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Celsius CEO John Fieldly told CNBC’s Jim Cramer on Monday that sugar-free category is a dominant force on the energy drink market and detailed his company’s growth trajectory after a recent acquisition.
“For the first time in 2024, sugar free is the largest segment of the energy drink category, and you’re looking at one of the best portfolios to compete head-to-head,” Fieldly said.
Investors were impressed by Celsius’ recent quarter and its agreement to buy Alani Nutrition, a rival company known for female-focused energy drink brand Alani Nu, which is popular with social media influencers. The company said it’s set to buy Alani Nu for $1.65 billion. With Alani Nu, Celsius will have the largest sugar-free beverage portfolio of its peers, Fieldly said, adding that the company sits at number three in the energy drink category.
Fieldly claimed that in 2023 and 2024, Celsius drove over 30% of growth in the category, and that Celsius and Alani Nu together drove over 50% of the growth last year. He said Alani Nu has “great flavors, great packaging,” and that it is “health and wellness focused, but female focused and is truly incremental to who we are, to who we are speaking with.”
According to Fieldly, the rise in popularity of GLP-1 weight loss drugs is a “major trend” that’s changing consumer demand, but that Celsius is in a good place because of its zero sugar offerings.
“We’re talking to every major retailer in the country, especially in grocery, and everyone’s seeing these trends, and they’re saying it’s just going to continue to get stronger,” he said.
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