Ethan Huntley's questions to Zevia PBC (ZVIA) leadership • Q2 2025
Question
Ethan Huntley from Goldman Sachs, on for Bonnie Herzog, questioned the decision to maintain full-year sales guidance after a strong Q2, noting it implies a weaker Q4. He also sought clarity on the expected impact of tariffs on gross margins.
Answer
CFO Girish Satya explained the cautious outlook is due to the uncertain macro environment and, more importantly, lapping a substantial Walmart pipeline fill from the prior year's Q4. He confirmed tariffs are expected to have a 200 basis point impact on gross margin, with the effect becoming material in Q3, but noted that incremental cost savings should offset this pressure in 2026.