Westrock Coffee Company (WEST) Q2 2025 earnings summary

Executive summary

• Net sales rose 34.8% year-over-year to $280.9 million in Q2 2025, driven by strong customer demand, higher volumes, and commodity prices, with record segment performance from new facility launches and production ramp-up.

• Net loss attributable to common shareholders was $21.6 million for Q2 2025, reflecting planned investments and compared to $17.7 million in Q2 2024.

• Combined segment adjusted EBITDA reached $23.6 million, up from $15.3 million in Q2 2024, with first half 2025 at the high end of guidance.

• Significant developments included the launch and ramp-up of the Conway extract and RTD facility, new single-serve cup plant, and the de-consolidation of Rwanda Trading Company via a joint venture.

• 2025 and 2026 guidance for adjusted EBITDA and leverage ratios reaffirmed.

Financial highlights

• Q2 2025 net sales: $280.9 million (+34.8% year-over-year); gross profit: $41.4 million (flat year-over-year); net loss: $21.6 million (vs. $17.8 million prior year).

• Adjusted EBITDA for Q2 2025 was $23.6 million, up from $15.3 million in Q2 2024, including $7.6 million in scale-up costs for Conway.

• Beverage Solutions segment net sales grew 27.9% to $208.8 million; segment adjusted EBITDA up 48.5% to $19.7 million.

• Sustainable Sourcing & Traceability segment net sales rose 59.6% to $72.0 million; segment adjusted EBITDA increased to $3.3 million from $0.4 million.

• Cash and cash equivalents at June 30, 2025, were $44.0 million, with $8.4 million in restricted cash.

Outlook and guidance

• 2025 and 2026 guidance for consolidated and segment adjusted EBITDA and leverage ratios reaffirmed.

• First half 2025 consolidated adjusted EBITDA of $23.6 million at the top end of guidance.

• Material capital expenditures for the Conway Facility expected to complete by end of Q3 2025.

• Management expects cash from operations and available borrowings to fund near-term growth, monitoring liquidity amid commodity price volatility and tariffs.

• Targeting EBITDA growth from $60 million last year to $200 million in three to four years.