Wood pellet grills maker Traeger beats Q3 revenue estimates

Traeger

05/11/2025 22:32

Overview

Traeger Q3 FY25 revenue grows 2.7%, beating analysts' expectations

Net loss widens to $89.8 mln, due to $74.7 mln goodwill impairment

Adjusted EBITDA for Q3 FY25 beats analysts' estimates

Outlook

Company reiterates FY25 revenue guidance of $540 mln to $555 mln

Traeger expects FY25 gross margin between 40.5% and 41.5%

Company targets $50 mln in annualized cost savings from Project Gravity

Result Drivers

GRILL REVENUE - Growth in average selling price drives 2.2% increase in grill revenues, despite lower unit volume

CONSUMABLES GROWTH - Wood pellet sales boost consumables revenue by 12.3%, offsetting decline in food consumables

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Beat
$125.40 mln
$110.70 mln (8 Analysts)
Q3 EPS
-$0.67
Q3 Adjusted Net Income
Miss
-$22.30 mln
-$5.27 mln (7 Analysts)
Q3 Net Income
-$89.82 mln
Q3 Adjusted EBITDA
Beat
$13.80 mln
$10.20 mln (7 Analysts)
Q3 Gross Margin
38.70%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the appliances, tools & housewares peer group is "buy."

Wall Street's median 12-month price target for Traeger Inc is $1.50, about 39.6% above its November 4 closing price of $0.91

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 38 three months ago

Press Release: ID:nBw9D0MCKa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)