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Vital Farms, Inc. has submitted its 10-Q filing for the quarterly period ended September 29, 2024.
The filing includes financial statements for the quarter, showing an increase in net revenue to $145,002,000 from $110,429,000 in the same quarter the previous year. The increase is attributed to volume-related increases and price-related increases.
Cost of goods sold for the quarter was $91,526,000, representing 63% of net revenue, compared to 67% in the same quarter of the previous year. This decrease in cost ratio is due to benefits of scale and operational efficiencies.
The company reported a gross profit of $53,476,000 for the quarter, compared to $36,665,000 in the previous year, with the increase attributed to higher net revenue and operational efficiencies.
Selling, general, and administrative expenses increased to $36,102,000 from $25,081,000, primarily due to increases in marketing-related expenses and employee-related costs.
Net income for the quarter was $7,446,000, up from $4,523,000 in the previous year. The increase is attributed to higher net revenue and improved gross margin.
Cash provided by operating activities was $50,043,000, while cash used in investing and financing activities was $8,355,000 and $6,987,000, respectively.
Vital Farms had a working capital of $251,594,000 as of September 29, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various financial agreements, including a syndicated credit agreement with JPMorgan Chase Bank, N.A. (JPM-1.01%)
Vital Farms does not anticipate cash dividend payments to common stockholders in the near future.
The company identified a need for continued investment in its processing, manufacturing, and production capacity to support future growth.
Vital Farms continues to focus on expanding its product offerings and increasing household penetration, highlighting its dependence on a strong supply chain and distribution network.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Vital Farms Inc. quarterly 10-Q report dated November 7, 2024. To report an error, please email earnings@qz.com.