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Westrock Coffee Q1 2025 Earnings Report
Westrock Coffee Company reported financial results for the first quarter ended March 31, 2025.
Key Takeaways
Westrock Coffee Company reported solid financial results for the first quarter of 2025, with net sales increasing by 11.1% to $213.8 million. Despite a decrease in gross profit and an increased net loss, the company made significant progress in scaling up its Conway Facility and reaffirmed its 2025 and 2026 guidance for Consolidated Adjusted EBITDA and Segment Adjusted EBITDA.
Net sales increased by 11.1% to $213.8 million in Q1 2025.
Consolidated Adjusted EBITDA was $8.2 million, including $3.3 million in scale-up costs for the Conway Facility.
Beverage Solutions segment reported net sales of $164.1 million and Segment Adjusted EBITDA of $9.6 million.
Sustainable Sourcing & Traceability segment saw net sales increase by 44.4% to $49.7 million and Segment Adjusted EBITDA of $1.9 million.
Westrock Coffee
Westrock Coffee
Westrock Coffee Revenue by Segment
Revenue by Segment
Beverage Solutions Revenue
CapyFin.comSustainable Sourcing & Traceability Revenue
CapyFin.com Forward Guidance
The Company is reaffirming its 2025 and 2026 guidance for Consolidated Adjusted EBITDA, Segment Adjusted EBITDA, and Beverage Solutions credit agreement secured net leverage ratio.
Positive Outlook
- Reaffirming 2025 and 2026 guidance for Consolidated Adjusted EBITDA.
- Reaffirming 2025 and 2026 guidance for Segment Adjusted EBITDA.
- Reaffirming 2025 and 2026 guidance for Beverage Solutions credit agreement secured net leverage ratio.
- Making great progress in scaling up sales volume throughput at the Conway, Arkansas extract and ready-to-drink manufacturing facility.
- Launch of the second single serve cup facility in Conway has exceeded expectations.
Challenges Ahead
- No specific negative forward guidance was provided in the report.
- Potential risks related to changes in domestic and foreign business, market conditions, and supply chain disruptions.
- Inability to secure adequate supply of key raw materials or disruption in supply chain.
- Risks related to the rollout of business and timing of milestones.
- Competition effects on business and ability to attract/retain qualified personnel.
Revenue & Expenses
Visualization of income flow from segment revenue to net income