Zevia 2025 Q2 Earnings Strong Performance as Net Loss Shrinks 90.6%

Zevia (ZVIA) reported its fiscal 2025 Q2 earnings on August 6, 2025. The company delivered results that exceeded expectations, with both revenue and adjusted EBITDA coming in ahead of forecasts. Despite a cautious outlook from management due to macroeconomic uncertainties, Zevia noted meaningful progress in cost control and profitability. The company maintained no official guidance but signaled continued strategic execution for long-term value creation.

Revenue
Zevia’s total revenue rose 10.1% year-over-year to $44.52 million in the second quarter of 2025, reflecting a strong performance compared to the $40.43 million reported in the same period of the prior year.

Earnings/Net Income
The company significantly reduced its losses, narrowing its net loss to $651,000 for the quarter, or $0.01 per share, from a $6.96 million, or $0.10 per share, loss in the prior-year period—representing a 90.6% reduction in net losses. This improvement underscores the company’s progress in managing its cost structure and driving operational efficiency. The narrowing of the net loss is a positive sign for Zevia’s path to profitability.

Price Action
Zevia’s stock price advanced 1.78% during the latest trading day, surged 8.52% for the week, and gained 8.86% month-to-date, reflecting investor optimism around the company’s performance and strategic direction.

Post-Earnings Price Action Review
Despite the strong earnings, the historical performance of a strategy to buy Zevia shares following a quarter with revenue growth and hold for 30 days has underperformed significantly over the past three years. This approach yielded a return of -21.58% compared to a 49.40% benchmark return, resulting in an excess return of -70.98% and a CAGR of -7.86%. While the strategy exhibited relatively low volatility, it still implied substantial risk, with a Sharpe ratio of -0.08 and a maximum drawdown of 0.00%.

CEO Commentary
Amy Taylor, Chief Executive Officer of Zevia, expressed confidence in the company’s second-quarter results, noting that net sales and adjusted EBITDA exceeded expectations. She attributed the success to strategic growth initiatives, including distinctive marketing, product innovation, and expanded distribution. Taylor emphasized that these efforts are laying the groundwork for long-term, sustainable growth.

Guidance
Zevia did not provide updated net sales guidance for the remainder of the year, citing uncertainty in the macroeconomic environment. However, the company reaffirmed its commitment to executing strategic initiatives and strengthening its business foundation for long-term profitability and value creation.

Additional News
On August 7, 2025, Zevia released a presentation titled “Zevia Q2 2025 slides: Revenue jumps 10%, company…” offering a detailed look at the quarter’s performance. The presentation highlighted the 10.1% revenue increase and provided an overview of the company’s strategic and operational achievements. While no major M&A activity or executive changes were reported in the immediate period, the company continued to focus on brand strengthening and product innovation. Investors and analysts are closely watching Zevia’s ability to maintain momentum in a competitive beverage market.