Oatly Group AB announced financial results for the second quarter of 2025, reporting a 3.0% increase in revenue to $208.4 million. Despite slower-than-expected progress in North America and a challenging macro-environment in Greater China, the company remains focused on cost efficiencies to improve profitability.

The strategic review of the Greater China business aims to accelerate growth and maximize value. Revenue for Europe & International saw a 12.0% increase to $118.2 million, driven by volume growth in Barista products. Profit margins improved to 32.5% due to supply chain efficiency.

North America revenue declined by 6.8% to $63.2 million, with a 7.5% volume decrease primarily from reduced sales to a key foodservice customer. Adjusted EBITDA decreased to a loss of $2.4 million. Greater China revenue decreased by 6.4% to $27.0 million, with Adjusted EBITDA loss increasing to $0.6 million.

Oatly’s corporate expenses were $27.4 million, with Adjusted EBITDA loss at $24.8 million. The company’s balance sheet shows cash and cash equivalents of $67.9 million and total outstanding debt of $449.6 million. Net cash used in operating activities improved to $15.0 million.

The company is refining its 2025 outlook, expecting constant currency revenue growth to be approximately flat to +1%. Adjusted EBITDA is expected to range from positive $5 million to $15 million. Capital expenditures are estimated at $20 million, with a full-year foreign exchange impact to be a revenue growth tailwind of around 150 basis points.

Oatly utilizes non-IFRS financial measures like EBITDA, Adjusted EBITDA, Constant Currency Revenue, and Free Cash Flow. These measures help assess the company’s performance and liquidity. Non-IFRS measures are reconciled to IFRS metrics for transparency and comparability. The company remains focused on growth, profitability, and operational efficiency amidst a challenging market environment.

Read more at GlobeNewswire: Oatly Reports Second Quarter 2025 Financial Results