Dutch Bros Inc. Reports First Quarter 2026 Financial Results

Dutch Bros Inc. Reports First Quarter 2026 Financial Results 05/06/2026 Achieves 31% Revenue Growth Year-Over-Year Delivers 8.3% System Same Shop Sales Growth, Including 5.1% System Same Shop Transaction Growth Raises 2026 Guidance on Total Revenues, System Same Shop Sales Growth, Adjusted EBITDA and Total System Shop Openings Dutch Bros Inc. (NYSE: BROS; “Dutch Bros” or the “Company”), one of the fastest-growing brands in the U.S. quick service beverage industry, today reported financial results for the first quarter ended March 31, 2026. First Quarter 2026 Highlights Opened 41 new shops, 33 of which were company-operated.Total revenues grew 30.8% to $464.4 million as compared to $355.2 million in the same period of 2025.Systemwide same shop sales1 increased 8.3% and systemwide same shop transactions increased 5.1% relative to the same period in 2025. Company-operated same shop sales 1 increased 10.6% and company-operated same shop transactions increased 6.9% relative to the same period of 2025.Net income was $23.7 million as compared to $22.5 million in the same period of 2025.Adjusted EBITDA2 grew 26.2% to $79.4 million as compared to $62.9 million in the same period of 2025. Christine Barone, Chief Executive Officer and President of Dutch Bros, said, “Our first quarter results reinforce that Dutch Bros continues to operate in a category of its own. Our foundation is built for long-term scale, anchored by our people-led culture, meaningful customer connection, and industry-leading innovation. I am incredibly proud of the execution from our teams, and the results they have driven." Barone continued, “We delivered exceptionally strong results this quarter, highlighted by 31% revenue growth and an outstanding 8.3% increase in system same shop sales, driven by our seventh consecutive quarter of transaction growth. We’re seeing this strength in existing and new markets, throughout dayparts and customer segments. Our teams continue to bring the electric energy, kindness, and connection that define the Dutch Bros experience and earn unrivaled customer engagement.” Josh Guenser, Chief Financial Officer of Dutch Bros, concluded, “Based on the strong performance throughout the first quarter and the performance we have seen into the second quarter, we are raising our full-year guidance across the board. The trajectory of Dutch Bros remains incredibly strong.” 2026 Guidance Total revenues are now projected to be between approximately $2.05 billion and $2.08 billion.Same shop sales1 growth is now estimated to be in the range of 4% to 6%.Adjusted EBITDA3 is now estimated to be between $370 million and $380 million.Total system shop openings are now estimated to be at least 185. The item below remains unchanged. Capital expenditures are estimated to be between $270 million and $290 million.____________________ 1 Same shop sales is defined in the section “Select Financial Metrics”. 2 This is a non-GAAP financial measure. Reconciliation of U.S. GAAP to non-GAAP results is provided in the section “Non-GAAP Financial Measures”. 3 We have not reconciled guidance for Adjusted EBITDA to the corresponding U.S. GAAP financial measure because we do not provide guidance for the various reconciling items. We are unable to provide guidance for these reconciling items because we cannot determine their probable significance, as certain items are outside of our control and cannot be reasonably predicted due to the fact that these items could vary significantly from period to period. Accordingly, reconciliation to the corresponding U.S. GAAP financial measure is not available without unreasonable effort. Conference Call and Webcast Today Christine Barone, Chief Executive Officer and President, and Joshua Guenser, Chief Financial Officer, will host a conference call and webcast today at 5:00 p.m. Eastern Time (ET) to discuss financial results for the first quarter ended March 31, 2026. Event: First Quarter 2026 Conference Call and Webcast Date: Wednesday, May 6, 2026 Time: 5:00 p.m. ET Dial In: 1-201-493-6779 Webcast: https://investors.dutchbros.com under “Events & Presentations”. The webcast will be archived shortly after the conference call has concluded. We will also publish earnings presentation slides related to these financial results on our website https://investors.dutchbros.com under “Events & Presentations”. About Dutch Bros Inc. Dutch Bros Inc. (NYSE: BROS) is a high-growth operator and franchisor of drive-thru shops that