By Dean Seal
Shares of Celsius Holdings slipped after the company recorded its third consecutive quarter of declining revenue due in part to a pullback in promotions.
The stock was down 3.2% at $32.80 in premarket trading. Shares had gained 29% year-to-date when the market closed Monday.
The energy-drink maker said Tuesday morning that revenue was down 7% at $329.3 million in the first quarter, missing analyst projections for $342.5 million, according to FactSet.
The top line took a hit from the timing and structure of the company's U.S. distributor incentive program and higher retail promotional allowances, which were weighted more toward the back-half of the quarter than they were a year earlier.
The year-earlier quarter also included multiple promotional activations across its key retail and convenience channels, and the launch of Celsius's 16-ounce Essentials line.
The company posted a profit of $44.4 million, or 15 cents a share, compared with $77.8 million, or 27 cents a share, in the year-ago quarter. Adjusted earnings were 18 cents a share.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
May 06, 2025 09:24 ET (13:24 GMT)
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