Freshpet, Inc. Provides Business Update

Rhea-AI Summary

Freshpet Updates Sales Guidance Due to Manufacturing Issues

Freshpet has announced a revision in its 2021 net sales expectations to between $425 million and $430 million, alongside an adjusted EBITDA of approximately $42 million. The adjustments stem from temporary production decreases caused by supply chain issues related to packaging. CEO Billy Cyr emphasized the company's ongoing demand and improving retail conditions, despite these disruptions. Freshpet remains optimistic about its manufacturing capacity and future growth plans.

Positive

• Adjusted EBITDA is expected to be approximately $42 million.
• Net sales forecast remains robust at $425 million to $430 million.
• Improving retail conditions support ongoing demand.
• Household penetration for products has reaccelerated.

Negative

• Temporary manufacturing disruptions affected production levels.
• Revised sales expectations could indicate underlying supply chain vulnerabilities.

Updates Net Sales and Updates EBITDA Guidance to Reflect Temporary Manufacturing Disruption

SECAUCUS, N.J., Dec. 17, 2021 (GLOBE NEWSWIRE) -- Freshpet, Inc. (NASDAQ: FRPT) (“Freshpet” or the “Company”) today announced updated full year 2021 net sales and EBITDA guidance and has posted an updated investor presentation to the Company’s investor relations website.

The Company now expects net sales to be between $425 million and $430 million for full year 2021 and adjusted EBITDA to be approximately $42 million for full year 2021.

“Supply chain issues continue to cause new challenges for our business, this time with parts supplies for key packaging components. While we’ve since solved this issue, it nonetheless caused a temporary decrease in production, which in turn is resulting in the revision to our full year expectations that we are updating today,” commented Billy Cyr, Freshpet’s Chief Executive Officer. “We continue to forge ahead, emboldened by the improving retail conditions and the consistent demand from our customers –
consumption growth is on track with our expectations and household penetration has reaccelerated – both key metrics that underpin our long-term goals. As we look toward 2022, we are encouraged by our current capacity run-rate, which demonstrates the progress we are making to establish a broader and more efficient manufacturing footprint.”

About Freshpet

Freshpet’s mission is to improve the lives of dogs and cats through the power of fresh, real food. Freshpet foods are blends of fresh meats, vegetables and fruits farmed locally and made at our Freshpet Kitchens.  We thoughtfully prepare our foods using natural ingredients, cooking them in small batches at lower temperatures to preserve the natural goodness of the ingredients. Freshpet foods and treats are kept refrigerated from the moment they are made until they arrive at Freshpet Fridges in your local market.

Our foods are available in select mass, grocery (including online), natural food, club, and pet specialty retailers across the United States, Canada and Europe. From the care we take to source our ingredients and make our food, to the moment it reaches your home, our integrity, transparency and social responsibility are the way we like to run our business. To learn more, visit www.freshpet.com.

Connect with Freshpet:

https://www.facebook.com/Freshpet 

https://twitter.com/Freshpet 

http://instagram.com/Freshpet 

http://pinterest.com/Freshpet 

https://en.wikipedia.org/wiki/Freshpet 

https://www.youtube.com/user/freshpet400 

Forward Looking Statements

Certain statements in this release constitute “forward-looking” statements. These statements are based on management’s current opinions, expectations, beliefs, plans, objectives, assumptions or projections regarding future events or future results. These forward-looking statements are only predictions, not historical fact, and involve certain risks and uncertainties, as well as assumptions. Actual results or events could differ materially from those stated, anticipated or implied by such forward-looking statements. Such forward-looking statements are made only as of the date of this release. Freshpet undertakes no obligation to publicly update or revise any forward-looking statement because of new information, future events or otherwise, except as otherwise required by law. If we do update one or more forward-looking statements, no inference should be made that we will make additional updates with respect to those or other forward-looking statements.

Contact
ICR
Jeff Sonnek
646-277-1263
jeff.sonnek@icrinc.com

FAQ

What are Freshpet's updated net sales expectations for 2021?

Freshpet has revised its net sales expectations to be between $425 million and $430 million for the full year 2021.

What impact did supply chain issues have on Freshpet?

Supply chain issues related to packaging caused temporary decreases in production, necessitating adjustments to the company’s full-year expectations.

What is Freshpet's projected EBITDA for 2021?

Freshpet expects an adjusted EBITDA of approximately $42 million for the full year 2021.

How is Freshpet addressing manufacturing disruptions?

Freshpet has solved the supply chain issues impacting their production but has still had to revise its sales outlook.