BellRing Brands, Inc. (NYSE:BRBR) Q4 2022 Earnings Call Transcript

Jason English: Your consumption growth has accelerated, because we are lapping a dip in consumption from the prior year, sequentially we are not really seeing a tremendous uptick and that dip doesn’t really exist in the front half of the year. So at current run rate, it suggests your sales growth is going to moderate quite a bit in the front half of the year, if you don’t have more TDPs and more marketing going in? And then if you tell me you are only going to modestly over ship, it suggests that you are going to — you have a very back half weighted year, am I correct

Darcy Davenport: Okay. So, just — yeah. So just remember that Q1 is a seasonally low period. So what you are seeing right now in the POS is — so that’s where the year ago and sequential, I mean, obviously, you know this. But they just factor them both in. So we always see a seasonally in kind of November, December, it’s low for the category, it’s the one seasonal time. There’s a natural increase in Q2, because of New Year for the overall category and then we will start driving demand throughout Q2 through Q4.

Jason English: So is it a back half weighted year or not

Darcy Davenport: No. The back half weight

Jason English: in terms of sales growth — your growth?

Darcy Davenport: It is. But — and that is partially, because first of all, we are a growth business, it will always be back half weighted, but also because that’s when our supply also is coming more online. So that does lend itself to and then we have the demand drivers, which are related.

Jason English: Right. Right. Okay. Thank you.

Darcy Davenport: Yeah.

Operator: We have reached our allotted time for Q&A and this concludes today’s call. You may now disconnect.