• 🏋🏼‍♂️ Don’t Quit Strengths in Soda
• 🧑‍⚖️ KetoneAid Fights Patent Issue
• ❌ Coke Closing Cali Bottling Plant
• 🆕 What Else Is New?

Origin PET beverage caps deliver superior performance and recycling compatibility. Available for both virgin and recycled PET - these new caps have radically improved barrier properties, so you can do more with less plastic. Learn more today. Learn more

Tariffs were the talk of today’s Vita Coco Q1 earnings call.

Even as the coconut water leader posted strong 17% net sales growth for the first quarter of 2025, the company’s response to President Trump’s tariff policy dominated the discussion on this morning’s call with investors and analysts.

Asked if the company was pre-ordering stock to get ahead of reciprocal tariffs, CEO Martin Roper said that Vita Coco “entered the year with very healthy inventory” which is primed to help the business mitigate the impacts of the tariffs – at least for a few months.

Working to lower its cost of goods, seeking the support of suppliers and foreign governments, and “some shifting of sourcing” are all options on the list for the business as it looks down avenues to manage the rapidly changing trade environment.

Oh, and pricing, of course! 

Roper said the company is still in “very early stages” on plans to increase SRPs. Vita Coco is heading into summer with the assumption that 10% baseline tariffs will remain in place, but either way there will be some delay before pricing action is taken.

The Big Picture: Q1 2025 saw the U.S. economy contract for the first time in three years, a worry sign even before the real impacts of the Trump administration’s panic-inducing trade policies arrive in the coming months. However, Reuters noted that “the pace of growth remained healthy” and businesses invested more in equipment during the quarter, despite consumer spending slowing down.

Tariffs are a problem, but broader marketplace uncertainty seems to be the bigger source of stress for executives. 

Vita Coco, however, is maintaining its full year guidance, but Roper said the volatility of Trump’s trade policy makes it difficult to fully gauge the impact.

They’re not alone. The Coca-Cola Company, in its Q1 earnings on Tuesday, said it sees the tariff situation as “manageable,” although CEO James Quincey noted that the bev giant benefits from a structure where its “exposure to trade, import-export, is not massive in the major countries relative to our cost structure.”

The Kraft Heinz Company said in its Q1 earnings this week that tariffs could cause a hit of 150 to 200 additional basis points on the costs of goods sold (COGS) in 2025.

Go Deeper: The “Dynamic External Environment” Is Influencing Coke’s Strategy

Some protein with your pop? It may seem like a joke, but a potential merger of two prevailing beverage trends – the rise of “modern soda” and protein-in-everything – may finally be poised for takeoff thanks to new entrants like Don’t Quit Protein Soda, launching in 12 oz (15 grams protein) and 16 oz (20 grams protein) cans in July.

🥤 Tapping into consumers’ thirst for updated takes on CSDs can help the company expand the audience for its protein-first products (goodbye energy drinks), said Don’t Quit CEO Mark French.

🛒 That means expanded distribution for the brand’s Protein Shakes (33 grams), while Protein Soda moves into grocery partners like Albertsons in 12 oz cans ($2.99), and into c-stores like 7-Eleven with the 16 oz versions ($3.49).

🤝🏼 Behind the scenes, the brand is also getting a boost from the closing of a $15 million funding round led by Solyco Capital.

💪🏼 Of course, protein soda has been tried before (see Xapp, Fizzique), and non-carbonated clear protein (Vita Proteins, Protein20) have been around for a while. But with names like Vuum and Bucked Up (and now Don’t Quit) entering the mix, the niche category may be adding some real muscle.

Read the full story on BevNET for more details.

Ketone shot and beverage brand KetoneAid is taking Puerto Rican beverage company Suspend Aging LLC to court over patent infringement. 

📝 The lawsuit claims that Suspend Aging’s Fun Ketones non-alcoholic RTDs are using the same patented D-1,3-butanediol (D-1,3 BDO) ingredient that KetoneAid uses in its Hard Ketones line.

🏛️ The suit – filed in a San Juan, Puerto Rico court last week – seeks damages and an injunction against Suspend Aging founder Ibok Ibok.

🏃 KetoneAid produces a variety of ketone-based drinks including energy drink Snake Water and two fitness-oriented shots along with its adult alcohol alternative Hard Ketones.

💬 “We are committed to protecting our innovations and will enforce our patent rights wherever necessary,” founder and CEO Frank Llosa told BevNET.

Go Deeper: Ketone RTDs Seek Place Within Emerging Functional Set

Rhodiolife® is a premium, fully traceable Rhodiola rosea extract delivering the full spectrum of bioactive compounds. CITES-compliant, sustainable, and available in a water-soluble form, it’s a true adaptogen for supporting stamina and reducing stress. Learn more

Coca-Cola is gearing up to close a Napa County bottling plant on June 30, two years after it was originally planned to shutter. 

• The 350,000 sq. ft. American Canyon plant has operated for 30 years and spans 17 acres
• The closure will impact 135 employees
• Powerade, Minute Maid, Vitamin Water and Gold Peak Tea beverages, among others, are produced at the site

🏭 Coke originally acquired the plant in 2002 as part of its West Coast expansion. As the conglomerate has restructured in a move away from production it has closed numerous production facilities over the past four years. Dutch beverage company Refresco has taken over many of the company’s former bottling operations. 

Go Deeper: Refresco Completes Facilities Deal with Coca-Cola