Dutch Bros Inc. (BROS) reported fourth‑quarter 2025 results that surpassed expectations, with revenue rising 29.4% year‑over‑year to $443.6 million and adjusted earnings per share climbing to $0.17, a $0.07 beat over the consensus estimate of $0.10. The quarter’s revenue growth follows a $342.8 million Q4 2024 figure, underscoring a strong acceleration in top‑line performance.
System‑wide same‑shop sales grew 7.7% and transaction volume increased 5.4%, driven largely by the company‑operated shop segment, which generated $409.6 million in revenue—an increase of 30.4% YoY. The robust mix of new store openings and higher average ticket size helped offset modest headwinds in the franchised segment.
Operating margin expanded to 7.7% from 4.6% a year earlier, while contribution margin for company‑operated shops fell slightly to 27.6% from 28.9% in Q4 2024, reflecting elevated coffee costs. Adjusted EBITDA rose to $303 million, up 31% YoY, but the company cautions that margin pressure of roughly 60 basis points is expected in 2026 due to ongoing commodity price volatility.
For 2026, Dutch Bros is guiding revenue of $2.00 billion to $2.03 billion and system‑wide same‑shop sales growth of 3% to 5%. The guidance signals confidence in continued demand for its drive‑through coffee and the expansion of its product mix, while the company maintains its target of 2,029 shops by 2029.
CEO Christine Barone said, “Dutch Bros remains a powerful growth engine” and added, “We believe we have the right energy and the right strategy to continue winning market share for years to come.” CFO Joshua Guenser noted, “For 2025, total revenues were $1.64 billion, representing an impressive growth of 28%… Adjusted EBITDA climbed to $303 million, outpacing total revenue growth with an exceptional increase of 31%.” He also cautioned that “At the midpoint of this range, we expect approximately 60 basis points of net adjusted EBITDA margin pressure, largely driven by elevated coffee costs.”
Investors responded positively to the results, citing the strong earnings beat, revenue growth, and robust same‑shop sales as key drivers of confidence in Dutch Bros’ continued expansion and operational execution.
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