Zevia PBC Q1 2026 Earnings Name Abstract

Achieved document 21% gross sales development pushed by deliberate price restructuring, sharpened innovation, and expanded distribution channels.
Attributed outperformance to sturdy base enterprise velocity and faster-than-anticipated realization of worth will increase carried out in Q1.
Leveraged a brand new partnership with Cardi B to drive the model’s highest-ever natural social media attain and engagement since launch.
Efficiently executed a nationwide Costco rotation, which served as a key driver for family penetration and rising market discovery.
Launched new fruit-based flavors which are at present outperforming median portfolio velocities and driving vital retail incrementality.
Carried out a complete package deal redesign to enhance shelf presence and extra successfully talk clean-label product distinctions.
Optimized the availability chain by means of automation and warehousing efficiencies, leading to a 370-basis-point enchancment in promoting expense as a proportion of web gross sales.

Raised full-year web gross sales steerage to $170 million–$175 million, factoring in Q1 power balanced towards Okay-shaped financial uncertainty.
Anticipates Q3 can be a high-growth interval as a result of strategic shift of promotional and advertising {dollars} to coincide with peak summer season demand.
Expects the deliberate discontinuation of the tea line to affect total top-line development by roughly 1 to 1.5 proportion factors.
Initiatives full-year adjusted EBITDA between adverse $2 million and adverse $4 million, incorporating an $11 million complete headwind from gas and aluminum prices.
Assumes gross margins will stay roughly in step with Q1 ranges, with slight strain anticipated within the second half of the 12 months.

Recognized $6 million in new incremental prices, with two-thirds attributed to surging gas costs and the rest to fuel-related aluminum spikes.
Recorded $2.3 million in litigation bills in the course of the first quarter, impacting common and administrative prices.
Deliberate $1 million in restructuring prices for Q2 associated to the strategic relocation of a distribution heart.
Famous that whereas $20 million in prices have been eliminated over two years, further financial savings of $3 million–$5 million possible will not materialize till late 2026 or 2027.

Administration confirmed the partnership is inside the current 2026 finances and makes use of a shift in promotional timing somewhat than incremental spend.
The collaboration focuses on an ‘always-on’ social media technique and a serious summer season promoting marketing campaign to broaden the consumer base.