Company: CELH
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001341766-25-000104
Chunk: 144

Company: Celsius Holdings, Inc.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 2
Chunk 144
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 legal and professional service fees associated with the Alani Nu acquisition;

•$15.8 million attributable to Alani Nu, primarily related to administrative employee costs, amortization of intangible assets, and other general administrative expenses;

•$14.7 million in general administrative costs, including legal, consulting, and other professional service expenses; 

•$13.8 million due to the remeasurement of contingent consideration related to the Alani Nu acquisition, reflecting stronger-than-expected revenue performance and an upward revision to forecasted results; and

•$9.2 million in other administrative expenses, including depreciation, amortization of intangibles, and stock-based compensation. 

An increase of $65.7 million in marketing and sales expenses. These increases were primarily due to: 

•$29.7 million attributable to Alani Nu, primarily related to sales and marketing employee costs, marketing investments to support brand growth, and storage and distribution expenses associated with the brand’s commercial expansion;

•$20.3 million in marketing expense, reflecting continued execution of the Live. Fit. Go. campaign, which launched earlier in the year and remained the brand’s largest marketing initiative to date;

•$11.1 million in employee-related costs, primarily due to continued investment in sales and marketing personnel to support strategic growth initiatives; and

•$4.6 million in other selling expenses, including storage and distribution costs associated with expanded sales volume and channel growth.

39

Other (Expense) Income 

Total other expense was $4.5 million for the six months ended June 30, 2025, compared to other income of $19.7 million for the six months ended June 30, 2024, reflecting an unfavorable change of $24.2 million. This change was primarily driven by $18.1 million of interest expense recognized in 2025 related to our outstanding debt, whereas no such debt existed in the prior-year period. The increase in other expense was partially offset by interest income earned on cash held in money market accounts.

Provision for Income Taxes

For the six months ended June 30, 2025, the Company’s effective tax rate was 24.2%, as compared to 20.0% for the same period in 2024.The increase was primarily driven by the absence of excess tax benefits related to stock-based compensation that favorably impacted our effective tax rate in the prior year, combined with additional income tax expense recognized in the current