Vital Farms (VITL) Q4 2025 earnings summary

Executive summary

• Achieved record results in 2025, with net revenue up 25.3% to $759.4 million and Adjusted EBITDA reaching $114 million, driven by strong volume-led growth and expanded farm network.

• Founder Matt O'Hayer retired as executive chairperson; CEO Russell Diez-Canseco became Executive Chairperson and CEO, ensuring unified leadership.

• Investments in ERP systems, new production lines, and operational scaling enhanced scalability and efficiency.

• Brand awareness and household penetration rose, supporting premium market positioning and continued growth.

• A $100 million, two-year share repurchase program was authorized, reflecting confidence in long-term growth.

Financial highlights

• FY 2025 net revenue was $759.4 million, up 25.3% year-over-year; Q4 revenue was $213.6 million, up 28.7%.

• Gross profit reached $285.7 million (37.6% of net revenue), with a slight margin contraction due to higher labor and overhead costs.

• Adjusted EBITDA grew 31.6% to $114 million (15% margin); net income was $66.3 million, or $1.44 per diluted share.

• SG&A expenses were $159.4 million (21% of net revenue), with improved operating leverage and increased marketing investment.

• Ended 2025 with $113.4 million in cash and marketable securities, no debt, and CapEx of $82 million.

Outlook and guidance

• 2026 net revenue guidance is $900–$920 million, representing up to 22% growth, primarily volume-driven.

• Adjusted EBITDA guidance for 2026 is $105–$115 million, with CapEx expected at $140–$150 million, focused on capacity and infrastructure expansion.

• Long-term targets reaffirmed: $2 billion net revenue by 2030, gross margin ≥35%, EBITDA margin 15–17%.

• Guidance assumes no major supply chain or macroeconomic disruptions.