Vita Coco sees FY23 net sales growth of 10%-12%

The Company is updating its previously communicated full year 2023 guidance: Expect net sales growth of approximately 10-12% compared to fiscal year 2022, based on mid teens Vita Coco Coconut Water growth, partially offset by weakness in private label due to the expected transition of a major private label customer starting in the fourth quarter. Expect gross margins for the remainder of 2023 to improve relative to the second quarter. Full year gross margins in the range of 35% to 37% reflecting improved transportation costs and branded pricing, and lower private label mix. Forecast Adjusted EBITDA in the range of $56-60 million reflecting full year net sales growth and gross margin improvement offset by increased investment in SG&A to support the long term growth of the company.