| Revenue of $109.23M (21.40% Y/Y) beats by $12.28M
BRC Inc. (BRCC) Q1 2026 Earnings Call May 5, 2026 8:30 AM EDT
Company Participants
Matthew McGinley – Vice President of Investor Relations Chris Mondzelewski – President, CEO & Director Matthew Amigh – Chief Financial Officer
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Conference Call Participants
Michael Baker – D.A. Davidson & Co., Research Division Sarang Vora – Telsey Advisory Group LLC Daniel Biolsi – Hedgeye Risk Management, LLC
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Presentation
Operator
Greetings, and welcome to the Black Rifle Coffee Company First Quarter 2026 Earnings Call. [Operator Instructions]
As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Matthew McGinley, Vice President of Investor Relations. Thank you. You may begin.
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Matthew McGinley Vice President of Investor Relations
Good morning, everyone, and thank you for joining Black Rifle Coffee Company’s First Quarter 2026 Financial Results Conference Call. We released our results yesterday, and the press release and related materials are available on our Investor Relations website at ir.blackriflecoffee.com. Before we begin, I would like to remind you of the company’s safe harbor statement regarding forward-looking statements. During today’s call, management may make forward-looking statements, including guidance and the underlying assumptions. These statements are based on expectations that involve risks and uncertainties, which could cause actual results to differ materially. For a further discussion of these risks, please refer to our previous filings with the SEC. Additionally, this call will include non-GAAP financial measures such as adjusted EBITDA. Whenever we refer to EBITDA, we mean adjusted EBITDA, unless otherwise noted. Reconciliation of non-GAAP measures to the most directly comparable GAAP measures are included in our earnings release, which was furnished to the SEC and is available on our Investor Relations website. Now please refer to the presentation on our Investor Relations website and turn to Slide 4. I would now like to turn the call over to Chris Mondzelewski, CEO of Black Rifle Coffee Company. Monz?
NEW YORK — Alphabet Inc. Class C shares (NASDAQ: GOOG) climbed 1.21% to $384.23 in morning trading Tuesday, May 5, extending gains from a strong first-quarter earnings report that highlighted accelerating Google Cloud growth and the company’s deepening push into artificial intelligence.
Alphabet Stock Rises as Google Cloud AI Boom Fuels Optimism in 2026
The modest advance comes days after Alphabet’s April 29 earnings release, which showed consolidated revenue rising 22% to $109.9 billion and net income surging 81% to $62.6 billion. Adjusted earnings per share reached $5.11, far exceeding expectations and sending the stock to fresh all-time highs last week.
Google Cloud delivered standout performance, with revenue jumping 63% to $20 billion — the first time the segment crossed that threshold. The cloud backlog nearly doubled sequentially to more than $460 billion, driven by enterprise AI solutions and infrastructure demand. CEO Sundar Pichai highlighted that AI is now the primary growth driver across the business.
AI Momentum Powers Results
Alphabet’s full-stack AI approach — spanning models like Gemini, custom TPUs, and enterprise tools — is paying dividends. Google Search revenue grew 19% to $60.4 billion, with AI-enhanced experiences boosting user engagement. YouTube and subscriptions also contributed strongly, while Waymo’s autonomous driving progress and investments in Anthropic added to non-operating gains.
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The company raised its 2026 capital expenditure guidance significantly, signaling aggressive investment in AI infrastructure. Analysts project even higher spending in 2027 as demand for data centers and specialized chips continues to accelerate.
Wall Street Reaction Remains Bullish
Following the earnings beat, multiple firms raised price targets. Goldman Sachs, Needham, Scotiabank, Roth Capital and others lifted targets into the $400–$450 range, citing strong AI positioning and cloud acceleration. Consensus remains firmly in Buy territory, with many viewing Alphabet as attractively valued relative to its growth prospects despite trading near highs.
The stock has been one of the top performers among major technology names in recent months, benefiting from a combination of resilient advertising, cloud strength and AI leadership. Year-to-date gains reflect growing investor confidence that Google is not only keeping pace but gaining ground in the generative AI race.
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Challenges and Risks
Regulatory scrutiny remains a factor. Ongoing antitrust cases and potential advertising changes continue to loom, though investors appear to be pricing in Alphabet’s ability to navigate these hurdles. Competition from OpenAI, Anthropic, Microsoft and others is intense, yet Google’s massive user base and infrastructure scale provide significant advantages.
Broader market dynamics also influence the stock. Easing geopolitical tensions around the Strait of Hormuz and anticipation of further corporate earnings have supported technology shares broadly. However, any slowdown in AI spending or macroeconomic shifts could pressure valuations.
Long-Term Outlook
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Alphabet’s diversified portfolio — Search, YouTube, Cloud, Waymo and emerging bets — positions it well for continued growth. The company maintains a fortress balance sheet with substantial cash reserves, enabling both heavy investment and shareholder returns through dividends and buybacks. A recent 5% dividend increase underscores confidence in future cash flow.
