Here are 1-3 brief analogies for Zevia PBC (ZVIA):

• It's like the "natural" Coca-Cola, offering a broad range of zero-sugar, naturally sweetened drinks.
• Think of it as a "Whole Foods Market" for soft drinks, focused entirely on naturally sweetened, zero-calorie options.

• Soda: A range of carbonated soft drinks available in various flavors.
• Energy Drinks: Beverages formulated to provide an energy boost.
• Organic Tea: Ready-to-drink tea products made with organic ingredients.
• Mixers: Beverages designed to be combined with other drinks.
• Kidz Beverages: Drinks specifically crafted and marketed for children.
• Sparkling Water: Carbonated water, often infused with natural flavors.

Zevia PBC primarily sells its products to other companies, specifically grocery and natural products distributors and national retailers, who then distribute to consumers.

Major Customers:

• United Natural Foods, Inc. (Symbol: UNFI)
• KeHE Distributors

Key Risks to Zevia PBC (ZVIA)

1. Intense Competition and Lack of Scale

   Zevia PBC operates in a highly competitive beverage market where larger, more established companies benefit from significant scale advantages. This intense competition makes it challenging for Zevia to secure optimal shelf space, achieve pricing power, and consistently generate profits. Despite efforts to expand distribution and implement cost-saving initiatives, the company has reported ongoing net losses and adjusted EBITDA losses, indicating that its current operational scale is not yet sufficient for sustainable profitability.

2. Supply Chain Disruptions and Cost Volatility

   The company faces substantial risks related to its supply chain, particularly its reliance on a limited number of suppliers for essential raw materials such as stevia extract and aluminum cans. Zevia has been significantly impacted by supply chain disruptions and escalating costs, notably due to increased tariffs on aluminum. These tariffs have directly pressured gross margins and contributed to higher operating expenses, with expectations for these cost headwinds to continue.

3. Dependence on Retail Channels and Evolving Consumer Preferences

   A significant portion of Zevia's sales is concentrated within a few key retail customers and distribution channels, making the company vulnerable to changes in the retail landscape or the potential loss of major clients. While Zevia benefits from the consumer trend towards zero-sugar and naturally sweetened beverages, there is an inherent risk that shifting consumer preferences or growing skepticism regarding sweeteners could diminish the brand's relevance and impede future sales growth.

Zevia PBC (ZVIA) operates in the United States and Canada, marketing and distributing a range of carbonated and non-carbonated soft drinks. The addressable markets for its main product categories in these regions are substantial:

• Carbonated Soft Drinks (Soda): The North American carbonated soft drinks market is projected to reach approximately $108.58 billion by 2030, growing at a compound annual growth rate (CAGR) of 3.80% from 2024. Within North America, the U.S. carbonated beverages market held the largest revenue share in 2024.
• Energy Drinks: The North American energy drinks market was valued at an estimated $21.93 billion in 2025 and is expected to grow to $26.35 billion by 2031. The Canadian energy drinks market specifically generated approximately $2.53 billion in 2023 and is forecast to reach around $4.39 billion by 2030.
• Organic Tea: The organic tea market in North America is expected to exhibit a fast-paced growth with a CAGR of 17.2% over the forecast period. The U.S. ready-to-drink (RTD) organic tea market alone was valued at $2.61 billion in 2024 and is projected to reach $3.85 billion by 2033. For Canada, the organic tea market generated $41.6 million in 2024 and is anticipated to reach $109.6 million by 2030.
• Mixers: While a specific market size for "mixers" as a distinct category is not readily available, these products fall under the broader non-alcoholic beverages market. The North American non-alcoholic beverages market was valued at $532.54 billion in 2023 and is projected to reach $1,048.07 billion by 2030. The U.S. non-alcoholic beverages market, a significant component of this, was estimated at $280.2 billion in 2023 and is expected to grow to $457.0 billion by 2030.
• Kidz Beverages: The North American kids' beverages market was valued at $15.2 billion in 2024. More specifically, the United States kids' beverage market was valued at $18.84 billion in 2024 and is projected to reach $30.24 billion by 2033.
• Sparkling Water: The North America sparkling water market is expected to grow at an 11.5% CAGR between 2024 and 2031. The U.S. market, a dominant part of North America, is projected to reach a value of $23.505 billion by 2031, while Canada's market is expanding at a CAGR of approximately 7.5% during the forecast period (2025-2033).

Here are the expected drivers of future revenue growth for Zevia PBC (ZVIA) over the next 2-3 years:

1. Expanded Distribution and Market Penetration: Zevia PBC anticipates revenue growth through broadening its distribution network and increasing its presence in existing markets. The company has explicitly cited distribution gains as a factor in its growth trajectory and raised net sales guidance for 2025, driven by these gains. Key retailers like Walmart and Albertsons have seen expanded distribution, and a national Costco program is expected to contribute to higher volumes. Management's 2026 strategy is also focused on "expanding reach and driving trial to expand the user base and ultimately to accelerate growth."
2. New Product Innovation and Flavor Introductions: The launch of new flavors, such as Strawberry Lemon Burst and Orange Creamsicle, and packaging refreshes are expected to drive consumer interest and contribute to top-line performance. This focus on innovation is part of the company's core strategy to spur better sales.
3. Strategic Pricing Initiatives: Zevia has demonstrated that price increases can significantly contribute to net sales. Effective price increases in 2023, for example, resulted in $11.5 million higher net sales. The company plans to continue balancing cost headwinds with productivity and pricing actions in 2026.
4. Capitalizing on the Growth of the "Better-for-You" Beverage Category: Zevia is well-positioned within the expanding "better-for-you" soda category, offering zero-sugar, naturally sweetened, and clean-label beverages. The company's ongoing focus is to make its better-for-you beverages mainstream, accessible, and affordable to a broad consumer base, leveraging the increasing consumer demand for healthier drink options.

Share Repurchases

Share Issuance

• Zevia PBC completed its initial public offering (IPO) on July 26, 2021, issuing 10,700,000 shares of Class A common stock at an offering price of $14.00 per share.
• As of February 20, 2026, the company had 67,486,641 shares of Class A and 7,614,823 shares of Class B common stock outstanding.
• Equity-based compensation expense, a non-cash item, was $3.8 million in 2025 and $5.0 million in 2024, partially offset by new equity awards but largely decreased due to the accelerated expense recognition of IPO-related awards.

Capital Expenditures

• Zevia PBC operates with an asset-light business model, utilizing third-party co-manufacturers.
• The company plans strategic investments in 2026 to broaden its consumer base through amplified marketing, sharpened product innovation, and expanded distribution, supported by an improved cost structure and healthy balance sheet.