BRC (BRCC) Q4 2025 earnings summary

Executive summary

• Packaged coffee grew 31.1% year-over-year, outpacing the broader category by nearly 3x, with units up 22% and share up 60 basis points in bagged coffee.

• Exited 2025 with strong momentum, driven by focus on high-impact brand and strategy areas, especially in coffee portfolio and distribution expansion.

• Full year net revenue reached $398.3 million, exceeding prior guidance, with Adjusted EBITDA of $21.4 million, also above expectations.

• Maintained disciplined growth while reinforcing mission and relationships with military, veteran, and first responder communities.

• Packaged coffee and RTD coffee distribution expanded significantly, with ACV increases to 54.9% and 55.9%, respectively.

Financial highlights

• FY2025 net revenue was $398.3M, up 1.7% year-over-year; Q4 2025 net revenue was $112.7M, up 6.5% year-over-year.

• FY2025 gross margin declined to 34.6% from 41.2% in FY2024; Q4 2025 gross margin was 32.1%, down from 38.1% in Q4 2024.

• FY2025 Adjusted EBITDA was $21.4M, down 42% year-over-year; Q4 2025 Adjusted EBITDA was $9.7M, down 1.8% year-over-year.

• FY2025 net loss was $32.2M, compared to $7.6M loss in FY2024; Q4 2025 net loss was $8.6M.

• Marketing expenses decreased 10.3% in Q4 2025; G&A expenses rose 28.5% due to early software contract termination.

Outlook and guidance

• FY2026 net revenue expected to grow at least 7% to $425M+; gross margin expected in the 34–36% range.

• Adjusted EBITDA projected to grow at least 30% over 2025, with EBITDA generation expected to be second-half weighted.

• Operating expenses anticipated to decline year-over-year; company expects to be cash flow generative in 2026 with capital expenditures consistent with prior year.

• Long-term targets: 10–15% annual revenue growth, 40%+ gross margin, and 15–25% annual EBITDA growth.

• Management focuses on EBITDA expansion, efficiency, and internally funded growth.