Celsius Holdings is a drink company founded by Steve Haley. Celsius is a beverage containing stimulants that equivalents to 200–300 mg of caffeine which assists in increasing brain and nervous system activity.[1][2]
History
Celsius Holdings is a United States energy drink company created in 2004 by Steve Haley. In 2009 the company released the first energy drink in Sweden and ended with a revenue of 5.86 million in its first year.[3] The company was supported in its early years by Carl DeSantis, an entrepreneur who invested and opened credit lines for Celsius Holdings to advance and become public.[4] Celsius in 2017 rang the Nasdaq bell to celebrate its listing on the Nasdaq Capital Market.[5] Celsius Holdings with an annual revenue of almost $36 million at the end of 2017.[6]
In April 2018 John Fieldly became the CEO of Celsius after working as the CFO since 2012.[7] At the time of his take over in 2018, Celsius Holdings was worth $280 million.[7] As of March 2024, the company is worth $21.63 billion.[8]
Celsius hit over one hundred million in revenue in 2020 ending the year with $130.726 million.[3] In 2021, the ending revenue was $314.272 million.[3] In 2022, the ending revenue was $653.604 million.[3]
| (in US millions) | 2009 | 2010 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $5.86 | $8.313 | $7.684 | $10.613 | $14.61 | $17.218 | $22.761 | $36.164 | $52.604 | $75.147 | $130.726 | $314.272 | $653.604 |
| Gross Profit | $2.8 | $8.313 | $7.684 | $10.613 | $5.598 | $7.04 | $9.73 | $15.431 | $21.06 | $31.302 | $60.974 | $128.169 | $270.869 |
Celsius product line
Celsius has different product lines that contain different caffeine levels.[9]
- Celsius Live Fit [Contains 200 mg of Caffeine][9]
- Celsius Heat [Contains 300 mg of Caffeine][9]
- Celsius BCAA+ Energy [Contains 100 mg of Caffeine][9]
- Celsius with Stevia [Contains 200 mg of Caffeine][9]
- Celsius On-The-Go [Contains 200 mg of Caffeine][9]
Celsius live fit, heat, BCAA+, and stevia flavors[10]
| Raspberry peach | Astro vibe | Cosmic vibe | Green apple cherry |
| Lemon lime | Strawberry lemonade | Tropical vibe | Peach vibe |
| Orange | Wild berry | Grape rush | Raspberry acai green tea |
| Galaxy vibe | Blue razz lemonade | Oasis Vibe | Fantasy Vibe |
| Arctic Vibe | Mango Passionfruit | Strawberry Guava | Fuji Apple Pear |
| Kiwi Guava | Watermelon | Cola | Peach Mango Green Tea |
Celsius live fit essentials flavors[10]
| Fruit Burst | Blue Crush | Dragon Berry | Mango Tango | Cherry Limeade | Orangesicle |
Celsius on-the-go flavors[10]
| Strawberry Coconut | Blueberry Lemonade | Kiwi Guava Lime | Dragonfruit Lime | Berry |
| Strawberry Mango | Watermelon Ice | Cranberry Lemon | Orange | – |
Composition and health risks
Ingredients
Celsius use of green tea extract boosts mood and energy through its caffeine contents and epigallocatechin gallate (EECG) an antioxidant.[13] Celsius use of guarana seed extract adds caffeine content.[13] Celsius use of ginger root is used for spice and for the anti-inflammatory effects.[13]
Caffeine
Celsius contains 100 mg – 300 mg depending on the product line and size of the can.[13] The varying caffeine content information is located on the can of each Celsius drink sold.
Health professionals suggest you generally drink no more than 400 mg of caffeine per day.[14] Ingesting more than 400 mg can result in an overdose of caffeine with the symptoms: trouble falling asleep, jittery or anxious behavior, headache, stomach pain, nausea, increased heart rate, and negative mood changes.[14]
NCAA banned
Celsius in 2021, having included traces of substances on NCAA banned substances list, was banned from the NCAA. Ginseng, guarana, L-carnitine, and taurine are substances included in the Celsius Energy Drinks but is banned by the NCAA.[15] The NCAA created the banned substances listing to protect student-athletes from stimulants that can negatively affect the body and to prevent cheating through performance-enhancing substances.
