Aug 6, 2026, 6:02 AM ETConsumer Defensive
Celsius Holdings — Second Quarter 2026 Earnings Summary
Financial Performance
- Total revenue for Q2 2026 reached $817.9 million, an 11% increase year-over-year from $739.3 million; first-half 2026 revenue totaled $1,600.5 million, up 50% from $1,068.5 million.
- North America revenue was $790.7 million in Q2 2026 (up 11% YoY), while International revenue was $27.2 million (up 10% YoY).
- Gross margin decreased to 48.1% in Q2 2026 from 51.5% in Q2 2025, a 340 basis point decline; first-half gross margin was 48.2% compared to 51.8% in the prior year period.
- Net income attributable to common shareholders was $36.4 million in Q2 2026, a 57% decrease from $85.7 million in Q2 2025; for the first half, it was $121.4 million, up 1% from $119.9 million.
- Diluted EPS was $0.14 in Q2 2026 versus $0.33 in Q2 2025; first-half diluted EPS was $0.47 versus $0.48.
- Adjusted diluted EPS was $0.36 in Q2 2026 (down 23% YoY) and $0.77 for the first half (up 19% YoY).
- Adjusted EBITDA was $184.2 million in Q2 2026 (down 12% YoY) and $379.6 million for the first half (up 36% YoY).
- SG&A expenses were $237.6 million in Q2 2026 (29.0% of revenue) and $472.2 million for the first half (29.5% of revenue).
- Cash and cash equivalents were $631.2 million as of June 30, 2026, compared to $398.9 million as of December 31, 2025.
- Long-term debt stood at $667.9 million as of June 30, 2026, compared to $669.9 million at year-end 2025.
- Deferred revenue increased to $495.3 million total ($31.5 million current, $463.9 million non-current) as of June 30, 2026, from $428.1 million total at December 31, 2025.
Guidance and Future Outlook
- Management expects margin expansion over the remainder of the year through initiatives including the orbit model, freight optimization, raw material alignment, revenue growth management, and price-pack architecture mix improvements.
- The company anticipates increasingly realizing benefits from the platform built through the successful integration of recent acquisitions as initiatives mature.
- Management expressed confidence that actions taken to optimize the CELSIUS brand assortment and execution will strengthen the brand and drive durable, long-term growth.
Business Segments and Product Lines
- Alani Nu® generated $364.4 million in Q2 2026 revenue, driven by strong demand, orders from its largest customer transitioning to the PepsiCo distribution system, and the launch of the Purple Cotton Candy flavor.
- Rockstar Energy® contributed $66.5 million in Q2 2026 revenue; the brand was acquired in the U.S. and Canada on August 28, 2025.
- CELSIUS brand revenue decreased approximately 11.7% in Q2 2026 due to increased trade/promotional investment, inventory rebalancing, softness in the club channel, moderated innovation, and SKU optimization.
- CELSIUS brand international revenue totaled $27.2 million in Q2 2026, showing momentum in established Nordic markets and expansion markets including Iberia, the UK, Ireland, France, Australia, New Zealand, and Benelux.
- Retail sales of the portfolio in U.S. tracked channels increased 31.0% for the 13-week period ended June 28, 2026.
- Alani Nu® retail sales increased 55.7% year-over-year for the 13-week period ended June 28, 2026.
- Rockstar Energy® retail sales decreased 13% year-over-year for the 13-week period ended June 28, 2026.
- CELSIUS brand retail sales decreased 2% year-over-year for the 13-week period ended June 28, 2026.
Market and Competitive Landscape
- The Celsius Holdings portfolio contributed approximately 30% of the zero-sugar U.S. energy category's $640 million growth in Q2 2026.
- The company held an approximate 20.1% dollar share in the U.S. RTD energy category for the 13-week period ended June 28, 2026.
- CELSIUS brand held an approximate 9.5% dollar share in the U.S. RTD energy category for the period.
- Alani Nu® held an approximate 8.7% dollar share in the U.S. RTD energy category for the period.
- Rockstar Energy® held an approximate 1.9% dollar share in the U.S. RTD energy category for the period.
- The company noted that roughly one in five energy drinks sold in the United States comes from its portfolio.
Risks and Challenges
- Gross margin compression was driven by higher promotional and incentive activity as a percentage of revenue, channel mix shifts, rising commodity costs (primarily aluminum), and higher fuel costs.
- CELSIUS brand performance was impacted by SKU optimization initiatives, planned moderation in innovation activity, and softness in the club channel.
- The company faces ongoing inflation in commodity costs which partially offsets improvements from integration and freight optimization.
- Forward-looking statements cite risks including changes to commercial agreements with PepsiCo, integration of acquired businesses, litigation matters, and regulatory changes.
Management Commentary and Tone
- John Fieldly, Chairman and CEO, stated the company delivered a double-digit revenue increase and completed the Rockstar integration while maintaining gross margin near first-quarter levels despite a challenging commodity environment.
- Management described the portfolio as a "scaled Modern Energy portfolio" with distinct roles for CELSIUS, Alani Nu®, and Rockstar Energy® aimed at attracting new consumers and expanding consumption occasions.
- The CEO expressed confidence that the company is "well positioned to drive durable, long-term growth" and is "still early" in the platform's potential.
- Management emphasized a focus on improving assortment productivity and strengthening execution to return the CELSIUS brand to sustainable growth.
Other Key Points
- The company executed disciplined capital allocation with approximately $100.4 million in share repurchases during Q2 2026 and $124.5 million for the first half of 2026.
- Distributor termination fees of $80.9 million were recorded in Q2 2026 and $85.3 million for the first half, included in the reconciliation of Adjusted EBITDA.
- Legal settlement costs of $24.6 million were accrued for the first half of 2026 related to ongoing litigation.
- The Alani Nu® brand transitioned into the PepsiCo distribution system during the quarter, driving increased orders.
- The company acquired Alani Nu® on April 1, 2025, and Rockstar Energy® in the U.S. and Canada on August 28, 2025.
- A webcast to discuss results was held on August 6, 2026, at 8:00 a.m. ET.