Traeger Reports Slight Revenue Decline in Q1 2025, Net Loss Improves

Traeger, Inc. reported a slight decline in revenue for the first quarter of 2025, generating $143.3 million compared to $144.9 million in the same period last year, marking a decrease of 1.1%. The company recorded a net loss of $0.8 million, a significant improvement from the net loss of $4.7 million reported in the first quarter of 2024. The gross profit also fell to $59.5 million, down 5.0% from $62.6 million, resulting in a gross margin of 41.5%, down from 43.2% a year earlier. The decrease in revenue was primarily attributed to lower sales of accessories and consumables, which were partially offset by a 12.8% increase in grill sales, driven by a 40% increase in unit volume.

In terms of operational metrics, Traeger saw a notable increase in grill sales, which rose to $86.7 million from $76.8 million, largely due to the launch of new grill offerings and seasonal promotions. However, sales of consumables decreased by 6.1% to $30.3 million, and accessory sales dropped significantly by 26.6% to $26.3 million. The company’s strategic pricing actions and promotional activities were aimed at driving unit volume growth, although they also contributed to a reduction in average selling prices.

On the operational front, Traeger continues to focus on enhancing its supply chain and manufacturing capabilities. The company has made significant investments in its production facilities and has established partnerships with third-party manufacturers for its grills and accessories. As of March 31, 2025, Traeger reported total assets of $825.6 million, with current liabilities decreasing to $114.5 million from $122.2 million at the end of 2024. The company’s employee headcount remained stable, reflecting its ongoing commitment to maintaining operational efficiency.

Looking ahead, Traeger anticipates that macroeconomic conditions, including inflation and potential tariffs, may impact consumer demand for its products. The company is actively pursuing cost-saving initiatives and exploring new market opportunities to mitigate these risks. Traeger remains optimistic about its growth prospects, particularly with the continued demand for its wood pellet grills and related products. The company plans to leverage its strong brand presence and community engagement to drive future sales and enhance customer loyalty.