Freshpet Inc ( (FRPT) ) has released its Q3 earnings. Here is a breakdown of the information Freshpet Inc presented to its investors.
TipRanks Black Friday Sale
- Claim 60% off TipRanks Premium for the data-backed insights and research tools you need to invest with confidence.
- Subscribe to TipRanks' Smart Investor Picks and see our data in action through our high-performing model portfolio - now also 60% off
Freshpet Inc. is a company specializing in the production of fresh, refrigerated pet food, operating primarily in the pet food industry with a focus on natural ingredients and sustainability.
In its third quarter of 2025, Freshpet Inc. reported a notable 14% increase in net sales, reaching $288.8 million, and achieved positive free cash flow, positioning the company to be free cash flow positive for the entire fiscal year 2025.
Key financial metrics from the report include a gross margin of 39.5% and an adjusted EBITDA of $54.6 million, reflecting an improvement from the previous year. The company’s net income surged to $101.7 million, significantly boosted by a $77.9 million tax benefit due to sustained profitability. Despite a slight decrease in gross margin from the previous year, Freshpet managed to reduce its SG&A expenses as a percentage of net sales, contributing to its overall positive financial performance.
Looking forward, Freshpet has revised its 2025 guidance to reflect a net sales growth of approximately 13% and adjusted EBITDA between $190 million and $195 million. The company remains committed to maintaining financial discipline by lowering capital expenditures and is optimistic about capturing future growth in the pet food category.