01—Abstract
Summary
Summary of the 20-F filed March 31, 2025. Cited figures are marked; the original filing is the authoritative source.
SharkNinja, Inc. (NYSE: SN) reported net sales of $5.53 billiona for the year ended December 31, 2024, up 30.0% from $4.25 billion in 2023, with growth across all four product categories.
Gross margin rose to 48.1% from 44.9%, and operating income increased to $644.2 millionb from $373.6 million. Net income was $438.7 million, or $3.11 per diluted share, compared with $167.1 million, or $1.20 per diluted share, in 2023. Adjusted EBITDA was $951.1 million, a 17.2% margin on Adjusted Net Sales of $5.53 billion, as reconciled in the filing's non-GAAP tables.
The company ended 2024 with cash and cash equivalents of $363.7 millionc, $779.6 million of debt outstanding under its 2023 Credit Agreement, and $488.9 million available under its revolving facility. Operating cash flow was $446.6 million. Net cash used in investing activities was $151.2 million, mainly for property and equipment purchases of $137.7 million.
The filing also discloses material weaknesses in internal control over financial reporting as of December 31, 2024, spanning control environment, IT general controls, revenue and receivables, inventory, purchasing, and the financial close. Ernst & Young issued an adverse opinion on internal control while giving an unqualified opinion on the financial statements.
Mr. Xuning Wang, the Chairperson, controls approximately 48.0%d of voting power, and the company is no longer a controlled company under NYSE rules. Its largest customer accounted for 23.1% of 2024 net sales, and the company is a foreign private issuer filing on Form 20-F.
02—Key points
Key Highlights
- Net sales rose 30.0% to $5.53 billion in 2024, led by Food Preparation Appliances (up 80.3% to $1.18 billion) and Beauty and Home Environment Appliances (up 67.8% to $568.7 million).
- Gross margin expanded to 48.1% from 44.9%, and operating income grew to $644.2 million from $373.6 million.
- Net income was $438.7 million ($3.11 per diluted share), versus $167.1 million ($1.20 per diluted share) in 2023.
- Adjusted EBITDA was $951.1 million, a 17.2% Adjusted EBITDA Margin, as presented in the filing's non-GAAP reconciliation.
- Debt outstanding was $779.6 million at December 31, 2024, with $363.7 million in cash and $488.9 million available under the revolving facility.
- Management concluded internal control over financial reporting was not effective as of December 31, 2024, citing multiple material weaknesses; Ernst & Young issued an adverse opinion on internal control.
- Concentration risk remains significant: the largest customer was 23.1% of net sales, and Amazon, Costco and Walmart together were 45.9%.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2024, SharkNinja kept $0.08.
- Revenue$5.53B100.0%
- Cost of revenue−$2.87B51.9%
- Gross profit$2.66B48.1%
- Operating costs−$2.02B36.5%
- Operating income$644.2M11.7%
- Interest, other & tax−$205.5M3.7%
- Net income$438.7M7.9%
Where FY2024 revenue went
$5.53B- Cost of revenue: $2.87B, 52% of revenue
- Other operating costs: $1.68B, 30% of revenue
- Net income: $438.7M, 7.9% of revenue
- R&D: $341.3M, 6.2% of revenue
- Interest, other & tax: $205.5M, 3.7% of revenue
Kept 7.9% as net incomeNet income $438.7M · 7.9%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2024filed March 31, 2025Financial Statements
FY2024 against FY2023
| Line item | FY2024FY2023 | Change |
|---|---|---|
| Revenue | $5.53B$4.25B | +30.0% |
| Cost of Revenue | $2.87B$2.35B | +22.2% |
| Gross Profit | $2.66B$1.91B | +39.5% |
| R&D Expenses | $341.29M$249.39M | +36.9% |
| Operating Expenses | $2.02B$1.53B | +31.5% |
| Operating Income | $644.16M$373.56M | +72.4% |
| Net Income | $438.70M$167.10M | +162.5% |
| EPS (Basic) | $3.14$1.20 | +161.7% |
| EPS (Diluted) | $3.11$1.20 | +159.2% |
| Shares Outstanding (Basic) | 139.94M139.03M | +0.7% |
| Shares Outstanding (Diluted) | 141.08M139.42M | +1.2% |
05—Questions
Frequently Asked Questions
How did SharkNinja's revenue and profitability change in 2024?
Net sales increased 30.0% to $5,528.6 million, and gross profit rose to $2,662.0 million with gross margin of 48.1%. Operating income increased to $644.2 million from $373.6 million, and net income rose to $438.7 million from $167.1 million.
What are the material weaknesses in internal control?
The company identified material weaknesses in control environment, risk assessment, control activities and information components of the COSO framework, in IT general controls, and in accounting for revenue and accounts receivable, inventory and cost of goods sold, purchases of goods and services, and the financial statement close process. Management says these did not cause a material misstatement, and remediation is ongoing, including implementing a standardized global ERP system.
How concentrated is the customer base?
Customer A accounted for 23.1% of 2024 net sales. Amazon, Costco and Walmart each exceeded 10% of net sales and together made up 45.9% of net sales for the year.
What is the company's debt position and liquidity?
Debt was $779.6 million at December 31, 2024, under a 2023 Credit Agreement maturing in July 2028 that bears interest at SOFR plus 1.75%. Cash and cash equivalents were $363.7 million, and $488.9 million was available under the $500.0 million revolving facility after $11.1 million of letters of credit. Management states these resources are sufficient for at least the next 12 months.
Who controls the company and what is the dividend outlook?
As of February 15, 2025, Mr. Xuning Wang, Chairperson, controlled about 48.0% of voting power. The company does not currently anticipate paying regular dividends; its only 2023 dividend was a special cash dividend of $1.08 per share, or about $150.2 million.
06—Continue