BellRing Brands 2025 Q4 Earnings Revenue Surges 16.6% but EPS Dips 11.4%

BellRing Brands (BRBR) reported Q4 2025 earnings with revenue of $648.2 million, a 16.6% increase, exceeding estimates. However, EPS fell to $0.49, below the $0.54 forecast. The company adjusted FY2026 guidance to $2.41 billion–$2.49 billion in net sales, reflecting cautious optimism amid near-term challenges.

Revenue

BellRing Brands reported Q4 revenue of $648.2 million, a 16.6% year-over-year increase, driven by a 19.2% volume growth offset by a 2.6% price/mix decline. Premier Protein segment revenue rose 14.9%, fueled by 18.4% volume growth and a 3.5% price/mix decrease, while Dymatize segment sales surged 32.9% due to strong volume. International sales benefited from an $8 million timing shift. However, adjusted gross profit dipped to 29.7% from 35.9% in the prior year, impacted by input cost inflation and promotional activity.

Earnings/Net Income

The company’s EPS declined 11.4% to $0.49 in Q4 2025, down from $0.56 in Q4 2024, while net income fell 16.9% to $59.6 million from $71.7 million. Despite these declines, BellRing maintained profitability for six consecutive years, underscoring operational stability.

Post-Earnings Price Action Review

The strategy of purchasing BellRing shares following quarterly revenue drops and holding for 30 days showed mixed performance over the past three years. While the approach yielded a positive return overall, it exhibited significant volatility, with a median -10% decline on the first day post-earnings but a 5% recovery over 30 days. Annualized returns averaged 5%, modest for the risk involved. BRBR outperformed the S&P 500 in two of three years but remained volatile, making it suitable for short-term traders rather than long-term investors.

CEO Commentary

CEO Darcy Davenport highlighted a “strong 2025 performance” with 16% net sales growth and a 20.8% adjusted EBITDA margin. She acknowledged Q1 2026 challenges due to tough comparisons and nonrecurring promotions but expressed confidence in mid-year acceleration. Strategic priorities include expanding distribution, launching new campaigns, and innovating with products like coffeehouse shakes.

Guidance

BellRing guided FY2026 net sales growth of 4%–8% ($2.41B–$2.49B), with adjusted EBITDA of $425M–$455M (18% margin). Q1 2026 is expected to show ~5% lower net sales due to lapping promotions, with growth accelerating in H2. Premier Protein’s growth is projected at high single digits, while Dymatize faces headwinds from cost inflation.

Additional News

BellRing Brands faces a securities fraud investigation following a 18% stock drop in May 2025, triggered by revelations of temporary trade inventory loading at key retailers. A new $400 million share repurchase program was announced, reflecting management’s confidence in long-term value. Additionally, the company updated its long-term growth targets to 7%–9% revenue growth, emphasizing Premier Protein’s leadership in the RTD shake category.