Analysts project sustained double-digit revenue growth, with cloud and AI segments leading the way. Successful execution on Gemini advancements, autonomous driving milestones and enterprise adoption could drive further upside. Some forecasts see the stock reaching $450 or higher within 12 months if current momentum holds.
Investor Considerations
Tuesday’s modest gain reflects digestion after last week’s sharp post-earnings move. For long-term investors, Alphabet offers exposure to multiple secular tailwinds: digital advertising, cloud computing and artificial intelligence. Its scale, data advantage and engineering talent create wide competitive moats.
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Short-term traders may see volatility around upcoming events, including further regulatory developments and quarterly updates. Valuation remains elevated on traditional metrics, but many argue forward-looking AI growth justifies the premium. Dollar-cost averaging or waiting for pullbacks could appeal to those building positions.
As of mid-morning trading, the broader market showed mixed sentiment, with the Dow Jones Industrial Average also advancing modestly. Alphabet’s performance continues to stand out within the Magnificent Seven group, underscoring its resilience and strategic focus.
The coming months will test whether Alphabet can convert its substantial AI investments into sustained market leadership and profitable growth. For now, investors are rewarding the company’s execution and forward momentum in one of technology’s most critical battlegrounds.
NEW YORK — Google’s Gemini AI chatbot and related services faced widespread user-reported disruptions Tuesday, with many experiencing slow responses, processing loops and error messages as the popular generative AI tool encountered intermittent outages across web and mobile platforms.
Downdetector and other monitoring sites showed a significant spike in reports beginning around 8:44 a.m. EDT, with users complaining that prompts either failed to generate responses or got stuck in endless loading cycles. Some reported receiving system error images or partial answers before Gemini stopped functioning properly.
Google AI Studio’s official status page confirmed isolated issues earlier in the day, including problems with streaming Deep Research features that were later marked as resolved. However, broader Gemini services, including the main chatbot integrated into Google Search, Workspace and mobile apps, continued showing elevated error reports throughout the morning.
Scope of the Disruption
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The problems appeared widespread but not universal. Users in the United States and Europe reported the highest volume of complaints, though reports also came from Asia and other regions. Issues affected both free and paid Gemini Advanced tiers, with some users noting that basic queries worked sporadically while complex or multimodal requests failed entirely.
Google has not issued a formal public statement on the outage as of mid-morning, but its cloud status dashboard and AI Studio page indicated active monitoring of related services. Engineers appear to be investigating backend capacity or integration problems that could stem from high demand or a recent update.
User Frustration and Workarounds
Social media platforms quickly filled with complaints, memes and screenshots of failed interactions. Many users turned to alternative AI tools like ChatGPT, Claude or Grok while waiting for Gemini to recover. Some reported success by switching browsers, clearing cache or using VPNs, suggesting the issue might be regionally or account-specific in certain cases.
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Gemini has become a central part of Google’s AI strategy, powering features across Search, Gmail, Docs and Android. Any extended downtime highlights the growing reliance on these tools for productivity, research and creative tasks.
Google’s Track Record and Response
Google has generally maintained strong uptime for its consumer AI services, though occasional hiccups have occurred during periods of rapid feature rollouts or high traffic. Past incidents were typically resolved within hours. In this case, the company’s transparency via status pages has helped inform affected users, even without a broad public advisory.
Experts recommend checking official status pages and waiting a short period before retrying complex queries. Restarting the app, signing out and back in, or trying incognito mode can sometimes bypass temporary glitches.
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Broader Context in AI Services
The incident comes as AI chatbots face increasing demand from both casual users and enterprises. Outages at this scale underscore the challenges of scaling large language models while maintaining consistent performance. Competitors have experienced similar disruptions in the past, reflecting the complexity of real-time AI infrastructure.
For businesses relying on Gemini through Google Workspace or API integrations, the disruption could impact workflows involving content generation, data analysis or customer support automation. Google typically offers service credits for significant enterprise outages under its SLA agreements.
What Users Should Do
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If experiencing issues with Gemini:
Check Downdetector or Google’s status pages for real-time updates.
Try accessing via a different device, network or browser.
Wait 15-30 minutes and retry, as many outages resolve quickly.
Report the problem directly through the Gemini app or web interface to help Google’s team gather diagnostics.
Google is expected to provide more details if the problem persists into the afternoon. In the meantime, users seeking reliable AI assistance can explore alternatives while the company works to restore full functionality.
This latest hiccup serves as a reminder of both the power and fragility of modern AI systems. As Gemini continues evolving into a daily tool for millions, maintaining rock-solid reliability will remain a top priority for Google and the broader AI industry. Updates will be closely watched as the situation develops throughout the day.
Barrons Roundtable newsletter editor Josh Schafer breaks down the stock market and oil prices amid conflict in the Middle East on Varney & Co.
The Trump administration on Tuesday announced that it had reached new agreements with Microsoft, Google DeepMind and Elon Musk’s xAI to expand collaboration with Big Tech companies in researching artificial intelligence (AI) and security.
