Oatly Group (NASDAQ:OTLY) shares jumped in early trading Wednesday after the Swedish oat-milk pioneer reported its first full year of positive adjusted EBITDA, signaling a successful pivot from breakneck expansion to disciplined, profitable growth.
The company posted fourth-quarter revenue of $233.8 million, a 9.1% increase over the previous year.
More critically, gross margins surged to 34.5%, a massive 579-basis-point expansion driven by the closure of underperforming Asian facilities and a shift toward more efficient co-packing arrangements in North America.
The net loss attributable to shareholders narrowed sharply to $19.1 million, down from a $91.2 million loss in the same period last year.
CEO Jean-Christophe Flatin described 2025 as a "turning point" for the brand, which has struggled with production bottlenecks and high overhead since its 2021 IPO.
With a leaner operation and a "cultural obsession with efficiency," Oatly is guiding for 2026 adjusted EBITDA between $25 million and $35 million.