--- title: "Celsius Q2 2026 earnings: Revenue rose 11% as margins narrowed" type: "News" locale: "en" url: "https://longbridge.com/en/news/295089148.md" description: "Celsius Holdings reported Q2 2026 revenue of $817.9 million, up 10.6% year-over-year, driven by Alani Nu and Rockstar Energy acquisitions. However, GAAP diluted EPS fell to $0.14 from $0.33 due to narrower gross margins, increased promotional activity, and $80.9 million in distributor termination fees. CELSIUS brand revenue declined 11.7%, while international sales grew 10%. Adjusted EBITDA dropped 12% to $184.2 million." datetime: "2026-08-06T10:16:03.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295089148.md) - [en](https://longbridge.com/en/news/295089148.md) - [zh-HK](https://longbridge.com/zh-HK/news/295089148.md) --- # Celsius Q2 2026 earnings: Revenue rose 11% as margins narrowed Celsius Holdings (Nasdaq: CELH) reported Q2 2026 revenue of $817.9 million, up 10.6% year over year, while GAAP diluted EPS fell to $0.14 from $0.33. Alani Nu and the addition of Rockstar Energy lifted portfolio sales, but lower CELSIUS brand revenue, a narrower gross margin and distributor termination fees weighed on profitability. ## Core earnings data Revenue growth outpaced gross profit growth, with gross profit rising only 3.4% as promotional activity, incentives and channel mix reduced gross margin. GAAP operating income also included $80.9 million of distributor termination fees. The decline was not limited to that charge. Adjusted EBITDA, which excludes distributor termination fees and other specified items, fell 12%, and its margin narrowed to 22.5% from 28.4%. Metric Q2 2026 Q2 2025 Year-over-year change Revenue $817.9 million $739.3 million +10.6% Gross profit / margin $393.7 million / 48.1% $380.9 million / 51.5% +3.4% / -340 bps GAAP operating income $75.3 million $143.0 million Approximately -47% GAAP net income $55.3 million $99.9 million \-45% Net income attributable to common shareholders $36.4 million $85.7 million \-57% GAAP diluted EPS $0.14 $0.33 \-58% Adjusted diluted EPS $0.36 $0.47 \-23% Adjusted EBITDA / margin $184.2 million / 22.5% $210.3 million / 28.4% \-12% / -590 bps The figures cover the three months ended June 30, 2026. Adjusted diluted EPS and adjusted EBITDA are non-GAAP measures. ## Business and brand performance North American revenue increased 11% to $790.7 million, while international revenue rose 10% to $27.2 million. International growth reflected momentum in the Nordic markets and expansion markets including Iberia, the UK, Ireland, France, Australia, New Zealand and Benelux. Alani Nu generated $364.4 million of Q2 revenue. Management attributed its performance to consumer demand, increased orders from the company’s largest customer during the transition into PepsiCo’s distribution system, and the Purple Cotton Candy limited-time flavor. Greater use of direct-store delivery, or DSD, and the discontinuation of certain non-ready-to-drink products partially reduced reported net revenue. Rockstar Energy contributed $66.5 million following its 2025 acquisition. In contrast, CELSIUS brand revenue declined 11.7%, reflecting higher trade and promotional investment, inventory-rebalancing shipment timing, weakness in the club channel, moderated innovation and SKU optimization. Retail data showed similar brand-level divergence. For the 13 weeks ended June 28, 2026, portfolio retail sales in tracked U.S. channels increased 31%, giving Celsius Holdings an approximately 20.1% share of the ready-to-drink energy category. However, the individual brands followed different paths: - CELSIUS retail sales fell 2%, and its category share was approximately 9.5%. Average distribution points declined about 7%, but dollars per distribution point improved approximately 16% from Q1. - Alani Nu retail sales increased 55.7%, supported by innovation, wider distribution and new-consumer adoption. Its category share reached approximately 8.7%. - Rockstar Energy retail sales decreased 13%, with an approximately 1.9% category share. These retail figures measure tracked-channel consumer sales and are not directly comparable with the company’s reported net revenue. ## Profitability and balance sheet Gross margin declined to 48.1% from 51.5% a year earlier, although it remained near the roughly 48% recorded in Q1. Higher promotional and incentive activity, channel mix and commodity inflation—primarily aluminum—offset better outbound freight costs and supply-chain integration benefits. The absence of the prior-year Alani Nu inventory step-up expense also provided a partial offset. SG&A expense was nearly unchanged at $237.6 million, compared with $237.9 million a year earlier. Because revenue increased, SG&A declined to 29.0% of revenue from 32.2%. This operating leverage was outweighed by the lower gross margin and the distributor termination charge. At June 30, cash and cash equivalents stood at $631.2 million, up from $398.9 million at the end of 2025, while restricted cash fell to $1.9 million from $141.1 million. Long-term debt was broadly stable at $667.9 million. Inventory increased to $390.6 million from $337.7 million, and accrued promotional allowances rose to $453.0 million from $307.9 million. Celsius Holdings spent approximately $100.4 million on share repurchases during the quarter. The company did not characterize the repurchases as evidence that its shares were undervalued. ## Management’s view Management said the Alani Nu and Rockstar integrations have created a broader portfolio with distinct brand roles and consumer occasions. The immediate operating priority is improving assortment productivity and execution to return the CELSIUS brand to sustainable growth. The company expects freight optimization, purchasing alignment, revenue growth management and price-pack architecture to support margins as these initiatives mature. Management also cautioned that rising commodity costs are partially offsetting those benefits. ## Recent insider transactions The supplied insider data show 16 purchases totaling 137,225 shares and one sale totaling 2,880 shares over the latest six-month period, resulting in net purchases of 134,345 shares. The most recent reported open-market purchases and sale are listed below without drawing conclusions about insiders’ outlook. Date Insider and role Transaction Ownership Reported value May 22, 2026 Hal Kravitz, Director Purchase at $29.73 per share Direct $249,732 May 22, 2026 John Erick Fieldly, CEO Purchase at $29.36 per share Direct $248,826 May 21, 2026 Eric Hanson, President Purchase at $29.04 per share Direct $217,800 March 2, 2026 Joyce Russell, Director Sale at $51.31 per share Direct $147,773 ## Risks investors need to watch - **CELSIUS brand weakness:** Revenue for the namesake brand fell 11.7%, while retail sales declined 2%. The timing and extent of distribution-space gains from SKU optimization remain important to its recovery. - **Continued margin pressure:** Promotions, channel mix and aluminum inflation reduced gross margin by 340 basis points. These pressures could continue to offset integration, freight and purchasing efficiencies. - **Uneven portfolio performance:** Alani Nu is providing substantial growth, but CELSIUS and Rockstar posted retail declines. Sustained portfolio growth depends on improving weaker brands while maintaining Alani Nu’s momentum. - **Distribution and integration execution:** Alani Nu’s PepsiCo transition increased customer orders, but the DSD mix also requires greater trade investment and billbacks. Q2’s distributor termination fees further demonstrate the potential cost of distribution changes. - **Higher inventory and promotional balances:** Inventory and accrued promotional allowances both increased from year-end, making sell-through and promotional efficiency important balance-sheet indicators. ## Summary Celsius Holdings produced double-digit Q2 revenue growth by combining Alani Nu’s momentum with Rockstar Energy’s contribution, but the CELSIUS brand contracted and profitability weakened. The next phase depends on whether assortment optimization restores CELSIUS growth and whether supply-chain and freight savings can overcome promotional spending and commodity inflation. 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