Robert Edward Ottenstein

Robert Edward Ottenstein sought granular detail on The Vita Coco Company's international market performance, particularly in Europe, asking about consumer occasions, competitive intensity, margin profiles compared to the U.S., and any unusual factors flattering Q3 results.

Answer

CEO Martin Roper highlighted strong European growth, led by the U.K. (80%+ share, cold shelf focus) and Germany's early-stage national authorizations. He noted private label's significant role in other European markets, lower consumer pricing but good margins due to direct-to-retail and lower ocean freight, and confirmed strong demand as the primary driver for Q3 results without unusual flattering factors.

Robert Edward Ottenstein asked for more granularity on the international market, particularly in Europe, regarding consumer occasions, competitive intensity compared to the U.S., and margin profile. He also asked if anything unusual had flattered the Q3 international results.

Answer

Martin Roper, Chief Executive Officer, detailed the international market, primarily Europe, highlighting the UK's strong category share (over 80%) and cold-shelf dominance, contrasting it with the U.S. warm-shelf presence. He described Germany as being in early innings, where Vita Coco's brand launch accelerated category growth, and noted the company's patient, ground-up approach to market development. Mr. Roper explained that international margins are good, benefiting from lower ocean freight costs from Asia to Europe, despite lower consumer pricing. He confirmed that Q3 international results were driven by strong demand.