Celsius Holdings posts 7% revenue drop in Q1 2025 amid promotional shifts, sees strong international growth 

USA – Celsius Holdings, a prominent player in the functional energy drink category, reported a 7% decrease in revenue to US$329.3 million for the first quarter ended March 31, 2025.  

The company attributed the revenue decline to changes in the structure and timing of its U.S. distributor incentive program, as well as elevated retail promotional allowances that were concentrated later in the quarter compared to the same period in 2024. 

In contrast, the first quarter of 2024 had benefited from multiple promotional campaigns across key retail and convenience channels and the launch of Celsius Essentials, a 16-ounce product line that contributed to stronger year-over-year performance. 

International revenue was a bright spot, rising 41% to US$22.8 million in Q1 2025, supported by organic growth in Celsius’ legacy EMEA markets and momentum from recent launches in the UK, Ireland, France, Australia, and New Zealand.  

When excluding newly launched markets in 2024, international revenue grew 9% over the prior-year quarter. 

Selling, general, and administrative expenses rose by 22% to US$120.3 million, compared to US$99.0 million in Q1 2024. The increase was largely due to acquisition-related costs and continued investment in global headcount as the company expanded its operational footprint. 

Despite a challenging U.S. market in the quarter, retail sales in tracked U.S. channels (MULO+ W/C) demonstrated sustained consumer interest in sugar-free, functional beverages.  

Celsius’ retail sales declined 3% year-over-year, with its dollar share falling to 10.9%, down 140 basis points. 

Meanwhile, the recently acquired Alani Nu brand delivered strong performance, with retail sales climbing 88% year-over-year and gaining 221 basis points in dollar share to reach 5.3%.  

For the trailing 52 weeks ended April 13, 2025, Alani Nu exceeded US$1 billion in retail sales, fueled by expanded distribution and innovation targeting health-conscious consumers. 

John Fieldly, Chairman and CEO of Celsius Holdings, said the company maintained focus on strengthening business fundamentals throughout the quarter.  

He expressed optimism moving into Q2, citing the completion of the Alani Nu acquisition, growth in international markets, and broader distribution gains as key drivers for future performance. 

Celsius reaffirmed its commitment to brand investment, innovation, and operational scale as it positions itself for continued growth in the evolving energy beverage market. 

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