Financial Data and Key Metrics Changes - SharkNinja achieved $6.4 billion in net sales for 2025, up nearly 16% year-over-year, with domestic net sales growing 13.5% and international net sales increasing 20.8% [23][24] - Adjusted EBITDA increased more than 19% year-over-year to $1.14 billion, with adjusted EBITDA margins expanding approximately 50 basis points [23][29] - Adjusted earnings per share reached a record $5.28, up nearly 21% year-over-year [23] Business Line Data and Key Metrics Changes - Net sales in the cleaning category increased 3.4% year-over-year to $670 million, with carpet extraction being a standout performer [26] - The cooking and beverage category saw net sales increase 11.7% year-over-year to $667 million, driven by the success of the Ninja Luxe Cafe Espresso Machine [26] - The food preparation category experienced a 28.1% year-over-year increase in net sales to $438 million, with strong momentum in frozen treats [26] - The beauty and home environment category grew 63.2% year-over-year to $326 million, the highest growth rate of the year [27] Market Data and Key Metrics Changes - The U.S. market that SharkNinja participates in declined in the low single digits year-over-year for 2025, while SharkNinja gained market share across all four category groupings [7] - The U.K. business grew 9.2% year-over-year in Q4, despite declines in air fryer sales, showcasing the strength of diversification [25] - Latin America, particularly Mexico, showed triple-digit growth, indicating strong momentum and future opportunities [21] Company Strategy and Development Direction - SharkNinja's strategy focuses on diversification across products, channels, and geographies, which is seen as a foundational driver of success [8][21] - The company plans to expand into new categories, with significant excitement around launches in 2026, including two additional subcategories [15] - SharkNinja aims to maintain leadership in existing categories through relentless innovation and execution [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to operate effectively in challenging consumer environments, emphasizing consistent execution and durable performance [8] - The outlook for 2026 includes expected net sales growth of 10% to 11% and adjusted net income per diluted share in the range of $5.90 to $6, reflecting a 12% to 14% year-over-year increase [37] - Management highlighted the importance of consumer trust and engagement as central to the company's growth strategy [4][42] Other Important Information - SharkNinja announced a $750 million share repurchase program, reflecting strong cash generation and balance sheet strength [14][35] - The company completed its global Oracle implementation and launched Salesforce in the U.S. and Canada to enhance its direct-to-consumer platform [11] Q&A Session Questions and Answers Question: What is the medium-term growth algorithm for the U.S. business? - Management indicated that the U.S. business is expected to grow at a double-digit rate in 2026, driven by strong D2C growth and retailer support [46] Question: Can you provide context regarding the expansion and its impact on growth margin and expense control? - Management noted that growth in the first half of 2026 will be supported by strong sales, with expectations for continued expense control [47] Question: How do you see the international segment growth profile evolving in 2026? - Management expects international growth to outpace domestic growth, particularly in Latin America and EMEA, with a focus on transitioning to a direct model in various countries [52][54] Question: Can you discuss the customer demographics being attracted through the beauty segment? - Management highlighted that the beauty segment is attracting a younger demographic, including young males, and emphasized the potential for expanding the beauty tech market [64] Question: How would you define the success of recent celebrity campaigns? - Management noted significant growth in social media engagement and brand visibility as indicators of success from celebrity partnerships [70]

Financial Data and Key Metrics Changes - SharkNinja achieved $6.4 billion in net sales for 2025, up nearly 16% year-over-year, with adjusted EBITDA increasing more than 19% to $1.14 billion [21][22] - Adjusted earnings per share reached a record $5.28, up nearly 21% year-over-year [21] - In Q4, net sales increased 17.6% year-over-year to $2.1 billion, with domestic sales up 15.7% and international sales up 21.4% [22][24] Business Line Data and Key Metrics Changes - Cleaning category net sales increased 3.4% year-over-year to $670 million, driven by innovations like the Shark Stain Force Cordless Spot and Stain Cleaner [24] - Cooking and beverage category net sales rose 11.7% to $667 million, with the Ninja Luxe Cafe Espresso Machine being a significant contributor [24] - Food