Oatly plans to launch a new line of fiber beverages in the US in January 2027, marking its entry into the wellness category, as the plant-based dairy company plans selective price increases and introduces new products in 48-ounce rather than 64-ounce packs.
The news follows a difficult Q3, where the Swedish company downgraded its financial outlook for the remainder of the year, which sent its stock value tumbling in late October.
Oatly’s outlook worsened, but its quarterly revenue, gross margin and adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) improved. Revenue rose 9.1% to $243.1 million, and adjusted EBITDA increased from $3.1 million to $9.4 million in the third quarter.
Its net loss attributable to shareholders narrowed to $27.5 million, or 4 cents per ordinary share, from $65.3 million, or 11 cents per ordinary share, a year earlier.
Oatly CEO Jean-Christophe Flatin pointed to the improvement as a sign of business resilience, as the company faces inflationary headwinds driven by increased diesel prices.
Inflation challenges for Oatly
Oatly’s cost structure has remained resilient, in the US and Europe and International segments, despite higher costs associated with the war in Iran, Flatin said.
“However, the latest wave of logistics and fuel inflation in North America has finally exceeded our capacity to offset,” Flatin said. “For perspective, in the US, diesel prices have increased approximately 70% since the beginning of the conflict in the Middle East in February, and approximately 40% since early July.”
The sharp North American fuel cost increase caused Oatly to revise its adjusted EBITDA outlook downward to a range of $16 million to $20 million for the fiscal year, from $25 million to $35 million.
The adjusted guidance announced on Oct. 28, caused Oatly stock value to drop by a whopping 27%, to close the day at $8.56 per share. The stock continued to slide throughout the week, dropping to $7.75 by Friday’s close, for a total decline of 34%.
Fiber launch in 2027
Oatly’s fiber drink is already rolling out across Europe and is expected to be in 11 markets there by the end of 2026.
Oatly Fiber will launch in the US in January 2027 in a new 48-ounce pack, according to Daniel Ordoñez, Oatly global president and COO.
He cited the company’s recently released Future of Taste report, noting that drinks are increasingly becoming the delivery method for health trends such as gut health, fibermaxxing, fiber layering and skin care.
“The fiber range is not simply innovation – it’s a natural evolution of who we are,” Ordoñez said. “Oatly is built on over 30 years of oat research and innovation, which provides unique legitimacy in the fiber space.”
Fiber intake is roughly 10 grams below the recommended 30 grams daily recommended by health care authorities, and similar gaps exist in the US, he said.
“We see consumer demand for fiber on the verge of a multiyear acceleration, and Internet search data indicates fiber is already closing the gap with protein,” he said. “Fueled by the growing use of GLP-1 medications, consumers are increasingly scrutinizing the quality and the quantity of nutrients.”
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Price increases coming for US and maybe Europe
Price increases are coming in the US to offset diesel cost increases, and Oatly is considering raising prices in Europe, according to Ordoñez.
Ordoñez said the company expects a marginal loss in volume due to the price increases.
The product’s strong velocity in the market demonstrates Oatly’s robust value proposition, he added.
Oatly views the adjustment as more than just a price increase, with Ordoñez describing it as an “innovation-led price reframing” because of the new product rollout and the product size adjustment. Half of the products under the 48-ounce size structure will be new, he said, explaining that consumers will see new products alongside price hikes.
