BRC Inc. (BRCC) SEC Filings & Earnings Calls

Higher green coffee input costs and tariffs partially offset margin improvements.

“higher green coffee input costs and tariffs” · word for word

Outpost revenue decline may indicate retail weakness.

“Outpost revenue decreased 15.0% driven by lower transaction volumes and lower average order value”

Input cost inflation and tariff pressure

“The improvement in gross margin was primarily attributable to pricing actions, lower shipping and fulfillment costs driven by productivity gains, and changes in the reserve for excess and obsolete inventory compared to the prior year, which was partially offset by higher green coffee input costs and tariffs, as well as higher third-party e-commerce marketpla” · word for word

Outpost channel decline

“Net revenue for our Outpost channel for the three months ended June 30, 2026, decreased $0.9 million, or 15%, to $5.0 million as compared to $5.9 million for the corresponding period in 2025. The decrease was primarily driven by a decline in transactions and average order value at Company-operated Outposts.” · word for word

Reverse stock split indicates potential listing compliance risk; NYSE continued listing standards referenced.

“ability to continue to comply with all applicable listing standards of the NYSE” · word for word

Input cost inflation and margin pressure

“The decrease in gross margin was primarily attributable to higher costs, driven by inflation.” · word for word

Outpost channel decline

“Net revenue for our Outpost channel for the three months ended March 31, 2026, decreased $0.7 million, or 12%, to $4.8 million as compared to $5.5 million for the corresponding period in 2025. The decrease was primarily driven by softness in volume and average order values.” · word for word

Gross margin pressure from green coffee inflation and tariffs.

“Gross margin decreased 305 bps driven by green coffee inflation, tariffs, and a non-cash write-down.”

Outpost revenue decline of 12% indicates weakness in retail café channel.

“Outpost revenue decreased 12.0% driven by lower transaction volumes and reduction in average order value.”

NYSE delisting risk

“On February 11, 2026, we received a notification letter (the 'Notice') from NYSE indicating that we were not in compliance with the NYSE's continued listing standard set forth in Section 802.01C of the NYSE's Listed Company Manual ('Section 802.01C') because the average closing price of our Class A Common Stock was below $1.00 per share over a consecutive 30” · word for word

Coffee cost inflation

“Gross margin declined in 2025 as elevated green coffee costs and tariff impacts more than offset productivity improvements and pricing actions implemented during the year. Coffee prices nearly doubled compared to the prior year, creating a significant cost headwind across the business despite continued supply chain efficiency efforts and favorable product mi” · word for word

Controlled company governance

“Mr. Hafer controls a majority of the voting power of our outstanding Class A Common Stock and Class B Common Stock. As a result, we are deemed a 'controlled company' under the NYSE corporate governance standards.” · word for word

Governance risk from unauthorized director disclosure; potential investor confusion.

“director gave an interview... not authorized to speak on the Company’s behalf”

Coffee cost inflation and tariff pressure

“Gross margin declined in 2025 as elevated green coffee costs and tariff impacts more than offset productivity improvements and pricing actions implemented during the year. Coffee prices nearly doubled compared to the prior year, creating a significant cost headwind across the business despite continued supply chain efficiency efforts and favorable product mi”

Negative operating cash flow and net losses

“Cash used in operating activities was approximately $9.8 million in 2025, primarily reflecting working capital normalization during the period. Net loss $ (32,235) for the year ended December 31, 2025.”

Full valuation allowance on deferred tax assets

“Management determined, based on the accounting standards applicable to such assessment, that there was sufficient negative evidence as a result of the Company's cumulative losses to conclude that it was more likely than not that its DTAs would not be realized and has recorded a full valuation allowance of $108,401 against its deferred tax assets.” · word for word

Significant take-or-pay purchase commitments

“Total $92,520 (in thousands) in future minimum purchase commitments as of December 31, 2025.”

Co-manufacturer litigation

“The Company has recorded accrued liabilities of $2,700 related to this matter.” · word for word

Delisting risk: failure to regain compliance within six months could lead to NYSE delisting.

“Received NYSE notice; six-month cure period; stock price below $1.00.”

Equity value risk: low stock price may trigger further dilution if reverse split or other measures needed.

“Company evaluating alternatives to regain compliance; potential reverse stock split or other actions.”

Formulation change leads to inventory impairment, indicating potential product reformulation risk.

“non-cash impairment of approximately $1.4 million related to raw material inputs associated with a formulation change” · word for word

Gross margin pressure from input cost inflation

“The decline also reflected higher inflationary costs, primarily in coffee bean prices and shipping cost.” · word for word

DTC channel decline

“Net revenue for our DTC channel for the three months ended September 30, 2025 decreased $1.2 million, or 4%, to $27.8 million as compared to $29.0 million for the corresponding period in 2024.” · word for word

Share dilution from equity offering

“On July 18, 2025, we closed the Offering and issued 28,000,000 shares of Class A Common Stock and an additional 4,200,000 shares of Class A Common Stock as a result of the exercise in full of the underwriter's option, for total net proceeds of $37.4 million.” · word for word

Green coffee inflation pressuring gross margin; gross margin down 520bps YoY.

“Gross margin declined to 36.9% from 42.1% due to green coffee inflation and higher trade/slotting adjustments.”

DTC revenue decline due to reduced customer acquisition from ad spend reallocation.

“DTC revenue down 4.1% to $27.8M; strategic reallocation of advertising spend.”