Freshpet (FRPT) 10-Q 8 May 23 2023 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2023	May 04, 2023
Document Information [Line Items]
Entity Central Index Key	0001611647
Entity Registrant Name	Freshpet INC
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2023
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	001-36729
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	20-1884894
Entity Address, Address Line One	400 Plaza Drive, 1st Floor
Entity Address, City or Town	Secaucus
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	07094
City Area Code	201
Local Phone Number	520-4000
Title of 12(b) Security	Common Stock
Trading Symbol	FRPT
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		48,120,811

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
CURRENT ASSETS:
Cash and cash equivalents	$ 337,143	$ 132,735
Short-term investments	49,326	0
Accounts receivable, net of allowance for doubtful accounts	49,513	57,572
Inventories, net	66,319	58,290
Prepaid expenses	7,751	9,778
Other current assets	3,092	3,590
Total Current Assets	513,144	261,965
Property, plant and equipment, net	826,152	800,586
Deposits on equipment	2,936	3,823
Operating lease right of use assets	4,808	5,165
Equity method investment	0	25,418
Long term investment in equity securities	24,438	0
Other assets	28,539	28,426
Total Assets	1,400,017	1,125,383
CURRENT LIABILITIES:
Accounts payable	26,391	55,088
Accrued expenses	27,805	33,016
Current operating lease liabilities	1,543	1,510
Total Current Liabilities	55,739	89,614
Convertible senior notes	391,567	0
Long term operating lease liabilities	3,804	4,200
Total Liabilities	451,110	93,814
STOCKHOLDERS' EQUITY:
Common stock — voting, $0.001 par value, 200,000 shares authorized, 48,123 issued and 48,109 outstanding on March 31, 2023, and 48,051 issued and 48,037 outstanding on December 31, 2022	48	48
Additional paid-in capital	1,267,642	1,325,524
Accumulated deficit	(319,903)	(295,117)
Accumulated other comprehensive income	1,376	1,370
Treasury stock, at cost — 14 shares on March 31, 2023 and on December 31, 2022	(256)	(256)
Total Stockholders' Equity	948,907	1,031,569
Total Liabilities and Stockholders' Equity	$ 1,400,017	$ 1,125,383

Consolidated Balance Sheets (_2

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares shares in Thousands	Mar. 31, 2023	Dec. 31, 2022
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, authorized (in shares)	200,000	200,000
Common stock, issued (in shares)	48,123	48,051
Common stock, outstanding (in shares)	48,109	48,037
Treasury Stock, Common, Shares	14	14

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended
		Mar. 31, 2023	Mar. 31, 2022
NET SALES	[1]	$ 167,522	$ 132,171
COST OF GOODS SOLD		116,762	87,419
GROSS PROFIT		50,760	44,753
SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES		72,271	60,631
LOSS FROM OPERATIONS		(21,511)	(15,878)
OTHER (EXPENSES)/INCOME:
Other Income, net		946	258
Interest Expense		(3,171)	(571)
Nonoperating Income (Expense), Total		(2,225)	(313)
LOSS BEFORE INCOME TAXES		(23,736)	(16,191)
INCOME TAX EXPENSE		70	41
LOSS ON EQUITY METHOD INVESTMENT		980	1,310
LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS		(24,786)	(17,542)
OTHER COMPREHENSIVE (LOSS) INCOME:
Change in foreign currency translation		6	(362)
TOTAL OTHER COMPREHENSIVE INCOME (LOSS)		6	(362)
TOTAL COMPREHENSIVE LOSS		$ (24,780)	$ (17,904)
NET LOSS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS
-BASIC (in dollars per share)		$ (0.52)	$ (0.40)
-DILUTED (in dollars per share)		$ (0.52)	$ (0.40)
WEIGHTED AVERAGE SHARES OF COMMON STOCK OUTSTANDING USED IN COMPUTING NET (LOSS) INCOME PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS
-BASIC (in shares)		48,047	43,437
-DILUTED (in shares)		48,047	43,437
[1]Online sales associated with each class of retailer are included within their respective total.

