Oatly reports growth revenue of US$208.4M in its second quarter FY 2025

SWEDEN – Oatly, a dairy oat company, has reported a revenue increased US$6.2 million, or 3.0% to US$208.4 million for the second quarter, compared to US$202.2 million for the prior year period.

Excluding a foreign currency exchange tailwind of $6.6 million, revenue for the second quarter was US$201.7 million, or a decrease of 0.2% compared to the prior year period.

The decrease in constant currency revenue was primarily driven by decline in North America and Greater China, partially offset by strong growth in Europe and International.

Sold volume for the second quarter of 2025 increased 2.8% to 140.4 million liters compared to 136.6 million liters in the second quarter of 2024.

Produced finished goods volume for the second quarter of 2025 was 142.8 million liters compared to 142.0 million liters for the second quarter of 2024.

Gross profit was US$67.6 million for the second quarter of 2025 compared to US$59.0 million for the second quarter of 2024. Gross profit margin was 32.5% in the second quarter of 2025, an increase of 330 basis points compared to the prior year period.

The margin improvement compared to the second quarter of 2024 was primarily driven by improvements in supply chain efficiency in Europe & International.

Adjusted EBITDA loss for the second quarter of 2025 was US$3.6 million, compared to a loss of US$11.0 million in the prior year period. The improvement in Adjusted EBITDA loss was primarily a result of higher gross profit and lower research and development expenses.

Jean-Christophe Flatin, Oatly’s CEO, commented, “In the first half of the year, we made good progress on our 2025 priorities. We continue to drive cost efficiencies in our supply chain and overhead structure, and our disciplined execution of our growth playbook has seen success in our Europe & International segment, where we are seeing top line momentum.

All of these steps are aimed toward our goal of consistently improved profitability. Our updated guidance reflects slower-than-expected top-line progress in our North America segment, as well as a soft macro-environment in our Greater China business. Importantly, we continue to drive additional cost efficiencies to keep us on-track to deliver on our profitability commitment, enabling us to reaffirm our adjusted EBITDA guidance.”

Outlook

The Company’s outlook continues to include the expected results of the Greater China segment. Based on the Company’s assessment of the current operating environment and the actions it is taking, the Company is refining its 2025 outlook as follows.

Constant currency revenue growth is now expected to be in the range of approximately flat to +1%, compared to the prior expectation of +2% to +4%, reflecting reduced expectations in the North America segment as well as a softer-than-expected macro-environment in the Greater China segment;

Adjusted EBITDA continues to be expected to be in the range of positive US$5 million to US$15 million.

Capital expenditures are expected to be approximately US$20 million, compared to the prior expectation of US$30 to US$35 million.

Based on recent foreign exchange rates, the full-year impact of foreign exchange is now expected to be a tailwind to revenue growth by approximately 150 basis, compared to the prior expectation of an approximately 100 basis point headwind.

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