Fitness energy drink maker CELSIUS enjoyed record growth in its Q4 2021 and full year earnings report released this week, with revenue up 140% to $314.3 million.
Domestic revenue rose 186% to $273 million for the year while international revenue was up 17% to $41.2 million from the previous year. Gross profit was up 111% to $128.2 million.
In particular, results were bolstered by the expansion of CELSIUS’s DSD network, with distributor revenues up 362% from 2020. The company reported a U.S. store count of more than 135,000 locations, with over 53,000 (+65%) new locations added during the year. As well, the fitness (up 91%) and vending channels (up 186%) combined added $14.7 million of incremental revenue.
“Our record fourth quarter and full year 2021 financial results mirror our industry-leading growth metrics from third-party data providers, indicating that CELSIUS is grabbing more market share at an accelerated pace across all channels,” said CEO John Fieldly in an earnings call. “For the first time in the company’s history we delivered over $100 million in sales, and we did this in the fourth quarter.”
Q4 revenue was up 192% to $104.3 million, compared to $35.7 million in 2020. Domestic revenue increased 238% to $95.9 million and was driven by fast growth in traditional channels and additional SKU facings in existing accounts, as well a broader expansion in the convenience channel. International revenue rose 15% to $8.3 million in the quarter. Gross profit was up 140% to $41.7 million.
Convenience channel expansion, in particular, was a key factor in driving the growth, with c-store door count up 95% for the full year to 59,700 locations. The expansion of CELSIUS’ DSD network – which in part comes from Anheuser-Busch InBev distribution houses that brought the brand on following Bang’s shift to the PepsiCo system in 2020 – has now given the brand coverage to roughly 98% of the U.S. population (up from 80% in 2020). CELSIUS also increased its presence in the club channel to 524 stores, generating $35 million in incremental revenue.
As well, ecommerce sales continue to play an important role in the company’s omnichannel strategy: CELSIUS is currently the second largest energy drink brand on Amazon (behind Monster) with a category share of 20.24%.
Speaking to investors and analysts during the earnings call, Fieldly said the company is looking to hire additional staff to support continued growth, including on its finance team. Fieldly also acknowledged several challenges faced by the company during the year, including pandemic-related headwinds and rising costs, but noted the brand is continuing to gain awareness among mainstream consumers.
“Our momentum is accelerating, and our brand is resonating with a robust consumer base, expanding the category demographics,” he said. “Focus on health and wellness is beyond the trend now. Functional energy is recognized throughout the industry as a driver of future growth with retailers and customers.”