & Profitability?

Key Takeaways BROS' Q1 2025 shop margin fell 40 bps to 29.4% amid rising labor, coffee tariffs and opening costs. The company expects 110 bps of full-year COGS margin pressure despite fixed coffee prices and cost controls. BROS is boosting digital efforts while aiming for 2,029 stores by 2029, despite short-term margin strain.Dutch Bros Inc. (BROS) continues to benefit from robust revenue growth and store expansion efforts. However, rising costs continue to challenge its path to higher profitability.In th ...