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Dec 31, 2021
BellRing Q1 2022 Earnings Report
BellRing Brands reported first quarter results with net sales increasing, operating profit rising, and reaffirmed fiscal year 2022 net sales and Adjusted EBITDA guidance.
Key Takeaways
BellRing Brands reported net sales of $306.5 million, an increase of 8.5% compared to the prior year period. Operating profit was $50.6 million, and net earnings available to Class A common stockholders were $8.2 million. The company reaffirmed its fiscal year 2022 net sales guidance of $1.36-$1.41 billion and Adjusted EBITDA guidance of $255-$265 million.
Net sales increased by 8.5% to $306.5 million.
Premier Protein net sales increased 4.5%, while Dymatize net sales increased 40.6%.
Operating profit rose by 5.9% to $50.6 million.
The company reaffirmed its fiscal year 2022 net sales and Adjusted EBITDA guidance.
BellRing
BellRing
BellRing Revenue by Segment
Revenue by Segment
Shakes & Other Beverages Revenue
CapyFin.com Forward Guidance
For fiscal year 2022, BellRing management continues to expect net sales and Adjusted EBITDA each to grow 9%-13% over fiscal year 2021 (resulting in a net sales range of $1.36-$1.41 billion and an Adjusted EBITDA range of $255-$265 million) and capital expenditures of approximately $4 million.
Positive Outlook
- Net sales are expected to grow 9-13% over fiscal year 2021.
- Adjusted EBITDA is expected to grow 9-13% over fiscal year 2021.
- Net sales are projected to be in the range of $1.36-$1.41 billion.
- Adjusted EBITDA is projected to be in the range of $255-$265 million.
- Capital expenditures are expected to be approximately $4 million.
Challenges Ahead
- Input and freight inflation are pressuring the supply chain.
- Labor and input availability are pressuring the supply chain.
- Lower than anticipated production and delays in capacity expansion across the broader third party shake contract manufacturer network have resulted in low inventories and missed sales.
- Service levels and fill rates remain below normal levels, and certain products have been placed on allocation.
- Raw material, packaging and freight inflation has been widespread, rapid and significant, and has put downward pressure on profit margins.