Freshpet, Inc. reported second-quarter 2025 financial results, with net sales increasing 12.5% to $264.7 million, driven by 10.8% volume gains. The company achieved a net income of $16.4 million, a turnaround from a net loss of $1.7 million in the prior year period, and Adjusted EBITDA grew to $44.4 million.
Despite strong operational performance that led to an Adjusted Gross Profit of 46.9% of net sales, Freshpet updated its full-year 2025 net sales guidance to a range of $1.13 billion to $1.16 billion, representing 13% to 16% growth, down from its previous forecast. This adjustment reflects a more challenging consumer sentiment backdrop and slower growth in the dog food category.
Significantly, Freshpet removed its $1.8 billion net sales target for fiscal year 2027, acknowledging the impact of reduced category growth rates. However, the company reiterated its long-term Adjusted Gross Margin target of 48% and Adjusted EBITDA Margin target of 22% for 2027, emphasizing its focus on profitability. Capital expenditures for 2025 were also reduced to approximately $175 million from the prior $225 million estimate.
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