Black Rifle Coffee Company narrows losses with focus on wholesale growth

A Black Rifle barista preparing coffee | Photo credit: Black Rifle Coffee Company

Black Rifle Coffee Company has hailed ‘significant progress’ towards profitability after strong wholesale growth and efficiency savings partially offset flat coffee shop and D2C sales.  
 

The veteran-owned coffee retailer and café chain posted a $7.6m net loss for the 12 months ended 31 December 2024, compared to a $56.7m loss in 2023. Gross profit increased 27.5% in the fourth quarter to $40.4m, which Black Rifle attributed to productivity improvements and reduced employee headcount. 

However, full-year revenues fell 4% year-on-year to $391.5m following ongoing sales declines for Black Rifle’s direct-to-consumer channel and 37 coffee shops. Wholesale, which contributes two-thirds of total revenues, achieved 9% year-on-year sales growth and is expected to be a key performer for the business through 2025-2027.  

“Black Rifle made significant progress in strengthening our operations, bolstering our market presence, and improving profitability over the past year,” said Black Rifle CEO Chris Mondzelewski. 

In a press release, Black Rifle highlighted expanded coffee distribution and new product ranges as building a strong foundation for long-term growth.  

In September 2024, Black Rifle announced a long-term sales and distribution partnership with coffee and soft beverages group Keurig Dr Pepper (KDP), which included a Black Rifle K-Cup pod launch in the fourth quarter of 2024 and an agreement for KDP to sell and distribute Black Rifle Energy ready-to-drink (RTD) beverages across the US from the first quarter of 2025. 
 

At its 27th Annual ICR Conference in January 2025, Black Rifle forecast subdued revenue growth over the next 12 months due to slotting fees associated with the supermarket launch of its RTD range. However, the veteran-owned coffee retailer and café chain anticipates sales growth will improve by 10-15% in 2026-2027.