Last Updated: Feb. 26, 2024 at 7:13 am ET
First Published: Feb. 26, 2024 at 6:56 am ET
The stock of Freshpet Inc. rose 17% on Monday to its highest level in nearly two years after the pet-food company’s fourth-quarter revenue and profit topped analyst estimates.
Freshpet FRPT said it earned $15.66 million, or 31 cents per share in the fourth quarter. Over the past year, Freshpet lost $2.59 million, or 6 cents per share.
Analysts…
The stock of Freshpet Inc. rose 17% on Monday to its highest level in nearly two years after the pet-food company’s fourth-quarter revenue and profit topped analyst estimates.
Freshpet
FRPT
it said it earned $15.66 million, or 31 cents per share in the fourth quarter. Over the past year, Freshpet lost $2.59 million, or 6 cents per share.
Analysts had estimated that Freshpet would earn 7 cents per share in the most recent quarter, according to FactSet data.
Freshpet cited higher sales, increased gross margins, and reduced logistics costs as a percentage of net sales for its higher profits. These factors were partially offset by increased media spending of $10.4 million and selling, general and administrative expenses.
Freshpet sales climbed to $215.4 million from $165.8 million, ahead of the FactSet consensus estimate of $204.6 million.
Looking ahead, Freshpet expects 2024 sales of about $950 million, ahead of analyst estimates of $945.5 million.
Freshpet stock rose $16.83 to $108.83, its highest level since April, 2022.
Benchmark analyst John Lawrence reiterated a “buy” rating on the stock and said Freshpet’s results marked “another quarter where management firmly executed the playbook with strong sales growth and more improved margins,” according to a research note.