focus on serving high QUALITY, hand-crafted beverages with unparalleled SPEED and superior SERVICE. Founded in 1992 by brothers Dane and Travis Boersma, Dutch Bros began with a double-head espresso machine and a pushcart in Grants Pass, Oregon. While espresso-based beverages are still at the core of what we do, Dutch Bros now offers a wide variety of unique, customizable cold and hot beverages that delight a broad array of customers. We believe Dutch Bros is more than just the products we serve—we are dedicated to making a massive difference in the lives of our employees, customers and communities. This combination of hand-crafted and high-quality beverages, our unique drive-thru experience and our community-driven, people-first culture has allowed us to successfully open new shops and continue to share the “Dutch Luv” at 1,177 locations across 25 states as of March 31, 2026. To learn more about Dutch Bros, visit www.dutchbros.com, follow Dutch Bros Coffee on Instagram, Facebook, X, and TikTok, and download the Dutch Bros app to earn points and score rewards! Dutch Bros, our Windmill logo, Dutch Bros Rebel, and our other registered and common law trade names, trademarks and service marks are the property of Dutch Bros Inc. All other trademarks, trade names and service marks appearing in this press release are the property of their respective owners. Solely for convenience, the trademarks and trade names in this press release may be referred to without the ® and ™ symbols, but such references should not be construed as any indicator that their respective owners will not assert their rights thereto. Forward-Looking Statements In addition to historical information, this press release contains a number of “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, statements regarding Dutch Bros’ growth trajectory, and Dutch Bros’ potential or assumed future results of operations, including updated guidance for 2026, new shop openings, estimated capital expenditures, business strategies, and potential sales and revenue growth. These statements are based on Dutch Bros’ current expectations and beliefs, as well as a number of assumptions concerning future events. When used in this press release, the words “intend,” “may,” “target,” “estimates,” “predict,” “project,” “expect,” “should,” “guidance,” and variations of these words or similar expressions (or the negative versions of such words or expressions) are intended to identify forward-looking statements. Such forward-looking statements are subject to known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside Dutch Bros’ control, that could cause actual results to differ materially from the results discussed in the forward-looking statements, including those related to past growth being indicative of future results, whether Dutch Bros’ multi-year initiatives, including expansion of its mobile order capabilities, increase of customer engagement and sales, the success of Dutch Bros’ food offering sales translating to sales of food offerings in other markets, changes in consumer preference due to new information or regulations regarding additives, diet and health or otherwise, general economic conditions, changes in general consumer discretionary spending, including due to higher gas prices, inflation or lack of consumer confidence, commodity inflation, the ability to navigate evolving macroeconomic conditions, the effects of disruption between the U.S. and its trading partners due to military conflicts, tariffs or other policies, increased labor costs, disruptions in our supply chain, ability to hire and retain employees, the availability of suitable new shop sites and our ability to negotiate acceptable agreements regarding the new shop sites, and other risks, including those described in our Annual Report on Form 10-K for the year ended December 31, 2025 filed with the SEC on February 12, 2026, and in our future reports to be filed with the SEC, including our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026. Forward-looking statements contained in this press release are made as of this date, and Dutch Bros undertakes no duty to update such information except as required under applicable law. DUTCH BROS INC. Condensed Consolidated Statements of Operations Three Months Ended March 31, (in thousands, except per share amounts; unaudited) 2026 2025 Revenues Company-operated shops $ 429,057 $ 326,421 Franchising and other 35,355 28,731 Total revenues 464,412 355,152 Costs and Expenses Cost of sales 356,936 265,159 