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The "In-N-Out Burger of coffee" – a beloved regional brand with a fanatical following and a unique drive-thru experience, expanding nationwide.

Think Starbucks, but almost entirely drive-thru, known for its exceptionally energetic "Broista" culture and a wide variety of customizable drinks.

An energetic, drive-thru focused version of Dunkin' with a much broader menu of customizable coffee and non-coffee beverages.

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• Specialty Coffee Beverages: A wide array of hot and iced coffee drinks including lattes, mochas, cold brews, and Americanos.
• Dutch Bros Rebel Energy Drinks: Signature energy drinks that can be customized with various flavors and mixes.
• Non-Coffee Beverages: A selection of alternative drinks such as teas, smoothies, chai lattes, and frosts (blended non-coffee drinks).
• Pastries and Snacks: A limited menu of grab-and-go food items like muffins and other baked goods to complement their beverages.

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Dutch Bros (symbol: BROS) primarily sells its products and services directly to **individual consumers** through its drive-thru coffee stands.

Here are up to three categories of customers that Dutch Bros serves:

• Younger Adults and Students: This demographic is a significant customer base for Dutch Bros, attracted by its highly customizable, often sweet, and energy drink-focused menu. The brand's vibrant culture, energetic "broistas," and wide array of unique flavor combinations resonate particularly well with high school and college students, as well as young professionals seeking an alternative to traditional coffee chains.
• Commuters and On-the-Go Consumers: Given its drive-thru-centric business model, Dutch Bros efficiently serves individuals looking for quick and convenient beverage options. This includes daily commuters, people running errands, and travelers who prioritize speed and accessibility without compromising on taste or customization.
• Loyalty and Community-Focused Patrons: Dutch Bros fosters a strong sense of community and customer loyalty. Many patrons are repeat customers who appreciate the friendly and personalized service from the "broistas," the consistent product quality, and the brand's engagement in local communities. These customers often become regular visitors, making Dutch Bros a habitual part of their routine.

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Christine Barone, Chief Executive Officer and President

Ms. Barone has over a decade of food service and beverage leadership experience. Prior to joining Dutch Bros in February 2023, she served as CEO of True Food Kitchen, a high-growth restaurant and lifestyle brand. She also held various leadership roles at Starbucks. Earlier in her career, she held positions with Bain & Company and Raymond James.

Joshua Guenser, Chief Financial Officer

Mr. Guenser has served as Chief Financial Officer of Dutch Bros since May 2024, following a transitional period as Incoming Chief Financial Officer starting February 2024. Previously, he was the CFO of MOD Super Fast Pizza Holdings, LLC from March 2020 to January 2024. He also spent over a decade at Starbucks Corporation in various financial roles, including Senior Vice President, Finance - Americas.

Travis Boersma, Co-founder and Executive Chairman

Mr. Boersma is the Co-founder and Executive Chairman of Dutch Bros Coffee. He is deeply involved in day-to-day operations and focuses on maintaining the company's culture. He co-founded Dutch Bros with his late brother, Dane, in 1992.

Sumitro Ghosh, President of Operations

Mr. Ghosh joined Dutch Bros as President of Operations in January 2024. Prior to this role, he most recently served as Global Vice President of Stores at Nike.

Jess Elmquist, Chief People Officer

Mr. Elmquist joined Dutch Bros as Chief People Officer in January 2024. He has nearly 30 years of experience leading people in founder-led and high-growth companies. Before Dutch Bros, he served as Chief Human Resources Officer and Chief Evangelist for Phenom, a global HR technology company, and held various leadership roles at Life Time, Inc.

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1. Rapid Expansion and Market Saturation: Dutch Bros' aggressive national expansion strategy, aiming for significant new shop openings annually, poses a primary risk. This rapid growth can strain operational resources, potentially leading to inconsistencies in product quality or customer service across locations. There is also a risk of oversaturation in certain markets, which could cannibalize sales from existing stores.
2. Rising Costs and Margin Pressure: The company faces ongoing pressure on its profit margins due to elevated commodity costs, particularly for coffee and dairy, and higher labor-related expenses. The incremental costs tied to new market openings and food rollouts further contribute to this margin compression.
3. Intense Competition and Economic Sensitivity: Dutch Bros operates in a highly competitive specialty coffee market with established players like Starbucks. Furthermore, its business model, with approximately 80% of sales coming from cold drinks and energy beverages, makes it susceptible to changes in consumer discretionary spending. In an economic downturn, consumers may cut back on these "treat" purchases more readily than on everyday coffee, leading to greater sales volatility compared to brands focused on daily routines.