The Center for AI Standards and Innovation (CAISI), which is part of the Commerce Department’s National Institute of Standards and Technology, will work with the AI companies on pre-deployment evaluations as well as targeted research into frontier AI capabilities and AI security.
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The new agreements build on previously announced partnerships between CAISI and the companies, supporting information-sharing, driving voluntary product improvements and ensuring a clear understanding in government of AI capabilities and the state of international AI competition.
“Independent, rigorous measurement science is essential to understanding frontier AI and its national security implications,” said CAISI Director Chris Fall. “These expanded industry collaborations help us scale our work in the public interest at a critical moment.”
The Trump administration announced the AI agreements through CAISI with several leading tech companies. (Win McNamee/Getty Images)
Developers frequently provide CAISI with models that have reduced or removed safeguards to evaluate national security-related capabilities and risks.
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Evaluators from across government agencies may participate in evaluations and regularly provide feedback through the TRAINS Taskforce, which is a group of interagency experts focused on AI national security concerns.
CAISI’s agreements support testing in classified environments and were drafted with flexibility to respond to continued advancements in AI.
Microsoft said the CAISI partnership is needed to build trust and confidence in advanced AI systems. (Cesc Maymo / Getty Images)
Microsoft chief responsible AI officer Natasha Crampton said in a release that the agreements will “advance the science of AI testing and evaluation, including through collaborative work to test Microsoft’s frontier models, assess safeguards, and help mitigate national security and large-scale public safety risks.”
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Crampton said that “ongoing, rigorous testing is essential to building trust and confidence in advanced AI systems.”
Google’s DeepMind unit also signed the new agreements with CAISI. (Marlena Sloss/Bloomberg via Getty Images)
“Well-constructed tests help us understand whether our systems are working as intended and delivering the benefits they are designed to provide. Testing also helps us stay ahead of risks, such as AI-driven cyberattacks and other criminal misuses of AI systems, that can emerge once advanced AI systems are deployed in the world,” Crampton explained.
Microsoft also announced a similar agreement with the United Kingdom’s AI Security Institute (AISI) to govern AI testing and evaluation.
In the competitive landscape of the health and beauty industry, expansion into Europe requires more than just high-quality products; it requires a deep understanding of local consumer habits.
While digital wallets are standard in many regions, a massive segment of the European population remains loyal to traditional payment methods. This time our focus is cash on delivery (COD) page, and why mastering this channel is essential for any brand scaling its operations.
For companies specializing in supplements and skincare, implementing cash on delivery for nutra is often the single most effective way to boost conversion rates in Central, Southern, and Eastern Europe.
The Strategic Importance of COD in the Nutra Sector
The Nutra industry thrives on trust. Customers are often hesitant to pay upfront for products they haven’t tried or from brands they are just discovering. Offering a COD option removes the primary barrier to purchase, providing the “safety net” that many European consumers demand.
However, the complexity of managing physical cash across multiple borders, currencies, and courier networks is a logistical mountain that most brands cannot climb alone. This is where WAPI enters the frame as a specialized partner for high-growth enterprises.
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Scalability for Large-Scale Operations
Success in the Nutra world is often a matter of volume. WAPI is a COD service provider specifically designed to handle large volumes of orders, making it an ideal partner for businesses of big sizes. When a campaign goes viral or a new market opens, the logistical backend must be able to keep up without a dip in service quality.
WAPI provides a robust infrastructure that includes:
Massive Throughput: The ability to process and ship hundreds of thousands of orders monthly.
Strategic Warehousing: A network of over 16 warehouses across Europe, ensuring that products are stored close to the end consumer, significantly reducing delivery times.
Financial Efficiency: WAPI ensures that the “cash” part of Cash on Delivery is handled with transparency, offering quick payouts that keep your business’s cash flow healthy.
Mastering the Buyout Rate: The WAPI Advantage
The biggest risk in the COD model is the “buyout rate”—the percentage of customers who actually accept and pay for the package upon delivery. A low buyout rate can sink a Nutra brand due to the costs of return logistics and wasted inventory.
WAPI is especially good for businesses of big sizes because they possess the data and experience to work with the buyout rate in different EU countries. Consumer behavior is not monolithic; a customer in Romania has different expectations and delivery habits than one in Italy or Poland. WAPI understands these nuances, implementing localized strategies to ensure the highest possible delivery success.
By using automated SMS notifications, precise courier selection, and optimized delivery windows, WAPI helps maintain high buyout rates that are critical for COD customers. This expertise ensures that your marketing spend translates into actual revenue rather than returned parcels.
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Conclusion: Future-Proofing Your Logistics
For Nutra brands looking to solidify their presence in Europe, the path forward is clear. Integrating cash on delivery for nutra into your sales strategy is a proven method to capture market share that competitors relying solely on credit cards will miss.
By partnering with WAPI, you gain more than just a logistics provider; you gain a strategic ally capable of managing high-volume COD operations with precision. In a market where trust is the ultimate currency, WAPI ensures that your brand delivers on its promises, one doorstep at a time.
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