Selling, general and administrative 73,176 58,921 Total costs and expenses 430,112 324,080 Income from operations 34,300 31,072 Other expense Interest expense, net (7,220 ) (7,115 ) Other expense, net (75 ) (18 ) Total other expense (7,295 ) (7,133 ) Income before income taxes 27,005 23,939 Income tax expense 3,341 1,459 Net income $ 23,664 $ 22,480 Less: Net income attributable to non-controlling interests 7,567 7,127 Net income attributable to Dutch Bros Inc. $ 16,097 $ 15,353 Net income per share of Class A common stock: Basic $ 0.13 $ 0.13 Diluted $ 0.13 $ 0.13 Weighted-average shares of Class A common stock outstanding: Basic 127,138 120,810 Diluted 127,384 121,508 DUTCH BROS INC. Segment Financials Three Months Ended March 31, (in thousands; unaudited) 2026 2025 Revenues Company-operated shops $ 429,057 $ 326,421 Franchising and other 35,355 28,731 Total revenues 464,412 355,152 Cost of sales Company-operated shops Beverage, food & packaging 112,322 81,379 Labor costs 112,305 89,439 Occupancy & other costs 76,785 53,927 Pre-opening costs 6,341 5,611 Franchising and other 12,358 8,775 Segment cost of sales1 320,111 239,131 Segment contribution Company-operated shops 121,304 96,065 Franchising and other 22,997 19,956 Total segment contribution $ 144,301 $ 116,021 Segment depreciation and amortization (36,825 ) (26,028 ) Selling, general and administrative (73,176 ) (58,921 ) Interest expense, net (7,220 ) (7,115 ) Other expense, net (75 ) (18 ) Income before income taxes $ 27,005 $ 23,939 ____________________ 1 Segment cost of sales for this presentation excludes impact of depreciation and amortization. DUTCH BROS INC. Company-Operated Shops Results Three Months Ended March 31, 2026 2025 (dollars in thousands; unaudited) $ % $ % Company-operated shops revenue 429,057 100.0 326,421 100.0 Beverage, food and packaging costs 112,322 26.2 81,379 25.0 Labor costs 112,305 26.2 89,439 27.4 Occupancy and other costs 76,785 17.8 53,927 16.5 Pre-opening costs 6,341 1.5 5,611 1.7 Depreciation and amortization 35,522 8.3 24,567 7.5 Company-operated shops costs and expenses 343,275 80.0 254,923 78.1 Company-operated shops gross profit 85,782 20.0 71,498 21.9 Company-operated shops contribution1 121,304 28.3 96,065 29.4 ____________________ 1 Reconciliation of GAAP to non-GAAP results is provided in the section “Non-GAAP Financial Measures”. DUTCH BROS INC. Summary Cash Flows Data Three Months Ended March 31, (in thousands; unaudited) 2026 2025 Net cash provided by operating activities $ 84,724 $ 36,884 Net cash used in investing activities (76,805 ) (45,528 ) Net cash provided by (used in) financing activities (13,806 ) 31,731 Net increase (decrease) in cash and cash equivalents $ (5,887 ) $ 23,087 Cash and cash equivalents at beginning of period 269,404 293,354 Cash and cash equivalents at end of period $ 263,517 $ 316,441 DUTCH BROS INC. Condensed Consolidated Balance Sheets (in thousands; unaudited) March 31, 2026 December 31, 2025 Assets Current assets: Cash and cash equivalents $ 263,517 $ 269,404 Accounts receivable, net 18,766 18,387 Inventories, net 37,392 48,917 Prepaid expenses and other current assets 20,820 20,670 Total current assets 340,495 357,378 Property and equipment, net 862,089 824,502 Lease right-of-use assets, net 935,386 855,339 Deferred income tax assets, net 943,396 946,571 Other long-term assets 23,928 25,524 Total assets $ 3,105,294 $ 3,009,314 Liabilities and Equity Current liabilities: Accounts payable $ 41,688 $ 37,625 Other current liabilities 100,219 99,173 Deferred revenue 56,519 55,658 Current portion of tax receivable agreements liability 13,718 7,696 Current portion of lease liabilities 39,160 36,466 Current portion of long-term debt 3,883 3,881 Total current liabilities 255,187 240,499 Deferred revenue, net of current portion 5,849 8,918 Lease liabilities, net of current portion 921,876 852,380 Long-term debt, net of current portion 195,447 196,295 Tax receivable agreements liability 806,410 813,353 Total liabilities 2,184,769 2,111,445 Equity: Common stock 1 1 Additional paid in capital 580,773 581,261 Accumulated other comprehensive income 66 48 Retained earnings 115,605 99,508 Total stockholders' equity attributable to Dutch Bros Inc. 696,445 680,818 Non-controlling interests 224,080 217,051 Total equity 920,525 897,869 Total liabilities and equity $ 3,105,294 $ 3,009,314 DUTCH BROS INC. Select Financial Metrics Three Months Ended March 31, (dollars in thousands; unaudited) 2026 2025 Shop count, beginning of period Company-operated 811 670 