Company Overview - Vital Farms (Nasdaq: VITL) is a Certified B Corporation that provides a variety of ethically produced foods across the United States [3] - The company began in 2007 on a single farm in Austin, Texas, and has grown to become a national consumer brand collaborating with over 450 family farms [3] - Vital Farms is recognized as the leading U.S. brand of pasture-raised eggs by retail dollar sales [3] - The company emphasizes humane treatment of farm animals and sustainable farming practices [3] - Vital Farms operates as a Delaware public benefit corporation, focusing on long-term benefits for all stakeholders, including farmers, customers, communities, and stockholders [3] - Its product range includes shell eggs, butter, hard-boiled eggs, and liquid whole eggs, available in approximately 26,000 stores nationwide [3] Upcoming Investor Conferences - Vital Farms will participate in the Deutsche Bank dbAccess Global Consumer Conference in Paris, France, from June 3-5, 2025, with 1x1 meetings scheduled for June 3 and 4 [1] - The company will also attend the Jefferies Consumer Conference in Nantucket, MA, on June 17-18, 2025, offering 1x1 meetings on both days and participating in an analyst-hosted breakout session on June 18 at 11:30 a.m. Eastern Time [2]

Core Insights - The analyst has a strong background in equity research and investment analysis, with a focus on the U.S. equity market and consumer staples sector, indicating a belief in the resilience of defensive stocks for long-term investment opportunities [1]. Group 1: Analyst Qualifications - The analyst holds certifications as a Financial Modeling & Valuation Analyst (FMVA) and Financial Planning & Wealth Management Professional (FPWMP), which provide essential skills for financial statement analysis and valuation model construction [1]. - Participation in the CFA Research Challenge has equipped the analyst with practical experience in equity analysis and industry research [1]. - The analyst graduated with a CGPA of 3.6 in Finance from Alexandria University in 2024, showcasing a solid academic foundation [1]. Group 2: Professional Experience - The analyst has worked with a confidential client, preparing investment reports across various sectors, including healthcare, consumer staples, and industrials, enhancing the ability to evaluate companies across diverse industries [1]. - In 2023, the analyst joined AIESEC, further developing leadership, communication, and teamwork skills through global exchange and project collaboration [1].

Financial Data and Key Metrics Changes - Net revenue for the first quarter was $162 million, up 10% from last year, marking the twentieth consecutive quarter of year-over-year growth since the IPO in 2020 [8][20] - Gross profit for the first quarter rose to $62.5 million, or 38.5% of net revenue, compared to 39.8% of net revenue last year [21] - Net income decreased 11.2% to $16.9 million, or $0.37 per diluted share, compared to $19 million, or $0.43 per diluted share for the same period last year [23] - Adjusted EBITDA for the first quarter was $27.5 million, or 16.9% of net revenue, down from 19.7% in the prior year [23] Business Line Data and Key Metrics Changes - The Butter business saw robust growth, with first-quarter net revenue up 41% year-over-year [9] - Volume-related growth for egg products was below trend due to supply constraints, but demand remains strong [10][18] - The company added approximately 25 new family farms to its network in the first quarter, increasing the total to over 450 farms [14] Market Data and Key Metrics Changes - Brand awareness reached 31% by the end of the first quarter, a five-point increase since the beginning of the year [10] - The company is currently in only 11.3% of U.S. households, indicating significant growth potential [12] Company Strategy and Development Direction - The company aims to achieve $1 billion in net revenue by 2027, with a gross margin target of about 35% and an adjusted EBITDA margin of 12% to 14% [14][30] - Investments are being made in supply chain infrastructure and new facilities to increase capacity and support innovation [15][30] - The company plans to implement a modest low double-digit price increase for shell egg products to offset anticipated cost impacts from tariffs [17] Management's Comments on Operating Environment and Future Outlook - Management expects volume growth to improve beginning in the second quarter as new farms ramp up production [18] - The company remains confident in its ability to deliver on financial targets despite macroeconomic uncertainties and tariff impacts [27][28] - Management believes that consumer loyalty and brand strength will insulate the company from potential negative impacts of tariffs [28][87] Other Important Information - The company is on track to remediate a material weakness in internal controls related to revenue recognition, with no revenue inconsistencies found [26] - Capital expenditures for fiscal year 2025 are projected to be in the range of $50 million to $60 million, primarily for new facilities and digital transformation projects [28][29] Q&A Session Summary Question: Impact of price increase on retailer pricing - Management indicated that pricing is primarily focused on protecting gross margins and ensuring strong relationships with retail partners [39][40] Question: Current egg supply and retailer orders - Management noted that the category is still not fully servicing demand, with elevated orders from retailers [41][42] Question: Volume growth expectations for the year - Management expects volume growth to accelerate as new farms come online, with Q2 serving as a transition point [48] Question: Impact of tariffs on costs - Management confirmed that while there will be some cost pressures due to tariffs, the price increase is expected to cover these impacts [60][63] Question: Retail distribution increase - The increase in reported distribution from 24,000 to 26,000 stores is attributed to a change in data providers rather than a significant increase in new retailers [67][68] Question: Consumer behavior amidst macro uncertainty - Management observed that brand loyalty remains strong, with consumers less willing to trade down even in challenging economic conditions [76][87] Question: Dynamics of the butter business supply chain - Management discussed the transition in the butter supply chain and the expectation of consistent growth without bottlenecks [79]

