NASDAQ$VITL

Vital Farms Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Reported record first quarter net revenue with increased gross margin and net income, and raised fiscal year 2024 outlook.

Vital Farms reported a strong start to 2024 with record net revenue of $147.9 million, a 24.1% increase compared to the prior year. Gross margin expanded to 39.8%, and net income reached $19.0 million. The company raised its fiscal year 2024 outlook, expecting net revenue of at least $575 million and adjusted EBITDA of at least $70 million.

  • Net revenue increased by 24.1% to a record $147.9 million.
  • Gross margin expanded by 400 basis points to 39.8%.
  • Net income increased to $19.0 million, or $0.43 per diluted share.
  • Fiscal year 2024 outlook raised with net revenue expected to be at least $575 million and adjusted EBITDA of at least $70 million.

Headline financials

Total Revenue

$148M

Previous: $119M+24.1%
EPS

$0.43

Previous: $0.16+168.8%
Adjusted EBITDA

$29.1M

Previous: $13.9M+109.2%
Adjusted EBITDA Margin

19.7%

No prior period
Gross Profit Margin

39.8%

No prior period
Capital Expenditures

-$1.32M

Previous: -$1.8M+26.5%
Free Cash Flow

$17.7M

Previous: $5.35M+230.9%
Net Income

$19M

Previous: $7.15M+166.1%
Operating Income

$24.2M

Previous: $10.9M+121.8%
Gross Profit

$58.9M

Previous: $42.7M+38.0%
Cash & Equivalents

$114M

Previous: $25.8M+340.5%
Total Assets

$300M

Previous: $227M+32.4%
Stock-Based Comp

$1.98M

Previous: $2.24M-11.6%

Revenue & EPS history

Vital Farms · Revenue · Quarterly

$148M

Q1 2024+24.1%vs Q1 2023
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Forward guidance

Vital Farms raised its fiscal year 2024 outlook, reflecting increased confidence in performance, a more favorable commodity outlook, and successful execution of the marketing reinvestment strategy.

Tailwinds

  • Net revenue of at least $575 million, representing at least 22% growth over fiscal year 2023.
  • Adjusted EBITDA of at least $70 million, representing at least 45% growth over fiscal year 2023.
  • Capital expenditures in the range of $35 million to $45 million.
  • Increased brand awareness.
  • Deepened loyalty with consumers.

Headwinds

  • Assumes no additional significant disruptions to the supply chain.
  • Assumes no additional significant disruptions to customers.
  • Assumes no additional significant disruptions to consumers.
  • Potential issues from adverse macroeconomic factors.
  • Unavailability of reliable estimates for income taxes.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2024

Historical avgQ1 2024

-1.7%

Avg return

Earnings day

-1.7%

Avg return

5 days after

+0.4%

Avg return

30 days after

41%

12 / 29 earnings

Positive

+21.7%

Q1 2024

Best reaction

-20.8%

Q1 2027

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027-20.8%-28.2%-16.3%
Q4 2025-10.9%-18.1%-47.0%
Q3 2025+16.6%+7.8%-2.2%
Q1 2025-9.3%-4.9%-14.0%
Q4 2024-9.1%-8.1%-12.3%
Q3 2024-16.2%-22.9%-3.9%
Q2 2024-12.2%-12.0%-15.7%
Q1 2024+21.7%+23.7%+39.9%
Q4 2023+7.9%+10.5%+33.8%
Q3 2023+2.7%+5.9%+22.6%
Q2 2023+17.6%+15.6%+12.5%
Q1 2023+18.6%+20.4%+13.2%
Q4 2022+1.0%-3.9%-5.1%
Q3 2022+4.3%+11.5%+13.4%
Q2 2022+12.3%+15.1%+5.3%
Q1 2022+0.1%-14.0%-22.6%
Q4 2021-6.9%-0.3%+5.2%
Q3 2021+13.6%+16.7%+6.5%
Q2 2021+2.5%+2.5%-4.7%
Q1 2021-3.2%+1.1%+7.3%
Q1 2020-3.2%+1.1%+7.3%
Q4 2020-14.1%-20.5%+2.6%
Q4 2018-14.1%-20.5%+2.6%
Q3 2020-14.7%-15.7%-26.3%
Q3 2019-14.7%-15.7%-26.3%
Q2 2020-4.8%+1.2%+9.3%
Q4 2019-4.8%+1.2%+9.3%
Q2 2019-4.8%+1.2%+9.3%
Q1 2019-4.8%+1.2%+9.3%

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