Franchised 325 312 1,136 982 Company-operated new openings 33 25 Franchised new openings 8 5 Shop count, end of period Company-operated 844 695 Franchised 333 317 Total shop count 1,177 1,012 Systemwide AUV1 $ 2,160 $ 2,026 Company-operated shops AUV1 $ 2,121 $ 1,950 Systemwide same shop sales1, 2 8.3 % 4.7 % Ticket 3.2 % 3.4 % Transactions 5.1 % 1.3 % Company-operated same shop sales1 10.6 % 6.9 % Ticket 3.7 % 3.2 % Transactions 6.9 % 3.7 % Systemwide sales2 $ 609,559 $ 489,672 Company-operated operating weeks3 10,493 8,737 Franchising and other operating weeks3 4,230 4,011 Dutch Rewards transactions as a percentage of total transactions4 74 % 72 % Three Months Ended March 31, 2026 2025 (dollars in thousands; unaudited) $ % $ % Company-operated shops revenues 429,057 100.0 326,421 100.0 Company-operated shops gross profit 85,782 20.0 71,498 21.9 Company-operated shops contribution5 121,304 28.3 96,065 29.4 Selling, general, and administrative expenses 73,176 15.8 58,921 16.6 Adjusted selling, general, and administrative expenses5 65,512 14.1 53,497 15.1 Net income 23,664 5.1 22,480 6.3 Adjusted EBITDA5 79,373 17.1 62,906 17.7 ____________________ 1 In 2026, AUVs are determined based on the net sales for any trailing twelve-month period for systemwide and company-operated shops, and same shop sales represent the percentage change in year-over-year sales, for the comparable shop base, that have been open at least 15 complete months as of the first day of the quarterly reporting period. Prior to 2026, AUVs were determined based on shops that had been open a minimum of 15 months, and same shop base was defined as shops open for 15 complete months or longer as of the first day of the reporting period. Prior period numbers have not been adjusted to conform to the new definition as the changes did not have a material impact. AUVs are calculated by dividing the systemwide and company-operated shops net sales by the total number of systemwide and company-operated shops, respectively. Management uses these metrics as an indicator of shop growth, expectations of mature locations, and future expansion strategy. The number of shops included in the systemwide and company-operated comparable bases for the respective periods are presented in the following table. Three Months Ended March 31, 2026 2025 Systemwide shop base 950 794 Company-operated shop base 645 510 2 Systemwide sales and systemwide same shop sales are operating measures that include sales at company-operated shops and sales at franchised shops during the comparable periods presented. Franchise sales represent sales at all franchise shops and are revenues to our franchisees. We do not record franchise sales as revenues; however, our royalty revenues and advertising fund contributions are calculated based on a percentage of franchise sales. As these metrics include sales reported to us by our non-consolidated franchise partners, these metrics should be considered as a supplement to, not a substitute for, our results as reported under U.S. GAAP. Management uses these metrics as indicators of our system’s overall financial health, growth and future expansion prospects. 3 Company-operated and franchise shops operating weeks are calculated based on the number of operating days for the shop base and dividing by 7. Our shop base is defined as shops opened as of the end date of the periods presented. The operating weeks calculations reflect re-acquired franchises through 2022. Management uses these metrics as indicators of our system’s overall financial health, growth and future expansion prospects. 4 Dutch Rewards is our digitally-based rewards program available exclusively through the Dutch Rewards app. Management uses this metric as an indicator of customer loyalty adoption of our Dutch Rewards app and future promotional plans. 5 Reconciliation of U.S. GAAP to non-GAAP results is provided in the section “Non-GAAP Financial Measures”. Non-GAAP Financial Measures In addition to disclosing financial results in accordance with U.S. GAAP, this press release contains references to the non-GAAP financial measures below. We believe these non-GAAP financial measures provide investors with useful supplemental information about our operating performance, enable comparison of financial trends and results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating our business and measuring our performance. Our non-GAAP financial measures reflect adjustments based on one or more of the following items, as well as the related income tax