Financial Data and Key Metrics Changes - For Q3 2025, consolidated revenue was approximately $725 million, up 173% year-over-year [15] - Gross margin for the quarter was 51.3%, compared to 46% a year ago, reflecting improvements in inventory optimization and lower promotional spend [17][18] - Year-to-date consolidated sales increased by roughly 75%, with Alani Nu accounting for the majority of that growth [16][17] Business Line Data and Key Metrics Changes - The Celsius brand's U.S. scanner growth rate was 13%, while revenue growth was reported at 44%, indicating a discrepancy due to inventory movements and promotional activities [15][16] - Alani Nu revenue nearly doubled, up 99%, driven by strong limited-time offerings like Witches Brew [16][18] - Rockstar Energy contributed approximately $11 million in revenue in its first month under Celsius ownership, with an additional $7 million recorded in other income [16] Market Data and Key Metrics Changes - Celsius Holdings' combined portfolio represented over 20% share of the U.S. energy drink market, growing 31% year-over-year, nearly twice as fast as the overall category [7] - The Celsius brand achieved double-digit retail sales growth of 13% year-over-year, while Alani Nu grew at 115% year-over-year [8] Company Strategy and Development Direction - The company is focused on expanding its partnership with PepsiCo, enhancing its role as the U.S. strategic energy drink captain [5][6] - The acquisition of Rockstar Energy is expected to broaden the consumer base and strengthen the overall energy portfolio [6][7] - The company aims to optimize its operations and distribution networks, particularly with the integration of Alani Nu into PepsiCo's system [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued growth for both Celsius and Alani Nu, while focusing on stabilizing Rockstar Energy [21] - The upcoming quarter is expected to be noisy due to integration activities and promotional timing, with potential pressure on gross margins [21][60] - The company anticipates capturing synergies from acquisitions and further strengthening its balance sheet through disciplined capital allocation [19][22] Other Important Information - The company is investing in brand growth and marketing campaigns, such as the Celsius Live Fit Go campaign, to drive consumer engagement [18][19] - Management highlighted the importance of seasonal flavor offerings and limited-time promotions in driving sales [9][49] Q&A Session Summary Question: Concerns about core Celsius growth and scanner data discrepancies - Management acknowledged the complexities in comparing growth rates and attributed the differences to various factors, including inventory movements and promotional timing [24][26] Question: Pricing strategies in light of market trends - Management is evaluating pricing strategies, considering tariff impacts and commodity costs, while building a revenue management team for better precision [31][32] Question: Details on Q4 integration and inventory management - Management indicated that Q4 would involve a phased approach to integration, with potential noise in inventory levels and sales [34][39] Question: Gross margin outlook and tariff impacts - Management discussed the expected pressure on gross margins due to tariffs and integration costs, while also highlighting opportunities for efficiency improvements [55][58] Question: International expansion plans - Management emphasized the growth potential in international markets, particularly in Australia and Europe, and the importance of strategic investments [63][64]