Zevia Pbc Stock Earnings Reports

Zevia reported a strong Q1 2026: net sales grew 21.2% to $46.1M and adjusted EBITDA turned positive (~$0.9M) versus a loss the prior year. Management attributes the results to strategic actions over prior quarters—rightsizing costs, reinvesting in marketing, sharper product innovation, new packaging, and expanded distribution (notably a national Costco rotation and club channel expansion). Marketing initiatives (including two early-2026 campaigns) and a high-profile partnership with Cardi B drove record social reach and engagement and are expected to boost awareness and trial through summer activations and paid media. New fruit-forward flavors and refreshed, more vibrant packaging are rolling out (management says packaging rollout will be largely complete by end of Q2) and early velocity data show outperformance and incremental sales. Gross margin weakened to 48.4% (down 170 bps YoY) mainly from higher aluminum and a higher club sales mix. Management raised full-year net sales guidance to $170–$175M (≈7% growth at midpoint) but now expects adjusted EBITDA of negative $2M to negative $4M, incorporating roughly $11M of incremental cost headwinds tied to aluminum and surging fuel-related expenses; excluding those headwinds management says the business would have guide d to roughly $7–$9M of adjusted EBITDA. Cash was $26.6M with a $20M undrawn revolver. Management is focused on execution and cost mitigation but is cautious on macro uncertainty and expects the biggest growth quarters to be Q1 and Q3 (marketing and promotional timing).