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Treasury Stock, Common [Member]	Total
Balances (in shares) at Dec. 31, 2021	43,449				14
Balances at Dec. 31, 2021	$ 43	$ 955,710	$ (235,623)	$ (120)	$ (256)	$ 719,754
Exercise of options to purchase common stock (in shares)	22
Exercise of options to purchase common stock	$ 0	232	0	0	$ 0	232
Vesting of restricted stock units (in shares)	14				0
Vesting of restricted stock units	$ 0	(323)	0	0	$ 0	(323)
Share-based compensation expense	0	6,295	0	0	0	6,295
Foreign currency translation	0	0	0	(362)	0	(362)
Net loss	$ 0	0	(17,542)	0	$ 0	(17,542)
Balances (in shares) at Mar. 31, 2022	43,485				14
Balances at Mar. 31, 2022	$ 43	961,914	(253,165)	(482)	$ (256)	708,054
Balances (in shares) at Dec. 31, 2022	48,051				14
Balances at Dec. 31, 2022	$ 48	1,325,524	(295,117)	1,370	$ (256)	$ 1,031,569
Exercise of options to purchase common stock (in shares)	35					41
Exercise of options to purchase common stock	$ 0	1,954	0	0	$ 0	$ 1,954
Vesting of restricted stock units (in shares)	23				0
Vesting of restricted stock units	$ 0	(602)	0	0	$ 0	(602)
Share-based compensation expense	0	6,977	0	0	0	6,977
Foreign currency translation	0	0	0	6	0	6
Purchase of capped call option	0	(66,211)	0	0	0	(66,211)
Net loss	$ 0	0	(24,786)	0	$ 0	(24,786)
Balances (in shares) at Mar. 31, 2023	48,109				14
Balances at Mar. 31, 2023	$ 48	$ 1,267,642	$ (319,903)	$ 1,376	$ (256)	$ 948,907

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (24,786)	$ (17,542)
Adjustments to reconcile net loss to net cash flows used in operating activities:
Provision for loss (gains) on accounts receivable	(2)	(25)
Loss on disposal of equipment	268	43
Share-based compensation	8,415	6,295
Inventory obsolescence	(29)	(149)
Depreciation and amortization	14,492	8,007
Write-off and amortization of deferred financing costs and loan discount	2,478	132
Change in operating lease right of use asset	357	310
Loss on equity method investment	980	1,310
Changes in operating assets and liabilities:
Accounts receivable	9,182	(26,653)
Inventories	(8,000)	(9,588)
Prepaid expenses and other current assets	2,525	717
Other assets	(3,664)	(990)
Accounts payable	(10,724)	5,449
Accrued expenses	(4,869)	(1,811)
Other lease liabilities	(363)	(290)
Net cash flows used in operating activities	(13,740)	(34,785)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of short-term investments	(49,326)	0
Investments in equity method investment	0	(3,294)
Acquisitions of property, plant and equipment, software and deposits on equipment	(58,039)	(55,888)
Net cash flows used in investing activities	(107,365)	(59,182)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from exercise of options to purchase common stock	834	232
Tax withholdings related to net shares settlements of restricted stock units	(602)	(323)
Proceeds from borrowings under Credit Facility	0	51,000
Purchase of capped call option	(66,211)	0
Proceeds from issuance of convertible senior notes	393,518	0
Debt issuance costs	(2,026)	0
Net cash flows provided by financing activities	325,513	50,909
NET CHANGE IN CASH AND CASH EQUIVALENTS	204,408	(43,058)
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR	132,735	72,788
CASH AND CASH EQUIVALENTS, END OF PERIOD	337,143	29,730
SUPPLEMENTAL CASH FLOW INFORMATION:
Interest paid	1,216	421
NON-CASH FINANCING AND INVESTING ACTIVITIES:
Property, plant and equipment purchases in accounts payable and accrued expenses	25,943	51,572
Receivable from exercise of options to purchase common stock	$ 1,120	$ 0