effects where applicable. Income tax effects have been calculated based on the combined total non-GAAP adjustments using our total effective tax rate. These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with U.S. GAAP, and the financial results calculated in accordance with U.S. GAAP and reconciliations from these results should be carefully evaluated. Company-operated shops contribution (in dollars and as a percentage of revenue) Definition and/or calculation Company-operated shops segment gross profit, before company-operated shops depreciation and amortization. Usefulness to management and investors This non-GAAP measure is used by our management in making performance decisions without the impact of non-cash depreciation and amortization charges. This is a standard metric used across our industry by investors. EBITDA, Adjusted EBITDA (in dollars and as a percentage of revenue) EBITDA — definition and/or calculation Net income before interest expense (net of interest income), income tax expense, and depreciation and amortization expense. Adjusted EBITDA — definition and/or calculation Defined as EBITDA (as defined above), excluding equity-based compensation and organization realignment and restructurings costs. Usefulness to management and investors These non-GAAP measures are supplemental operating performance measures we believe facilitate comparisons to historical performance and competitors’ operating results. We believe these non-GAAP measures presented provide investors with a supplemental view of our operating performance that facilitates analysis and comparisons of our ongoing business operations because they exclude items that may not be indicative of our ongoing operating performance. Adjusted selling, general, and administrative (in dollars and as a percentage of revenue) Definition and/or calculation Selling, general, and administrative expenses, excluding depreciation and amortization, equity-based compensation expense and organization realignment and restructurings costs. Usefulness to management and investors This non-GAAP measure is used as a supplemental measure of operating performance that we believe is useful to evaluate our performance period over period and relative to our competitors. We believe the non-GAAP measure presented provides investors with a supplemental view of our operating performance that facilitates analysis and comparisons of our ongoing business operations because it excludes items that may not be indicative of our ongoing operating performance. Adjusted net income Definition and/or calculation Net income, excluding equity-based compensation expense, organization realignment and restructurings costs, and income tax effects of items excluded from net income. Usefulness to management and investors This non-GAAP measure is used as a supplemental measure of operating performance that we believe is useful to evaluate our performance period over period and relative to our competitors. We believe this measure facilitates a better comparison with other companies that have different organizational and tax structures, as well as comparisons period over period. Adjusted fully exchanged weighted-average shares of diluted common stock outstanding Definition and/or calculation Weighted-average shares of Class A common stock outstanding - basic with addition of dilutive impacts of restricted stock units, as well as the assumed exchange of all of the Dutch Bros OpCo Class A common units not held by Dutch Bros Inc. for Dutch Bros Inc. Class A common stock. Usefulness to management and investors This non-GAAP measure is used as a supplemental measure of operating performance that we believe is useful to evaluate our performance period over period and relative to our competitors. By adding in the assumed exchange of all of the outstanding Dutch Bros OpCo Class A common units not held by Dutch Bros Inc. for Dutch Bros Inc. Class A common stock, we believe this measure facilitates a better comparison with other companies that have different organizational and tax structures, as well as comparisons period over period. Adjusted net income per fully exchanged share of diluted common stock Definition and/or calculation Net income per share of Class A common stock - diluted, excluding per share impacts of equity-based compensation expense, organization realignment and restructurings costs, income tax effects of items excluded from net income, and removal of per share impacts of controlling and non-controlling interests. Usefulness to management