Zevia PBC (ZVIA) Goldman Sachs Global Staples Forum 2026 summary

Key financial and operational highlights

• Q1 outperformed expectations in both volume and price, leading to raised top-line guidance for the year.

• Growth drivers include stronger retail sales, new distribution (notably at Costco), and improved velocity in existing channels.

• Price increases were realized faster than anticipated, with no further increases planned for the year.

• Gross margins in Q1 were 48.4%, with a long-term target in the mid-50% range as cost efficiencies and product mix improve.

• EBITDA profitability is expected to be reached within the next year, delayed by inflationary pressures on fuel and aluminum.

Marketing, innovation, and brand initiatives

• Major marketing push includes a partnership with Cardi B, aiming for step-change reach and engagement, with a full campaign launching this summer.

• Marketing spend as a percentage of revenue has doubled over two years, with a focus on brand distinction, digital, retail, and grassroots sampling.

• New packaging rollout completes in Q2, aligning with increased promotional support and new marketing campaigns.

• Taste profile improvements and innovation in fruity flavors are attracting new consumers and driving trial.

• Incremental innovation is validated by strong early results, with new SKUs delivering up to 53% incrementality at select retailers.

Distribution, channel strategy, and growth outlook

• Distribution gains continue, with expanded presence at Walmart, Albertsons, and club channels like Costco; further upside expected in club and food service.

• Household penetration is in the mid-single digits, with steady growth expected as distribution and consumer base expand.

• Singles are a new focus to drive trial, especially in convenience and food service channels.

• Club channel is not yet a major revenue driver but offers significant upside, especially with potential expansion at Sam's Club and BJ's.

• Food channel remains a top performer, with opportunities for same-store and SKU distribution growth.