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An accelerating shift in consumer preferences towards healthier, lower-sugar, and natural ingredient beverages poses a clear emerging threat. Dutch Bros' brand identity and a significant portion of its popular menu items are built around highly customizable, often high-sugar, and indulgent drinks. While the company offers sugar-free options, its core appeal and growth have been strongly tied to these sweeter concoctions. There is a broad and sustained trend across the food and beverage industry towards health and wellness, reduced sugar consumption, and demand for more natural ingredients. Should this trend intensify and become a more dominant factor in beverage choices, particularly among Dutch Bros' target demographic, it could fundamentally challenge the appeal and popularity of its existing signature menu, requiring a significant and potentially costly adaptation of its product offerings and brand messaging to maintain growth and market relevance.

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The addressable market for Dutch Bros' main products and services is primarily the U.S. coffee and snack shop market, specifically the rapidly growing drive-thru segment.

The market size of Coffee & Snack Shops in the U.S. was estimated at $70.5 billion in 2024 and is projected to reach $72.8 billion in 2025. Within this market, the drive-thru segment accounts for a significant portion, with a record 59% of U.S. coffee purchases occurring at drive-thrus, an increase from 55% in the previous year.

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Dutch Bros (BROS) is expected to drive future revenue growth over the next 2-3 years through several key initiatives:

1. Aggressive New Shop Expansion: The company has outlined an ambitious expansion strategy, with plans to open approximately 175 new system shops in 2026. Dutch Bros aims to reach a total of 2,029 shops by 2029, extending its presence into new states and markets, including the Midwest and Southeast. This sustained increase in physical locations is a primary driver of top-line growth.
2. Strong Same-Shop Sales Growth: Dutch Bros anticipates continued growth from its existing locations, with forward guidance projecting system same-shop sales growth of approximately 5%. This growth is primarily fueled by an increase in transaction volume and record-high average unit volumes (AUVs), indicating strong customer demand and operational efficiency.
3. Enhancement of Digital Initiatives and Loyalty Program: The success of digital platforms, particularly the Dutch Rewards program and Order Ahead feature, is a significant revenue driver. Dutch Rewards transactions accounted for 72% of system transactions, and the Order Ahead mix reached 13% in Q3 2025, demonstrating effective customer engagement and a streamlined ordering process that contributes to increased transactions.
4. New Product Innovation and Menu Offerings: Dutch Bros continues to introduce new and innovative products, such as the Blue Lagoon with Strawberry Fruit and Mudslide Mocha, which have been well-received by customers. These new offerings help to attract and retain customers and boost sales.
5. Increased Customer Engagement and Transaction Growth: Beyond specific digital tools, a general focus on driving overall transaction growth through various initiatives, including targeted promotions within the Dutch Bros app and a commitment to customer service, has led to positive transaction growth for five consecutive quarters. This sustained increase in customer visits directly translates to higher revenue.

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Share Repurchases

• Dutch Bros has not made any share repurchases over the last 3-5 years, with the share buybacks for BROS stock reported as $0.00.

Share Issuance

• Dutch Bros launched its Initial Public Offering (IPO) in September 2021.
• In the past three years, the number of shares in issue has grown approximately 2.5x, reflecting significant share issuance.
• The company's shares outstanding increased by 30.93% in one year, with 127 million shares outstanding.

Capital Expenditures

• Capital expenditures for 2025 are estimated to be between $240 million and $260 million.
• The primary focus of these capital expenditures is on expanding the company's footprint, enhancing operational efficiency, and new shop construction, with plans to open at least 160 new system shops in 2025.
• Historical capital expenditures have shown a consistent increase, reaching $227 million in 2024, $187 million in 2023, $116 million in 2022, and $40 million in 2021.