CELSIUS Energy Drinks & PepsiCo Vibe | Celsius Holdings 2023 Q2 Update

Vibe this, vibe that, if CELSIUS really wanted to create an impactful flavor, maybe the next one should be PepsiCo Vibe. This is only the second quarter that Celsius energy drinks was fully integrated into the PepsiCo DSD distribution system after the August deal announcement. Celsius Holdings (NASDAQ: CELH) had quarterly revenue of $326 million, which was up 112% YoY. According to IRI last 52-week data, Celsius was the number one brand driver of unit and sales growth in the energy drink category. Celsius was responsible for 23% of the category growth, driving $667 million in incremental sales. In addition, according to the trailing 4 weeks of IRI SPINS all tracked channel data for the period ending June 18, 2023, Celsius is now securely the third-largest energy drink brand in the category. Its market share went from 4.3% in the second quarter of last year to 8.6% now. Celsius energy drinks saw massive growth in convenience stores, foodservice (e.g. colleges), mass retailers like Walmart, the club channel in retailers like Costco, and the Amazon marketplace. Additionally, the international expansion groundwork with PepsiCo is getting laid now, so Celsius energy drinks can capture what they believe is a significant opportunity for incremental growth over the next three to five years. I need to start off by saying that I misjudged the Celsius and PepsiCo partnership. I was certainly not bearish on the tie-up, but I didn’t think it would perform this well…this early! In the current quarter, net sales to Pepsico amounted to $184.8 million. But overall…kudos to the Celsius team for what appears to an outsider to be a seamless transition. FOLLOW ME ON MY SOCIAL MEDIA ACCOUNTS LINKEDIN - ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.linkedin.com/in/joshuaschallmba⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ TWITTER - ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.twitter.com/joshua_schall⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ INSTAGRAM - ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.instagram.com/joshua_schall⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ FACEBOOK - ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://www.facebook.com/jschallconsulting⁠