Zevia PBC

Better-for-you zero-sugar beverage brand with healthy gross margin but persistent losses and shrinking scale.

Strengths

• Gross margin 48% (57th pct) with a clean balance sheet: current ratio 2.08, ~20-quarter runway
• Differentiated B-Corp brand; productivity initiative targeting ~$20M annualized savings

Risks

• Still unprofitable: operating margin -7.3%, net -6.2%, negative ROE/ROA
• Intense competition from Coke/Pepsi and Poppi/Olipop; discontinuing Tea line in 2026
• Negative FCF and soft top line in a discretionary category

Notable findings

• Exec changeRecent 8-K item 5.02 8-K ↗
• Net lossNet loss (net margin -6.2%)
• Cash burnNegative free cash flow (-5.0M)
• Chronic dilutionShare count +14%/yr over 4y (dilution, book value/share -77%)
• China exposureAs a result of the rapid changes in global trade policies, including tariffs, and potential tariff modifications or the imposition of tariffs, export controls or other retaliatory actions by other cou