Key Highlights

  • Celsius Holdings shares are down 13.72% in pre-market trading despite revenue growth.
  • Q2 2026 revenue reached $818 million, up approximately 11% year over year, driven by portfolio growth across Celsius, Alani Nu, and Rockstar brands.
  • Adjusted EPS of $0.36 missed estimates of $0.42, a 14.29% miss.
  • Brand Celsius net sales declined roughly 12% year over year on retail softness.
  • Gross margin held at approximately 48%, consistent with the prior quarter.

Shares Fall Despite Overall Revenue Growth

Celsius Holdings (NASDAQ:CELH) is trading sharply lower today even though the functional energy drink company reported total second-quarter revenue growth, as investors focused instead on a bottom-line earnings miss and softness in its core Celsius brand. Shares fell as much as 13.72% to $25.15 in pre-market trading, extending a 1.32% decline in the prior regular session.

Celsius Holdings, a global beverage company headquartered in Boca Raton, Florida, develops, markets, sells, and distributes functional energy drinks across North America, Europe, Asia-Pacific, and other international markets. The company reported second-quarter revenue of $818 million, up approximately 11% year over year, driven by portfolio growth across its Celsius, Alani Nu, and Rockstar brands, while adjusted EPS of $0.36 missed the $0.42 consensus estimate, a 14.29% shortfall.

Celsius Brand Softness Offsets Alani Nu Strength

Brand Celsius net sales declined roughly 12% year over year, with retail sales in track channels down 2%, reflecting SKU rationalization, shipment timing, increased trade investment, and club channel softness, though management expects the brand to return to growth similar to Q2 levels by year-end and into 2027.

Alani Nu was a standout performer, surging $1 billion in retail sales in track channels for the first half of the year, with net sales up 21% year over year and track channel dollar growth of approximately 56% in the quarter, as Rockstar integration also contributed net sales of $66 million and stabilization efforts underway for 2027. Gross margin held at approximately 48%, consistent with the first quarter, with adjusted EBITDA of $184 million, or 22.5% of revenue, versus $210 million a year earlier.

Conclusion

Celsius Holdings' sharp decline reflects investor focus on the earnings miss and continued softness in the core Celsius brand, even as total company revenue grew on strong Alani Nu and Rockstar contribution. With management expecting Celsius brand growth to stabilize by year end, the market will likely watch for signs of a turnaround in the coming quarters.

This article is for informational purposes only and does not constitute financial, investment, or trading advice. Readers should conduct their own research or consult a licensed financial advisor before making any investment decisions.