Westrock Coffee Company (WEST) investor relations material

Executive summary

• Net sales rose 44.4% year-over-year to $308.8 million for Q1 2026, with gross profit up 57.4% to $45.8 million, driven by strong growth in both operating segments and a fully operational integrated beverage platform.

• Consolidated Adjusted EBITDA more than tripled to $26.0 million, marking the fourth consecutive quarter of year-over-year growth and a key inflection point.

• Net loss narrowed to $8.4 million from $27.1 million in Q1 2025.

• All production lines at the Conway facility are fully operational and commercialized, generating positive operating cash flow and driving operational leverage.

• Commercial momentum is strong, with a deep pipeline of new and existing brand partners across multiple beverage categories.

Financial highlights

• Gross profit for Q1 was $46 million, a 57% year-over-year increase, with gross margin improving to 14.8%.

• Operating profit was $3.2 million, reversing a $13 million operating loss from Q1 2025.

• Basic and diluted loss per share improved to $(0.09) from $(0.29) year-over-year.

• Interest expense increased to $13.5 million from $12.6 million.

• Capital expenditures dropped to $7.1 million from $41.3 million, reflecting lower capital intensity.

Outlook and guidance

• Reaffirmed 2026 consolidated adjusted EBITDA outlook of $90 million–$100 million.

• Expectation to be free cash flow positive in the second half of 2026.

• Most 2026 volumes are contracted, with upside potential in 2027 as the sales pipeline accelerates.

• 2027 outlook is strong, with volumes being booked and additional capacity available for future growth.

• Management expects sufficient liquidity for the next twelve months, contingent on profitability growth and covenant compliance.