Partnerships and sponsorships
Major investments
Carl DeSantis, billionaire entrepreneur, invested in the early months of Celsius Holdings in 2004.[4] DeSantis continued to invest over the span of the company's development because the product line interested him. In 2010, a $3 million dollar credit line was invested to Celsius for an advertising campaign to promote the new products, but the money did not create the outcome expected.[4] As a stakeholder, he provided advice to the Celsius team and assisted with leadership changes in 2012 when the company was not meeting the expected business goals.[4] DeSantis died having earned $1.2 billion dollars from a 31% stake of Celsius Holdings.[4]
PepsiCo invested $550 million in Celsius Holdings to boost the company's growth in retailers and independent stores.[16] This translates to a 8.5% minority stake in Celsius Holdings.[17]
Partnership with college athletes
Celsius Holdings partnered with Learfield, a collegiate sports marketing company, to form partnerships with potentially aspiring college students.[18] Partnerships with athletes will help promote both the brand and the athlete. Celsius Holdings in 2023 partnering with colleges allowed for them to focus on rising football quarterbacks like Bo Nix from the University of Oregon and Micheal Penix Jr. from the University of Washington to gain publicity while helping their athletic career through funding and promotion.[18]
Celsius Holdings partnered NIL in January 2024 with freshman basketball athletes JuJu Watkins from University of Southern California, Jared McCain from Duke University, Cody Williams from University of Colorado and Kwame Evans from the University of Oregon.[19]
Celsius university (student brand ambassadors program)
Celsius University was created in 2022 to create paid, student ambassadors that can advertise the product line on college campuses.[20] Studies show that student due to their course load can experience a need caffeine to stay awake due to the stress and anxiety of being top of their class. Caffeine studies show an increase in mood, and assist with performance because the college students may experience a toll on their bodies.[21] Celsius created Celsius University to allow for college students to advertise directly with their peers.[20]
Litigations
Class-action lawsuit
Celsius Holdings faced a class-action lawsuit in November 2022 for allegedly misleading customers with the ingredient citric acid being added as a flavor instead of a preservative.[22] Celsius Holdings claimed that citric acid does not serve as a preservative, but as flavoring for their beverage.[22] The lawsuit was settled outside of the court between the parties involved so there was no ruling against Celsius Holdings.[23] The settlement agreed included that any class member who purchased a Celsius drink for their personal purposes to submit a claim for money back.[22][23] Upon submission of a claim, you can receive up to $250 for $1 per Celsius drink, or $5 per package of 14 Celsius drinks if you have a receipt. Without a receipt, you can request up to $20 per household.[22][23]
Flo Rida lawsuit
Celsius Holdings faced a lawsuit in 2021 with Tramar Lacel Dillard (Flo Rida) for a breach on contract when the company allegedly withheld details about revenue.[24][25] Flo Rida was a contracted brand ambassador from 2014 to 2018 which brought Celsius to concerts and events to help expand the brand.[25] The Florida court ruled in Flo Rida's favor that Celsius Holdings was in breach of contract as Flo Rida's publicity did assist in the company growth.[24] Flo Rida was awarded $82.6 million in January 2023 as a result of the lawsuit.[24][25]
Sources
- ^ Services, Department of Health & Human. "Caffeine". www.betterhealth.vic.gov.au. Retrieved 2024-03-05.
- ^ "How Much Caffeine is in a Celsius?". Ethan's. Retrieved 2024-03-05.
- ^ a b c d e "Celsius Holdings Financial Statements 2009–2024 | CELH". www.macrotrends.net. Retrieved 2024-03-17.
- ^ a b c d e Tucker, Hank. "Florida Octogenarian Becomes A Billionaire After Investing In Celsius Energy Drink". Forbes. Retrieved 2024-03-05.
- ^ holdings (2017-06-05). "Celsius Holdings, Inc. to Ring the Nasdaq Stock Market Opening Bell on Tuesday, June 6, 2017". Celsius Holdings Inc. Retrieved 2024-03-17.
