The Vita Coco Company, Inc. (NASDAQ:COCO) Q3 2023 Earnings Call Transcript

Corey Baker: Yes, again, we’re trying very hard not to provide guidance for next year while supporting everyone’s modeling, including our own, right? So I don’t think that’s an unreasonable way to think about it, but I would perhaps say that based on where we were in August, with the significant hit that people assumed, based on what we said came up with, we probably would have squeezed SG&A a little bit next year, whereas now we can go, okay, let’s go.

Bryan Spillane: Got it, got it, got it. Now that’s really helpful. And then just one last follow-up. In terms of having retained or one private label business with some additional customers, does that open up the door for more like merchandising and shelf space for those customers. I remember Michael talking about, previously about the logic part of the benefit of having a private label business in Costco, is it encourages them to sort of, allocate more shelf space to the category. So I’m just curious if it, you know, as we look forward, does it open the door to actually, you know, have more space dedicated to the category?

Martin Roper: Yes, I think not only does it allow us to have more, or allow the category to have more space, but I think, like you just mentioned, and we talked about this before, in several parts of the world, in Western Europe specifically where we’re winning a lot of private label business. We have the benefit of getting in front of these retailers now and having conversations about the category and together building the category and maybe starting with private label and then bringing the branded Vita Coco branded items in next to the private label, which is a real benefit to obviously not only the category, but also to the Vita Coco brand long-term as we build out the brand globally.

Bryan Spillane: Cool, all right. Thanks, guys. Appreciate it.

Mike Kirban: Thanks, Brian.

Martin Roper: Thanks, Brian.

Operator: I’m showing no further questions at this time. I would now like to turn it back to the CEO, Martin Roper, for closing remarks.

Martin Roper: Thanks, Deedee, for hosting the meeting. Thanks, everybody, and we appreciate your interest, and we look forward to talking to you again when we have full-year results, sort of, during February or March of next year. I hope everyone has a great Halloween.

Operator: This concludes today’s conference call. Thank you for participating and you may now disconnect.