Here are 1-3 brief analogies to describe Vital Farms (VITL):

• Patagonia for eggs and butter.

• Applegate Farms for pasture-raised eggs and dairy.

• The craft beer of the egg and butter industry.

• Pasture-Raised Shell Eggs: Farm-fresh eggs sourced from hens that are given ample outdoor space to roam year-round.
• Pasture-Raised Butter: Butter made from cream derived from pasture-raised cows, offering a rich flavor and yellow hue.
• Pasture-Raised Ghee: Clarified butter made from pasture-raised cow's milk, known for its high smoke point and buttery taste.
• Pasture-Raised Hard-Boiled Eggs: Convenient pre-cooked eggs sourced from Vital Farms' pasture-raised hens.
• Pasture-Raised Egg Bites: Ready-to-eat protein snacks made with pasture-raised eggs and other quality ingredients.

Vital Farms (VITL) Major Customers

• Kroger (Symbol: KR)
• Walmart (Symbol: WMT)
• Whole Foods Market (a subsidiary of Amazon; Amazon Symbol: AMZN)
• Target (Symbol: TGT)

Russell Diez-Canseco, President and Chief Executive Officer

Russell Diez-Canseco joined Vital Farms in 2014 and became President and CEO in May 2019. Under his leadership, the company successfully completed its initial public offering in July 2020. Prior to joining Vital Farms, he held roles at McKinsey & Company, H-E-B Grocery, and the Central Intelligence Agency. There is no information indicating he founded or managed other companies as CEO or CFO before Vital Farms, or sold companies he was previously involved with to an acquirer, or has a pattern of managing companies backed by private equity firms. He has engaged in sales of Vital Farms stock under a prearranged 10b5-1 trading plan.

Thilo Wrede, Chief Financial Officer

Thilo Wrede joined Vital Farms as Chief Financial Officer in March 2023. Before Vital Farms, he served as Global Chief Financial Officer at Sabra Dipping Company, LLC. His experience also includes roles as CFO for PepsiCo's Central and South America Foods division and six years at PepsiCo in regional CFO and business strategy. Additionally, he worked on Wall Street as an equity research analyst at Credit Suisse and Jefferies & Company. There is no information indicating he founded or managed other companies as CEO or CFO before Vital Farms, or sold companies he was previously involved with to an acquirer, or has a pattern of managing companies backed by private equity firms.

Matt O'Hayer, Founder, Executive Chairman and Director

Matt O'Hayer founded Vital Farms in 2007 with Catherine Stewart, driven by a vision to produce high-quality, ethically sourced food from humanely treated animals on a commercial scale. He brings over 40 years of experience in building businesses, is an accomplished chef, and was the founder and former president of the Organic Egg Farmers of America.

Kathryn McKeon, Chief Marketing Officer and General Manager, Butter

Kathryn McKeon joined Vital Farms in 2016 and has been instrumental in the evolution of the Vital Farms brand, including leading initiatives such as the "Bullsh*t-Free" campaign. She is passionate about the food system and advancing humane and ethical food production.

Peter Pappas, Chief Sales Officer and President, Eggs

Peter Pappas joined Vital Farms in 2020. He has been key in expanding the company's market reach, scaling the sales team, and ensuring product availability across approximately 24,000 stores nationwide. He also oversees a network of over 500 family farms. Prior to Vital Farms, he held leadership positions at PepsiCo, SABMiller, Dean Foods, and Advantage Solutions.

The advancement and scaling of lab-grown and precision fermentation alternatives for eggs represent a clear emerging threat. Companies are actively developing and commercializing animal-free egg proteins and exploring cultivated whole eggs. If these technologies mature to offer cost-effective, scalable, and consumer-acceptable products that replicate the taste, nutrition, and functionality of traditional eggs without requiring animal agriculture, they could fundamentally disrupt the market. This could diminish the unique value proposition of Vital Farms, which is built on ethically raised animal products, by providing an alternative that appeals to consumers seeking sustainable and animal-free options.

Vital Farms (VITL) primarily operates in the U.S. market, specializing in pasture-raised eggs and butter, and also offering hard-boiled eggs, liquid whole eggs, and ghee.