preparation category saw a 28.1% increase to $438 million, supported by global momentum in frozen treats [24] - Beauty and home environment category experienced a remarkable 63.2% growth to $326 million, the highest growth rate of the year [25] Market Data and Key Metrics Changes - The U.S. market for SharkNinja declined in the low single digits year-over-year, while SharkNinja gained market share across all four category groupings [6] - The U.K. business grew 9.2% year-over-year in Q4, despite declines in air fryer sales [22][23] - Latin America, particularly Mexico, showed triple-digit growth, indicating strong momentum and future opportunities [19][24] Company Strategy and Development Direction - SharkNinja's strategy focuses on diversification across products, channels, and geographies to drive growth [8][10] - The company plans to expand into new categories, having entered two additional subcategories in 2025 and aiming for two more in 2026 [14] - The beauty segment is seen as a significant growth area, with ambitions to become the number one beauty tech company globally [61] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating macroeconomic challenges, viewing them as opportunities for growth [37] - The outlook for 2026 includes expectations for net sales growth between 10% and 11% and adjusted net income per diluted share to increase by 12%-14% year-over-year [34] - The company aims to maintain double-digit growth and expand profitability on the adjusted EBITDA line at a faster rate than top-line growth [20][34] Other Important Information - SharkNinja announced a $750 million share repurchase program, reflecting strong cash flow and a net cash position [13][33] - The company completed its global Oracle implementation and launched Salesforce in the U.S. and Canada to enhance its direct-to-consumer platform [11] Q&A Session Summary Question: What is the medium-term growth algorithm for the U.S. business? - Management indicated that the U.S. business is expected to achieve double-digit growth in 2026, with contributions from both units and pricing [41][42] Question: How will international segment growth evolve in 2026? - Management expects international growth to outpace domestic growth, particularly in Latin America and EMEA, despite some transitional disruptions [45][49] Question: What characteristics define customers acquired through the beauty segment? - The beauty segment is attracting a younger demographic, including young males, and is expanding the market size significantly [58][61]

Financial Data and Key Metrics Changes - Net sales growth of nearly 16% year over year, reaching $1.4 billion [43] - Adjusted EBITDA growth of approximately 33% year over year to $223 million, with an adjusted EBITDA margin of 15.5% [43][51] - Operating expenses as a percentage of net sales decreased by more than 200 basis points compared to the prior year quarter [6] Business Line Data and Key Metrics Changes - Domestic net sales increased roughly 14% year over year [44] - International net sales accelerated to over 20% growth year over year [8][44] - Cleaning category net sales increased 8% year over year to $500 million [45] - Food Preparation category net sales increased 53% year over year to $405 million [46] - Cooking and Beverage category net sales decreased 4% year over year to $366 million [46] - Beauty and Home Environment category net sales increased 25% year over year to $173 million [47] Market Data and Key Metrics Changes - The overall market in which the company operates declined in the low single-digit range year over year, excluding SharkNinja's performance [11] - The UK business showed strong sales momentum despite a 25% year over year decline in air fryers [31] Company Strategy and Development Direction - The company focuses on a three-pillar growth strategy: expanding into new categories, growing share in existing categories, and international expansion [14][34] - The company aims to introduce two new categories and 25 new products annually [15] - Significant investments in talent acquisition to enhance capabilities and drive growth [72][78] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating challenges and pursuing growth despite a turbulent environment [42][56] - The company raised its net sales and adjusted EBITDA growth ranges for FY 2025, reflecting optimism about future performance [35][54] - Management highlighted the importance of supply chain diversification and strategic pricing actions to mitigate tariff impacts [9][53] Other Important Information - The company achieved approximately 90% of U.S. volume produced outside of China, with plans to reach nearly 100% by year-end [13] - The company was named to Time Magazine's list of Time 100 most influential companies for 2025, validating its consumer-focused approach [38] Q&A Session Questions and Answers Question: How are