and investors This non-GAAP measure is used as a supplemental measure of operating performance that we believe is useful to evaluate our performance period over period and relative to our competitors. By assuming the full exchange of all of the outstanding Dutch Bros OpCo Class A common units not held by Dutch Bros Inc. for Dutch Bros Inc. Class A common stock and related net income adjustments, we believe this measure facilitates a better comparison with other companies that have different organizational and tax structures, as well as comparisons period over period. Non-GAAP adjustments Below are the definitions of the non-GAAP adjustments that are used in the calculation of our non-GAAP measures, as described above. Equity-based compensation Non-cash expenses related to the grant and vesting of stock awards, including restricted stock units and performance restricted stock units in Dutch Bros Inc. to certain eligible employees. Organization realignment and restructurings Fees and costs incurred in connection with our comprehensive initiatives to develop and implement a long-term strategy involving changes to our organizational structure to support our growth. Dilutive effects of restricted stock awards and units Addition of incremental shares of restricted stock units calculated under the treasury stock method, when they are dilutive for the calculation of weighted-average shares on a non-GAAP basis. Assumed exchange of weighted-average LLC interests for shares of Class A common stock Weighted-average of all outstanding Dutch Bros OpCo Class A common units not held by Dutch Bros Inc. that are assumed to be exchanged for Dutch Bros Inc. Class A common stock. Supplemental Reconciliations of U.S. GAAP Actuals to Non-GAAP Actuals Following are the reconciliations of the most comparable GAAP financial measure to non-GAAP financial measure. These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with U.S. GAAP, and the reconciliations from U.S. GAAP to Non-GAAP measures should be carefully evaluated. Please refer to "Non-GAAP Financial Measures" in this press release for a detailed explanation of the adjustments made to the comparable U.S. GAAP measures, the ways management uses the non-GAAP measures, and the reasons why management believes the non-GAAP measures provide useful information for investors. Three Months Ended March 31, 2026 2025 (dollars in thousands; unaudited) $ % $ % Company-operated shops gross profit 85,782 20.0 71,498 21.9 Depreciation and amortization 35,522 8.3 24,567 7.5 Company-operated shops contribution 121,304 28.3 96,065 29.4 Three Months Ended March 31, 2026 2025 (dollars in thousands; unaudited) $ % $ % Net income 23,664 5.1 22,480 6.3 Depreciation and amortization 38,255 8.2 26,430 7.4 Interest expense, net 7,220 1.6 7,115 2.1 Income tax expense 3,341 0.7 1,459 0.4 EBITDA 72,480 15.6 57,484 16.2 Equity-based compensation 5,278 1.2 4,194 1.2 Organization realignment and restructurings 1,615 0.3 1,228 0.3 Adjusted EBITDA 79,373 17.1 62,906 17.7 Three Months Ended March 31, 2026 2025 (dollars in thousands; unaudited) $ % $ % Selling, general, and administrative 73,176 15.8 58,921 16.6 Depreciation and amortization (1,430 ) (0.3 ) (402 ) (0.1 ) Equity-based compensation (4,619 ) (1.1 ) (3,794 ) (1.1 ) Organization realignment and restructurings (1,615 ) (0.3 ) (1,228 ) (0.3 ) Adjusted selling, general, and administrative 65,512 14.1 53,497 15.1 Three Months Ended March 31, (in thousands; unaudited) 2026 2025 Net income $ 23,664 $ 22,480 Equity-based compensation 5,278 4,194 Organization realignment and restructuring 1,615 1,228 Income tax effects (1,993 ) (3,101 ) Adjusted net income $ 28,564 $ 24,801 Three Months Ended March 31, (in thousands, except per share amounts; unaudited) 2026 2025 Weighted-average shares of Class A common stock outstanding - basic 127,138 120,810 Dilutive effects of restricted stock units 246 698 Weighted-average shares of Class A common stock outstanding - diluted 127,384 121,508 Assumed exchange of weighted-average Dutch Bros OpCo Class A common units for shares of Dutch Bros Inc. Class A common stock 50,481 56,476 Adjusted fully exchanged weighted-average shares of common stock outstanding - diluted 177,865 177,984 Net income per share of Class A common stock - diluted $ 0.13 $ 0.13 Equity-based compensation 0.03 0.02 Organization realignment and restructurings 0.01 0.01 Income tax effects (0.01 ) (0.02 ) Adjusted net income per fully exchanged share of diluted common stock $ 0.16 $ 0.14 Source: Dutch Bros Inc.