Freshpet(FRPT) - 2025 Q1 - Quarterly Results

Financial Performance - Net sales increased by 17.6% to $263.2 million for Q1 2025, compared to$223.8 million in the prior year period[3] - Net loss for Q1 2025 was $12.7 million, a decrease from net income of$18.6 million in the prior year period[5] - Adjusted Gross Profit was $120.2 million, or 45.7$101.5 million, or 45.3% of net sales, in the prior year[4] - Gross profit rose to $103,788 thousand, representing a 17.7$88,158 thousand in the prior year[26] - The company reported a net loss attributable to common stockholders of $12,697 thousand for Q1 2025, compared to a net income of$18,602 thousand in Q1 2024[26] - Adjusted gross profit for Q1 2025 was $120,245 thousand, with an adjusted gross profit margin of 45.7$35.5 million, up from $30.6 million in the prior year[7] - Adjusted EBITDA for Q1 2025 was$35,534 thousand, which is 13.5% of net sales, compared to $30,579 thousand or 13.7$115.3 million, representing 43.8% of net sales, an increase of 820 basis points from 35.6% in the prior year[4] - Selling, general, and administrative (SG&A) expenses increased to $115,285 thousand, up 44.7$79,695 thousand in the same quarter last year[31] - The company incurred $10,680 thousand in distributor transition costs due to a change in distribution strategy[32] - The provision for loss on accounts receivable was$11,452 thousand, significantly higher than $4 thousand in the same period last year[29] - The company reported a depreciation and amortization expense of$21,827 thousand, up from $15,902 thousand in Q1 2024[29] Guidance and Future Plans - The company updated its 2025 guidance, expecting net sales between$1.12 billion and $1.15 billion, a growth of 15$190 million and $210 million, down from at least$210 million previously[13] - The company plans capital expenditures of approximately $225 million, reduced from previous guidance of$250 million[13] - Freshpet aims to adapt its growth plans to current economic challenges while focusing on operational improvements for long-term success[2] Cash and Debt Position - Cash and cash equivalents as of March 31, 2025, were $243.7 million, with total debt outstanding of$395.7 million[7] - Cash and cash equivalents at the end of the period were $243,732 thousand, down from$257,894 thousand at the end of Q1 2024[29]