you thinking about growth opportunities between U.S. and international markets? - Management noted strong domestic demand and new product introductions, while also expecting acceleration in international markets like the UK, Germany, and France [62][66] Question: Can you help us understand your tariff commentary and its impact on gross margins? - Management provided clarity on tariff rates, indicating that the reduction in expected rates allows for increased flexibility in supply chain decisions [67][69] Question: What is the approach to talent acquisition and its impact on growth? - Management emphasized the need for strong leadership in innovation and growth areas, highlighting recent key hires to support the company's expansion and complexity [72][78] Question: How do you plan to market the Shark and Ninja brands together? - Management discussed the upcoming launch of a unified website to enhance consumer experience and cross-sell opportunities between the two brands [81][83]

Financial Data and Key Metrics Changes - Net sales increased by 15.7% year over year to $1.4 billion, with adjusted EBITDA growing by approximately 33% to $223 million, resulting in an adjusted EBITDA margin of 15.5% [41][49] - Operating expenses as a percentage of net sales decreased by more than 200 basis points compared to the prior year [6] - Adjusted net income for the second quarter was $138 million, or $0.97 per diluted share, compared to $100 million, or $0.71 per diluted share in the prior year [49] Business Line Data and Key Metrics Changes - Domestic net sales grew by roughly 14% year over year, while international net sales accelerated to over 20% growth [42][7] - Cleaning category net sales increased by 8% year over year to $466 million, driven by strong performance in robotics and extraction products [43] - Food preparation category net sales surged by 53% year over year to $405 million, primarily due to the success of the Slushy frozen drink maker [44] - Cooking and beverage category net sales decreased by 4% year over year to $366 million, impacted by declines in air fryer and outdoor grill subcategories [44] - Beauty and home environment category net sales increased by 25% year over year to $173 million, driven by air purifiers and the CryoGlo skincare product [45] Market Data and Key Metrics Changes - The overall market for the end categories declined in the low single-digit range year over year, while SharkNinja's performance showed significant relative strength [11] - The UK business returned to form more quickly than expected, with sales momentum strengthening throughout the quarter despite a 25% year-over-year decline in air fryers [30] Company Strategy and Development Direction - The company is focused on a three-pillar growth strategy: expanding into new categories, growing share in existing categories, and international expansion [14][25][29] - SharkNinja aims to introduce two new categories and 25 new products annually, with a strong emphasis on innovation and consumer problem-solving [15][18] - The company has achieved approximately 90% of its U.S. volume produced outside of China, with plans to reach nearly 100% by year-end [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the challenging macro environment and highlighted strong consumer demand for SharkNinja products [40][41] - The company raised its outlook for 2025, expecting net sales to increase between 13% to 15%, up from a previous estimate of 11% [52] - Management emphasized the importance of agility and innovation in maintaining competitive advantages amid global supply challenges [12][34] Other Important Information - SharkNinja was named to Time Magazine's list of the 100 most influential companies for 2025, reflecting its focus on solving consumer problems [37] - The company plans to relaunch its direct-to-consumer website, enhancing cross-selling opportunities between the Shark and Ninja brands [36][78] Q&A Session Summary Question: Growth opportunities between U.S. and international markets - Management noted strong domestic demand and new product introductions, while international markets, particularly the UK, Germany, and France, are expected to see continued growth [59][61] Question: Clarification on tariff impacts and gross margins - Management provided clarity on tariff rates, indicating that the new rates would not significantly impact their operations but would offer increased flexibility in supply chain decisions [64][66] Question: Talent acquisition and capabilities - Management discussed recent key hires aimed at enhancing product complexity and innovation, particularly in software and electronics [69][70] Question: Marketing strategy and brand integration - Management highlighted the success of the F1 movie partnership and the upcoming website launch that will allow for better cross-selling and brand recognition [77][78]