Core Viewpoint - Vital Farms reported quarterly earnings of $0.37 per share, exceeding the Zacks Consensus Estimate of $0.26 per share, but down from $0.43 per share a year ago, indicating a 13.95% year-over-year decline in earnings [1] - The company has consistently surpassed consensus EPS estimates over the last four quarters, with a notable earnings surprise of 42.31% this quarter [2][1] Financial Performance - Vital Farms posted revenues of $162.19 million for the quarter ended March 2025, which was a 9.63% increase from $147.93 million year-over-year, but missed the Zacks Consensus Estimate by 0.27% [2] - The company has topped consensus revenue estimates three times in the last four quarters [2] Stock Performance - Vital Farms shares have declined approximately 4.7% year-to-date, compared to a 4.3% decline in the S&P 500 [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.28, with projected revenues of $170.93 million, and for the current fiscal year, the estimate is $1.23 on revenues of $740.79 million [7] - The trend of earnings estimate revisions is mixed, which could change following the recent earnings report [6] Industry Context - The Food - Miscellaneous industry, to which Vital Farms belongs, is currently ranked in the top 34% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]

Financial Data and Key Metrics Changes - Net revenue for Q1 2025 was $162 million, an increase of 10% year-over-year, marking the twentieth consecutive quarter of growth since the IPO in 2020 [6][18] - Gross profit rose to $62.5 million, representing 38.5% of net revenue, down from 39.8% the previous year due to increased investments and less efficient operations [19][20] - Net income decreased by 11.2% to $16.9 million, or $0.37 per diluted share, compared to $19 million, or $0.43 per diluted share in Q1 2024 [21] - Adjusted EBITDA for Q1 2025 was $27.5 million, or 16.9% of net revenue, down from 19.7% in the prior year [21] Business Line Data and Key Metrics Changes - The Butter business saw robust growth with net revenue up 41% year-over-year [7] - Egg product demand remains strong, but supply constraints have limited volume growth [8][16] - The company added approximately 25 new family farms in Q1 2025, increasing its network to over 450 farms [13] Market Data and Key Metrics Changes - Brand awareness reached 31% by the end of Q1 2025, a five-point increase since the beginning of the year [9] - The company is currently in 11.3% of U.S. households, indicating significant room for growth [11] Company Strategy and Development Direction - The company aims to achieve $1 billion in net revenue by 2027, with a gross margin target of about 35% and an adjusted EBITDA margin of 12% to 14% [14][28] - Investments in supply chain infrastructure and farm expansion initiatives are expected to support sustained growth [14][29] - The company plans to implement a modest price increase for shell egg products to offset anticipated cost impacts from tariffs [15][26] Management's Comments on Operating Environment and Future Outlook - Management expects volume growth headwinds to ease in Q2 2025, leading to reaccelerated net revenue growth [16] - The company remains confident in its ability to navigate macroeconomic uncertainties and consumer behavior changes due to its strong brand loyalty [84] - Management reiterated its full-year guidance for net revenue of at least $740 million, representing at least 22% growth compared to 2024 [24][25] Other Important Information - The company is on track with its digital transformation initiative, with the launch of a new ERP system updated to early fall 2025 [27] - The company is addressing a material weakness in internal controls related to revenue recognition, with no revenue inconsistencies found [23] Q&A Session Summary Question: Impact of price increase on retailer pricing - Management indicated that pricing is primarily aimed at protecting gross margins and maintaining strong relationships with retail partners [39] Question: Current egg supply and retailer orders - Management noted that while the category is improving, supply constraints still exist, and elevated orders from retailers reflect ongoing demand [41] Question: Volume growth expectations for the year - Management expects volume growth to accelerate as new farms come online, with Q2 serving as a transition point [48] Question: Impact of tariffs on pricing and costs - Management confirmed that while tariffs could impact costs, the price increase is expected to cover these impacts [62] Question: Retail distribution increase clarification - The increase in reported distribution from 24,000 to 26,000 stores was due to a change in data providers rather than a significant increase in new retailers [67] Question: Consumer behavior amidst macro uncertainty - Management observed that brand loyalty remains strong, with consumers less likely to trade down even in challenging economic conditions [84]

