NYSE$BROS

Dutch Bros Inc. · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Dutch Bros reported strong Q2 2024 results, achieving a 30% increase in revenue year-over-year and surpassing the 900th shop milestone.

Dutch Bros Inc. reported strong financial results for the second quarter ended June 30, 2024. Total revenues grew by 30.0% to $324.9 million compared to the same period in 2023. The company opened 36 new shops and raised its revenue and Adjusted EBITDA guidance for the year.

  • Opened 36 new shops, 30 of which were company-operated, across 13 states.
  • Total revenues grew 30.0% to $324.9 million as compared to the same period of 2023.
  • System same shop sales increased 4.1% relative to the same period in 2023.
  • Net income was $22.2 million as compared to $9.7 million in the same period of 2023.

Headline financials

Total Revenue

$325M

Previous: $250M+30.0%
EPS

$0.12

Previous: $0.13-7.7%
Systemwide sales

$466M

Previous: $375M+24.3%
Systemwide same shop sales

4.1%

Previous: 3.8%+7.9%
Company-operated same shop sales

5.2%

Previous: 1.6%+225.0%
Total shop count, end of period

912

Previous: 754+21.0%
Company-operated shops, end of period

612

Previous: 473+29.4%
Franchised shops, end of period

300

Previous: 281+6.8%
Company-operated new openings

30

Previous: 35-14.3%
Franchised new openings

6

Previous: 3+100.0%
Systemwide same shop transactions

-2.0%

No prior period
Company-operated same shop transactions

-0.8%

No prior period
Dutch Rewards transactions as % of total

66.7%

No prior period
Capital Expenditures

-$122M

Previous: -$102M-19.2%
Free Cash Flow

-$110M

Previous: -$99.6M-10.5%
Net Income

$11.9M

Previous: $2.75M+333.9%
Operating Income

$32.2M

Previous: $19.6M+64.4%
Gross Profit

$90.3M

Previous: $71.2M+26.7%
Cash & Equivalents

$261M

Previous: $23.7M+1000.1%
Total Assets

$2.38B

Previous: $1.37B+73.7%
Stock-Based Comp

$3.33M

Previous: $10.1M-67.2%

Revenue & EPS history

Dutch Bros · Revenue · Quarterly

$325M

Q2 2024+30%vs Q2 2023
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Dutch Bros · $265M total across 2 segments · Q3 2023

  • Company-operated shops
    $236M+36.3%
  • Franchising and other
    $28M+11.5%

Forward guidance

Dutch Bros revised its 2024 outlook, projecting total revenues between $1.215 billion and $1.230 billion. Same shop sales growth is expected to remain in the low single digits. Adjusted EBITDA is estimated to be between $200 million and $210 million.

Tailwinds

  • Total revenues are now projected to be between $1.215 billion and $1.230 billion, up from the prior range of $1.20 billion and $1.215 billion.
  • Same shop sales growth is expected to remain in the low single digits.
  • Adjusted EBITDA is now estimated to be between $200 million and $210 million, up from the prior range of $195 million to $205 million
  • Adjusted SG&A is estimated to be between $190 million and $200 million, up from the prior range of $183 million and $189 million.
  • Capital Expenditures are estimated to be between $270 million to $290 million from the prior range of $280 million to $320 million.

Headwinds

  • Total system shop openings in 2024 are now expected to be at the lower end of the previously communicated range of 150 to 165.
  • We have not reconciled guidance for Adjusted EBITDA or Adjusted SG&A to the corresponding GAAP financial measure because we do not provide guidance for the various reconciling items.
  • We are unable to provide guidance for these reconciling items because we cannot determine their probable significance, as certain items are outside of our control and cannot be reasonably predicted due to the fact that these items could vary significantly from period to period.
  • Accordingly, reconciliation to the corresponding GAAP financial measure is not available without unreasonable effort.
  • The company expects commodity inflation, increased labor costs, disruptions in our supply chain, ability to hire and retain employees

Historical earnings impact

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

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+1.6%

Avg return

Earnings day

+3.5%

Avg return

5 days after

+3.0%

Avg return

30 days after

61%

11 / 18 earnings

Positive

+33.1%

Q3 2024

Best reaction

-38.5%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-9.2%-14.2%-6.0%
Q4 2025+4.7%+5.1%-6.9%
Q3 2025-4.2%+0.8%+5.2%
Q1 2025+8.9%+18.6%+23.4%
Q4 2024+29.1%+31.9%-3.4%
Q3 2024+33.1%+44.0%+64.0%
Q2 2024-19.9%-22.8%-15.6%
Q1 2024+12.1%+27.1%+36.2%
Q4 2023+1.0%+6.2%+23.7%
Q3 2023+1.1%+3.5%+3.6%
Q2 2023+18.2%+19.4%-4.0%
Q1 2023-11.5%-19.4%-6.3%
Q4 2022-8.9%-12.1%-23.3%
Q3 2022+10.7%+2.3%+0.2%
Q2 2022+8.9%+10.9%-12.9%
Q1 2022-38.5%-37.5%-15.7%
Q4 2021-8.3%+2.4%+14.6%
Q3 2021+2.2%-3.1%-22.1%
Q2 2021
Q1 2021
Q4 2020
Q3 2020
Q2 2020
Q1 2020

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