BRC Q4 revenue rises driven by Wholesale and DTC growth

Reuters03-03
BRC Q4 revenue rises driven by Wholesale and DTC growth

Overview

  • Premium beverage company's Q4 revenue rose 6.5% yr/yr, driven by Wholesale and DTC growth

  • Company reported Q4 net loss of $8.6 mln, wider than last year's loss

  • Guidance for fiscal 2026 includes at least 7% revenue growth and 30% EBITDA growth

Outlook

  • Company expects at least 7% revenue growth for full-year 2026

  • BRC forecasts at least 30% growth in adjusted EBITDA for 2026

  • Company projects 2026 gross margin between 34% and 36%

Result Drivers

  • WHOLESALE GROWTH - Wholesale revenue increased 8.4% in Q4 2025, driven by distribution gains and improved sales velocity in packaged coffee

  • DTC GROWTH - Direct-to-Consumer revenue rose 7.1% in Q4 2025, mainly due to growth at third-party digital retail marketplaces

  • GROSS MARGIN DECLINE - Gross margin fell to 32.1% in Q4 2025, impacted by green coffee inflation and tariffs, offset by pricing actions

Company press release: ID:nBwc27GN6a

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Revenue

Beat

$112.70 mln

$109.86 mln (2 Analysts)

Q4 Net Income

-$8.60 mln

Q4 Gross Margin

32.10%

Q4 Gross Profit

$36.20 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the food processing peer group is "buy"

  • Wall Street's median 12-month price target for BRC Inc is $2.50, about 297.1% above its February 27 closing price of $0.63

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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