The addressable markets for Vital Farms' main products and services are as follows:

• U.S. Ethical Food Market: This broader market, within which Vital Farms operates, is projected to reach $195 billion by 2029.
• U.S. Shell Egg Market: Valued at $9.0 billion in 2023. The pasture-raised segment alone accounted for $531.0 million in sales, growing at an annual rate of 26.6% from 2020 to 2023. Another estimate for the U.S. shell egg market was approximately $6.5 billion in retail sales for the 52 weeks ending December 27, 2020.
• U.S. Pasture-Raised Retail Egg Market: This specific segment was approximately $256.0 million in retail sales for the 52 weeks ended December 27, 2020, demonstrating a compound annual growth rate (CAGR) of 35% between 2018 and December 2020.
• U.S. Processed Egg Market: This market, which includes products like Vital Farms' hard-boiled and liquid whole eggs, accounted for approximately $3.3 billion in retail sales as of December 2020.
• U.S. Butter Market: The U.S. butter market was estimated at USD 4.95 billion in 2024 and is anticipated to reach USD 7.21 billion by 2035, with a CAGR of approximately 3.48% from 2025 to 2035.
• Global Grass-Fed Butter Market: This market was valued at USD 1.4 billion in 2023 and is projected to grow to USD 2.5 billion by 2031, with a CAGR of 7.8%.
• U.S. Refrigerated Value-Added Dairy Category: This category represents a total addressable market of $34.5 billion, considered a significant near-term opportunity for Vital Farms' brand expansion.

Vital Farms (VITL) is expected to drive future revenue growth over the next 2-3 years through several key strategies:

1. Increased Production Capacity and Operational Expansion: Vital Farms is significantly expanding its operational capabilities to meet growing demand. This includes the addition of a third production line at its Egg Central Station, which came online ahead of schedule, expanding the annual capacity to $1.2 billion in egg revenue. Additionally, the company is constructing a new egg processing facility in Seymour, Indiana, expected to open in early 2027, which will add substantial revenue-generating capacity. These expansions are crucial for overcoming previous capacity constraints and supporting continued sales growth.
2. Strong Consumer Demand and Volume Growth: The company continues to benefit from robust consumer demand for its ethically produced, pasture-raised products, particularly eggs. This increasing demand translates into higher shipment volumes and overall revenue growth from both new and existing customers.
3. Strategic Pricing Power: Vital Farms has successfully implemented price increases across its product portfolio, which has contributed to revenue growth and gross margin expansion. This indicates a strong brand reputation and consumer willingness to pay a premium for high-quality, ethically sourced food products.
4. Product Innovations and New Product Launches: Vital Farms consistently introduces new and innovative products to meet evolving consumer preferences. These product innovations, which can include new flavors or formats, are expected to attract new customers and increase sales to existing ones.
5. Market Expansion: The company is focused on expanding its presence in both existing and new geographic markets, which includes increasing distribution in retail and foodservice channels across the United States. This ongoing market penetration at both new and existing retail customers is a key factor in driving future revenue growth.

Share Repurchases

• Vital Farms has not reported any share repurchases over the last 3-5 years.

Share Issuance

• The company completed its initial public offering (IPO) on August 4, 2020, issuing 5,040,323 shares of common stock at $22.00 per share.
• An additional 5,659,250 shares were sold by selling stockholders as part of the IPO, including shares from the underwriters' option.
• Proceeds from the issuance of common stock under its employee stock purchase plan were approximately $0.379 million for the 39-week period ended September 28, 2025, and $0.178 million for the 39-week period ended September 29, 2024.

Capital Expenditures

• For fiscal year 2025, Vital Farms expects capital expenditures to be in the range of $80 million to $100 million, a decrease from previous guidance.
• A primary focus of these expenditures is the construction of a new egg processing facility in Seymour, Indiana, which is anticipated to add over $350 million in additional revenue capacity once fully operational in early 2027.
• Capital expenditures also include investments in a third production line at Egg Central Station (ECS) in Springfield, Missouri, which is expected to increase capacity by an estimated 30% and be fully operational by Q4 2025, alongside ongoing investments in accelerator farms and a new ERP system.