The Golden Egg: Vital Farms Forecasts $1B Net Revenue Target For 2027

Vital Farms Inc VITL has updated its long-term financial targets and plans.

By the end of fiscal year 2027, management expects to generate annual net revenue of more than $1 billion in its current categories.

The company expects a gross margin of at least 35% of net revenue by the fiscal year 2027 and an adjusted EBITDA Margin in the range of 12% to 14%.

For FY23, Vital Farms reaffirmed its revenue outlook of more than $465 million.

For FY23, the company continues to expect Adjusted EBITDA of more than $35 million and capital expenditures of $16 million- $21 million.

"We believe that what we have built still has significant growth potential within our current categories," said President and CEO Russell Diez-Canseco. "Vital Farms is well-positioned for continued significant net revenue growth through 2027."

Vital Farms reported a 28.4% increase in Q2 FY23 revenue to $106.4 million. EPS was $0.15 compared to $0.00 last year.

Vital Farms offers a range of ethically produced foods nationwide.

Price Action: VITL shares are trading higher by 4.03% at $11.36 on the last check Tuesday.