- ^ "Celsius Holdings revenue 2022". Statista. Retrieved 2024-03-17.
- ^ a b "How the CEO of Celsius Turned a Failing Brand into a Legitimate Red Bull Competitor". GQ. 2023-11-07. Retrieved 2024-03-17.
- ^ "Celsius Holdings (CELH) Market Cap & Net Worth". Stock Analysis. Retrieved 2024-03-17.
- ^ a b c d e f "Essential Facts". Celsius. Retrieved 2024-03-17.
- ^ a b c "Celsius Product Collections". Celsius. Retrieved 2024-03-18.
- ^ United States Food and Drug Administration (2024). "Daily Value on the Nutrition and Supplement Facts Labels". Retrieved 2024-03-28.
- ^ National Academies of Sciences, Engineering, and Medicine; Health and Medicine Division; Food and Nutrition Board; Committee to Review the Dietary Reference Intakes for Sodium and Potassium (2019). Oria, Maria; Harrison, Meghan; Stallings, Virginia A. (eds.). Dietary Reference Intakes for Sodium and Potassium. The National Academies Collection: Reports funded by National Institutes of Health. Washington (DC): National Academies Press (US). ISBN 978-0-309-48834-1. PMID 30844154.
{{cite book}}: CS1 maint: multiple names: authors list (link) - ^ a b c d Dietitian, Jamie N, Registered (2023-08-09). "Is Celsius Bad for You? The Truth from a Dietitian". The Balanced Nutritionist. Retrieved 2024-03-06.
{{cite web}}: CS1 maint: multiple names: authors list (link) - ^ a b Commissioner, Office of the (2023-09-06). "Spilling the Beans: How Much Caffeine is Too Much?". FDA.
- ^ LifeWallet (2023-06-29). "Celsius Energy Drink Banned by NCAA for Containing Illegal Substances – LifeWallet Network". Retrieved 2024-03-06.
- ^ LoRé, Michael. "Celsius' Push Into Pro Sports Energized By PepsiCo Investment". Forbes. Retrieved 2024-03-06.
- ^ Lucas, Amelia (2022-08-01). "PepsiCo takes $550 million stake in energy drink maker Celsius". CNBC. Retrieved 2024-03-06.
- ^ a b admin (2023-08-28). "CELSIUS® Adds 4 New Colleges to Its Roster, Fueling Students and Athletes with Essential Energy". LEARFIELD. Retrieved 2024-03-07.
- ^ Ehrlich, Michael (2024-01-20). "CELSIUS Signs NIL Partnerships with Freshman Basketball Stars". Sports Illustrated NIL on FanNation News, Analysis and More. Retrieved 2024-03-17.
- ^ a b Richardson, Jenna (2023-04-03). "Celsius University: How Celsius Is Living Fit with College Students". Platform Magazine. Retrieved 2024-03-17.
- ^ Perron, Olivia Bonanni,Mallory Mullen,Taylor Falcon,Humphrey Huang,Allison Lowry,Tracy (2022-12-02). "Caffeine: Effects on sleep and academic performance in college students". British Journal of Child Health. Retrieved 2024-03-17.
{{cite web}}: CS1 maint: multiple names: authors list (link) - ^ a b c d "If you've ever purchased a Celsius drink, you could be eligible for up to $250". TODAY.com. 2023-02-03. Retrieved 2024-03-17.
- ^ a b c Mendoza, Jordan. "Ever bought a Celsius energy drink? You could receive up to $250 from class action lawsuit". USA TODAY. Retrieved 2024-03-17.
- ^ a b c Fischer, David. "Flo Rida awarded $82.6M after suing energy drink brand Celsius: 'I helped birth this company'". USA TODAY. Retrieved 2024-03-17.
- ^ a b c Lane, Barnaby. "Rapper Flo Rida won $82.6 million after suing energy drink company Celsius. Now he's launching a rival drink and wants to make it 'even healthier.'". Business Insider. Retrieved 2024-03-17.