• May 2025 Corporate Presentation (Nasdaq: VITL) Vital Farms, Inc. 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 current assumptions, expectations and projections about future performance and events and relate to, among other matters, our future financial performa ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 30, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______________ to ______________ Commission File Number: 001-39411 Vital Farms, Inc. (Exact name of registrant as specified in its charter) Delaware 27-049698 ...

Reaffirms Fiscal Year 2025 Outlook of $740 Million in Net Revenue and $100 Million in Adjusted EBITDA On Track to Reach $1 Billion Net Revenue Target in 2027 Vital Farms Reports First Quarter 2025 Financial Results Record First Quarter Net Revenue of $162.2 Million, Up 9.6% Versus Prior Year Period "We delivered first quarter results that were in-line with our overall expectations and made good progress on our key 2025 strategic initiatives, said Russell Diez-Canseco, Vital Farms' President and Chief Execut ...

Core Viewpoint - Hain Celestial reported quarterly earnings of $0.07 per share, missing the Zacks Consensus Estimate of $0.12 per share, representing a -41.67% earnings surprise [1][2] Financial Performance - The company posted revenues of $390.35 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 5.10%, compared to $438.36 million in the same quarter last year [2] - Over the last four quarters, Hain Celestial has surpassed consensus EPS estimates only once [2] Stock Performance - Hain Celestial shares have declined approximately 55% since the beginning of the year, while the S&P 500 has decreased by -4.7% [3] - The current Zacks Rank for Hain Celestial is 4 (Sell), indicating expected underperformance in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.16 on revenues of $410.8 million, and for the current fiscal year, it is $0.33 on revenues of $1.63 billion [7] - The trend for estimate revisions ahead of the earnings release was unfavorable, which may impact future stock movements [6] Industry Context - The Food - Miscellaneous industry, to which Hain Celestial belongs, is currently in the top 38% of over 250 Zacks industries, suggesting a favorable industry outlook [8]

Group 1 - Vital Farms (VITL) closed at $33.83, with a +0.56% change, lagging behind the S&P 500's daily gain of 0.58% [1] - Over the past month, shares of Vital Farms gained 10.4%, outperforming the Consumer Staples sector's loss of 0.35% and the S&P 500's loss of 0.84% [1] Group 2 - The upcoming earnings report for Vital Farms is expected on May 8, 2025, with projected earnings per share (EPS) of $0.26, reflecting a 39.53% decrease from the same quarter last year [2] - Revenue is anticipated to be $162.62 million, indicating a 9.93% increase from the same quarter last year [2] Group 3 - For the full year, analysts expect earnings of $1.23 per share and revenue of $740.79 million, marking changes of +4.24% and +22.18% respectively from last year [3] Group 4 - Recent changes in analyst estimates for Vital Farms are important as they indicate shifts in near-term business trends, with positive revisions suggesting analyst optimism regarding the company's profitability [4] Group 5 - The Zacks Rank system, which evaluates estimate changes, indicates that Vital Farms currently holds a Zacks Rank of 3 (Hold), with a consensus EPS projection moving 0.16% lower in the past 30 days [6] Group 6 - Vital Farms has a Forward P/E ratio of 27.39, which is higher than the industry average of 15.47, suggesting that the company is trading at a premium [7] - The Food - Miscellaneous industry, part of the Consumer Staples sector, has a Zacks Industry Rank of 83, placing it in the top 34% of over 250 industries [7]