Celsius (NASDAQ:CELH) Announces Earnings Results, Misses Expectations By $0.06 EPS

Celsius (NASDAQ:CELH) announced its earnings results on Thursday. The company reported $0.36 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.06), FiscalAI reports. Celsius had a net margin of 4.24% and a return on equity of 36.52%. The firm had revenue of $817.93 million during the quarter, compared to analyst estimates of $870.09 million. During the same quarter last year, the business earned $0.47 earnings per share. Celsius’s revenue was up 10.6% on a year-over-year basis.

Here are the key takeaways from Celsius’ conference call:

• Second-quarter revenue rose 11% to $818 million, as strong Alani Nu growth and the Rockstar contribution helped offset weakness in the core Celsius brand.
• Brand Celsius net sales fell approximately 12% year over year, with retail sales down 2%, amid SKU rationalization, delayed shelf and cooler placements, limited innovation, and softer club-channel performance. Management expects Celsius to remain broadly similar in the third quarter before gradually returning to growth late in 2026 and into 2027.
• Alani Nu remained the portfolio’s main growth engine: retail sales increased approximately 56% in tracked channels, the brand surpassed $1 billion in first-half retail sales, and Purple Cotton Candy became its best-selling new flavor. Management expects continued momentum, supported by its core lineup and the upcoming Witch’s Brew limited-time offer.
• Gross margin held at approximately 48%, but adjusted EBITDA declined to $184 million from $210 million a year earlier as aluminum inflation and brand investments offset operating improvements. Management expects third-quarter gross margin to remain in the high 40s at current commodity prices.
• The company repurchased approximately $100 million of stock in the quarter and intends to continue using its $300 million authorization. Management also highlighted potential long-term upside from supply-chain integration, a new North Carolina manufacturing line, revenue-growth management initiatives, and international markets targeted to exceed 15% of revenue over five years.

Celsius Stock Performance

CELH traded up $4.00 on Friday, reaching $27.77. 33,147,819 shares of the stock were exchanged, compared to its average volume of 9,976,457. The firm has a market capitalization of $7.10 billion, a PE ratio of 115.71, a PEG ratio of 1.05 and a beta of 0.95. Celsius has a fifty-two week low of $23.56 and a fifty-two week high of $66.74. The company’s 50-day moving average price is $29.43 and its 200 day moving average price is $36.61. The company has a debt-to-equity ratio of 0.56, a current ratio of 1.80 and a quick ratio of 1.43.

Insiders Place Their Bets

In other Celsius news, CEO John Fieldly purchased 8,475 shares of the stock in a transaction on Friday, May 22nd. The shares were bought at an average cost of $29.36 per share, with a total value of $248,826.00. Following the completion of the acquisition, the chief executive officer owned 937,540 shares in the company, valued at $27,526,174.40. This trade represents a 0.91% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Hal Kravitz purchased 8,400 shares of the business’s stock in a transaction on Friday, May 22nd. The shares were bought at an average cost of $29.73 per share, for a total transaction of $249,732.00. Following the completion of the transaction, the director directly owned 227,158 shares in the company, valued at $6,753,407.34. This trade represents a 3.84% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders own 2.33% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Scopus Asset Management L.P. purchased a new stake in Celsius in the 2nd quarter valued at $59,382,000. Fund 1 Investments LLC raised its holdings in shares of Celsius by 373.3% during the 4th quarter. Fund 1 Investments LLC now owns 1,177,720 shares of the company’s stock worth $53,869,000 after acquiring an additional 928,867 shares during the period. Victory Capital Management Inc. boosted its position in shares of Celsius by 197.6% during the 4th quarter. Victory Capital Management Inc. now owns 1,253,099 shares of the company’s stock valued at $57,317,000 after acquiring an additional 832,068 shares during the last quarter. Man Group plc boosted its position in shares of Celsius by 375.2% during the 4th quarter. Man Group plc now owns 833,937 shares of the company’s stock valued at $38,144,000 after acquiring an additional 658,449 shares during the last quarter. Finally, Janus Henderson Group PLC grew its holdings in shares of Celsius by 249.0% in the fourth quarter. Janus Henderson Group PLC now owns 782,134 shares of the company’s stock valued at $35,782,000 after purchasing an additional 558,008 shares during the period. Hedge funds and other institutional investors own 60.95% of the company’s stock.

Key Headlines Impacting Celsius

Here are the key news stories impacting Celsius this week:

• Positive Sentiment: Rockstar Energy founder Russ Savage disclosed control of approximately 12 million Celsius shares, or 4.7% of the company, and called for leadership changes, including replacing CEO John Fieldly. Investors may view the campaign as a catalyst for operational improvements, stronger execution and potential value creation. Rockstar Energy founder builds Celsius stake, wants to take over as CEO
• Positive Sentiment: Citigroup maintained a Buy rating with a $40 price target, while JPMorgan and Piper Sandler retained Overweight ratings with targets of $52 and $36, respectively. Needham also kept a Buy rating at $35, indicating analysts still see substantial recovery potential despite lowering their estimates. Analyst rating and price-target updates
• Neutral Sentiment: Second-quarter revenue rose 10.6% year over year to $817.9 million, supported by demand for Alani Nu and contributions from Rockstar Energy. However, weaker sales of the core CELSIUS brand limited the overall result. Celsius Holdings Q2 Earnings Miss Estimates, Revenues Increase 11% Y/Y
• Negative Sentiment: Celsius reported adjusted earnings of $0.36 per share, below the $0.42 consensus estimate and down from $0.47 a year earlier. Revenue also missed the $870.1 million consensus forecast, while promotional spending and margin pressure weighed on profitability. Celsius Holdings Inc. Q2 Earnings and Revenues Miss Estimates
• Negative Sentiment: Management expects pressure on the core brand to continue through the third quarter and is planning a brand and product reset before growth potentially returns toward the end of 2026. Maxim Group downgraded the stock to Hold, while multiple firms reduced price targets, signaling heightened execution risk. CELH Q2 Earnings Call Flags Core Brand Reset Before 2027

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. Citigroup decreased their price objective on Celsius from $50.00 to $40.00 and set a “buy” rating for the company in a report on Friday. UBS Group set a $44.00 target price on Celsius and gave the company a “buy” rating in a research report on Friday. Piper Sandler decreased their price target on Celsius from $49.00 to $36.00 and set an “overweight” rating for the company in a research note on Friday. Roth Capital reiterated a “buy” rating and issued a $48.00 price target on shares of Celsius in a research note on Friday. Finally, Maxim Group downgraded Celsius from a “buy” rating to a “hold” rating in a report on Friday. Nineteen equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat, Celsius has a consensus rating of “Moderate Buy” and an average price target of $52.60.

Celsius Company Profile

Celsius Holdings, Inc is an American beverage company known for its line of fitness and energy drinks formulated to support active lifestyles. The company’s flagship product, the Celsius® brand, features beverages enhanced with ingredients such as green tea extract, guarana seed extract and essential vitamins, positioned as a functional alternative to traditional energy drinks. These products are designed to deliver a blend of ingredients that support metabolism and sustained energy without high sugar content or artificial preservatives.

In addition to its core carbonated drink portfolio, Celsius has expanded its offerings to include powder mixes and non-carbonated ready-to-drink variants, catering to consumer preferences around taste, convenience and nutritional needs.