Shares of SodaStream (SODA) have skyrocketed today, up by 22% as of 12:30 p.m. EDT, after the company reported second-quarter earnings. The company beat expectations and raised guidance for 2018.
Revenue in the second quarter rose 31% to $171.5 million, with net income jumping 82% to $26.1 million, or $1.14 per share. Both top- and bottom-line results beat consensus estimates, which called for $149.2 million in revenue and $0.71 per share in profit. Gross margin expanded to 59.3%, thanks to operating leverage and a new French distribution model. Foreign exchange tailwinds also boosted profitability.
In a statement, CEO Daniel Birnbaum called it "the most successful quarter in our Company's history." SodaStream finished the quarter with $171.7 million in cash and investments on the balance sheet.
Birnbaum also said that sales of sparkling water maker units jumped 22% to over 1 million, and gas refill unit sales increased 17% to a record 9.7 million. "These results underscore the progress we are making toward our primary strategic objectives of expanding household penetration and increasing usage of our home carbonation system," he added.
SodaStream also boosted its full-year outlook, and now expects full-year revenue to increase 23% compared to 2017, up from its prior forecast of 15% growth. Operating income should jump 44% this year, up from its previous guidance of 15% growth, and earnings per share should soar 31%, compared to its earlier outlook of an 8% increase.