Celsius Q4 2024 Earnings Report
Key Takeaways
Celsius Holdings announced it has entered into a definitive agreement to acquire Alani Nutrition LLC for $1.65 billion. The company also released its fourth quarter and full-year 2024 financial results.
Celsius to acquire Alani Nu for $1.65 billion, creating a leading better-for-you, functional lifestyle platform.
The acquisition combines two growing, scaled energy brands with clear category tailwinds.
The transaction is expected to be accretive to cash EPS in the first full year of ownership.
Alani Nu retail sales increased by 78% year over year as reported by Circana for the last-four-week period ended Jan. 26, 2025.
Celsius
Celsius
Forward Guidance
With the addition of Alani Nu, the combined Celsius platform is expected to drive ~$2 billion in sales across a differentiated energy portfolio. The transaction is expected to enhance Celsius’ position as an innovative leader in the large, growing global energy category, which is projected to grow at a 10% CAGR from 2024 to 2029.
Positive Outlook
- Creates a leading better-for-you, functional lifestyle platform at the intersection of consumer megatrends.
- Combines two growing, scaled energy brands with clear category tailwinds.
- Provides complementary brand positioning and attractive consumer demographics and is expected to drive incremental category growth.
- Leverages combined strengths and capabilities to drive the next phase of growth.
- Enhances topline growth algorithm and is expected to be cash EPS accretive in year one with a meaningful synergy opportunity.
Challenges Ahead
- Changes to commercial agreements with PepsiCo, Inc.
- General economic and business conditions.
- The potential negative impact on our financial condition and results of operations if we fail to achieve the benefits that we expect to realize as a result of our business acquisitions, including Alani Nu.
- Liabilities of the businesses that we acquire that are not known to us.
- Existing and future regulations affecting our business.