Vita Coco Lifts 2026 Sales Outlook To $810 Million-$820 Million, Warns Fourth-Quarter Margin Near 33%
Third-quarter sales rose 34% with Copra, 18% without it, but gross margin is guided to about 33% for the fourth quarter.
Vita Coco raised its 2026 net sales forecast to $810 million to $820 million, up from $790 million to $805 million, in an 8-K filed Thursday. The same release guided fourth-quarter gross margin to about 33%, against 38% in the third quarter.
What the results show
Third-quarter net sales were $244 million, up 34% from $182 million a year earlier, the 8-K shows. Excluding Copra, the Thai coconut water producer Vita Coco bought in July 2026, organic growth was 18%.
Vita Coco Coconut Water sales grew 15%. Private label sales grew 152%, helped by Copra.
Net income was $35 million, or $0.58 per diluted share, versus $24 million, or $0.40. Adjusted EBITDA, the company's adjusted profit measure, was $53 million versus $32 million. Gross margin was 38%, in line with the prior year, as minimal tariffs were offset by higher domestic logistics costs and the dilutive effect of Copra.
CEO Martin Roper said the underlying 18% organic growth "exceeding our expectations." He added that "consumer demand is very healthy."
The new guidance
Adjusted EBITDA guidance rose to $170 million to $175 million from $154 million to $161 million. The company now expects selling, general and administrative cost leverage of about 1.5 percentage points of net sales versus 2025, up from one.
Full-year gross margin guidance is unchanged at about 40%. The company attributes the fourth-quarter drop to higher cost of goods and no offsetting price actions until early 2027.
The prior sales range already included Copra. The company cited risks including the military conflict in Iran, tariff changes and its own price elasticity.
Cash and the Copra bill
Vita Coco ended September with no debt and $152 million in cash. Cash is down $45 million since the start of the year and $127 million since the end of the second quarter, because net cash spent on Copra was $139 million.
The company has repurchased $94 million of stock as of Thursday, with $11 million left of a $105 million authorization.
The company plans a call on the results Thursday, where the fourth-quarter margin guidance is the number to hear explained.
