Celsius Holdings Earnings: Record Sales, Market Gains & a Game-Changing Acquisition
- Hardik Shah
- Feb 20
- 3 min read
TLDR
Annual Revenue Growth: Celsius reported $1.36 billion in full-year 2024 revenue, a 3% YoY increase, despite a slight decline in Q4 sales.
Market Expansion & Profitability: International sales surged 39% YoY, while gross margins expanded by 220 basis points to 50.2%.
Major Acquisition: Celsius announced a $1.8 billion acquisition of Alani Nu, strengthening its position in the functional energy drink market.
Financial Results
Celsius Holdings, Inc. (Nasdaq: CELH) is a leading brand in the functional energy drink category, known for its zero-sugar, fitness-oriented beverages. The company operates in North America, Europe, and Asia-Pacific, with strong retail distribution and a growing international footprint. Celsius Earnings:
Management Commentary & Guidance
Celsius CEO John Fieldly stated:
“Our record $1.36 billion full-year revenue underscores strong consumer demand for functional energy drinks. We contributed 30% of the category’s growth and expanded our market share to 11.8%.”
CFO Jarrod Langhans added:
“Our strategic investments in vertical integration and expansion are fueling long-term gains. We anticipate further benefits from the Alani Nu acquisition.”
Celsius expects continued revenue growth, driven by international expansion, retail penetration, and new product innovations.
Operational Performance
Market Expansion & Consumer Trends
International sales grew 39% YoY, fueled by launches in the UK, Ireland, France, Australia, and New Zealand.
Retail distribution expanded by 37%, with over 241,000 outlets selling Celsius products.
The U.S. market share increased to 11.8%, reinforcing its position as the #3 energy drink brand.
Challenges & Headwinds
Q4 revenue declined by 4% due to higher domestic allowances for distributor incentives.
Net income dropped YoY, impacted by legal expenses and one-time restructuring costs.
Retail sales growth slowed to 2% in Q4, reflecting increased competition and promotional spending.
Alani Nu Acquisition
Celsius Holdings announced the $1.8 billion acquisition (3x sales) of Alani Nu, a leading health and wellness brand, to expand its presence in the functional beverage sector.
Deal Overview:
Purchase Price: $1.8B (cash + stock)
Alani Nu Revenue: $595M (2024)
Alani Nu EBITDA: $137M (2024, fully synergized)
Expected Closing: Q2 2025
Financial Impact:
Adds $595M in annual revenue, growing at a 50% CAGR since 2022.
Expected to be accretive to earnings in Year 1.
Leverages $150M in tax benefits and strong cash flow generation.
Strategic Rationale
Strengthens Celsius’ portfolio with pre-workout, hydration, and protein shakes.
Diversifies revenue by adding a fast-growing female-focused brand.
Enhances distribution with Alani Nu’s loyal DTC customer base.
Delivers cost synergies of $50M through supply chain efficiencies and marketing integration.
“The Alani Nu acquisition solidifies our leadership in the functional beverage space. This strategic move accelerates our growth trajectory and strengthens our position in a booming market.”, John Fieldly, Chairman
The Bottom Line
Celsius Holdings delivered solid financial performance in 2024, despite Q4 revenue headwinds. The company’s strong gross margin expansion, market share gains, and strategic acquisition of Alani Nu position it for continued growth. Investors should watch for further retail expansion, international growth, and the successful integration of Alani Nu as key drivers in 2025.
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