Note 1 - Nature of the Business

Note 1 - Nature of the Business and Summary of Significant Accounting Policies	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Organization, Consolidation, Basis of Presentation, Business Description and Accounting Policies [Text Block]	Note 1 Nature of the Business Basis of Presentation March 31, 2023 three March 31, 2023 2022 three March 31, 2023 2022 three March 31, 2023 not December 31, 2023 may not may not These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes in Item 8 10 December 31, 2022 Investment in unconsolidated company not 20% may one In applying the equity method, the Company records the investment at cost and subsequently increases or decreases the carrying amount of the investment by our proportionate share of the net income or loss. On March 10, 2022, not not 20%. not On March 30, 2023 no March 30, 2023, 321 321" not 321 not not 321, one June 2023. 820 820” Fair Value Measurements and Disclosures. no March 31, 2023. Variable interest entities March 2023 - March 2023, The Company accounts for its Convertible Senior Notes as a single liability measured at amortized cost. The Company uses the effective interest rate method to amortize the debt issuance costs to interest expense over the respective term of the Convertible Senior Notes. Estimates and Uncertainties Fair Value of Financial Instruments 1 3 The three • Level 1 1 • Level 2 1 not 2 • Level 3 3 one The carrying amounts reported in the balance sheets for cash and cash equivalents, other receivables, accounts payable and accrued expenses approximate their fair value based on the short-term maturity of these instruments. Certain assets, including the equity method investment, right-of-use assets and property and equipment are also subject to measurement at fair value on a non-recurring basis if they are deemed to be impaired as a result of an impairment review. As of March 31, 2023 1 2 Cash Equivalents three 2 may not March 31, 2023, Short-Term Investments three 2 may not Trade accounts receivable may Implementation Costs of Cloud Computing Arrangement March 31, 2023 December 31, 2022, first 2022. Net Sales Three Months Ended March 31, 2023 2022 Grocery, Mass and Club $ 146,798 $ 115,518 Pet Specialty and Natural 20,724 16,654 Net Sales (a) $ 167,522 $ 132,171 (a) Recently Adopted Accounting Standards The Company did not March 31, 2023.

Note 2 - Inventories

Note 2 - Inventories	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Inventory Disclosure [Text Block]	Note 2 March 31, December 31, 2023 2022 Raw Materials and Work in Process $ 20,530 $ 20,608 Packaging Components Material 6,920 6,186 Finished Goods 38,898 31,639 66,348 58,433 Reserve for Obsolete Inventory (29 ) (143 ) Inventories, net $ 66,319 $ 58,290

Note 3 - Property, Plant and Eq

Note 3 - Property, Plant and Equipment	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	Note 3 March 31, December 31, 2023 2022 Refrigeration Equipment $ 140,539 $ 137,875 Machinery and Equipment 200,115 199,504 Building, Land, and Improvements 458,474 458,800 Furniture and Office Equipment 14,121 14,040 Leasehold Improvements 1,319 1,319 Construction in Progress 169,589 134,338 984,156 945,877 Less: Accumulated Depreciation (158,004 ) (145,291 ) Property, plant and equipment, net $ 826,152 $ 800,586 Depreciation expense related to property, plant and equipment totaled $14,394 for the three March 31, 2023 three March 31, 2023 Depreciation expense related to property, plant and equipment totaled $7,947 for the three March 31, 2022 three March 31, 2022

Note 4 - Accrued Expenses

Note 4 - Accrued Expenses	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block]	Note 4 March 31, December 31, 2023 2022 Accrued Compensation and Employee Related Costs $ 5,768 $ 8,559 Accrued Construction Costs 5,870 4,235 Accrued Chiller Cost 2,130 4,106 Accrued Customer Consideration 953 656 Accrued Freight 3,970 2,705 Accrued Production Expenses 2,033 3,755 Accrued Corporate and Marketing Expenses 2,760 3,794 Accrued Interest 331 922 Other Accrued Expenses 3,990 4,284 Accrued Expenses $ 27,805 $ 33,016

Note 5 - Debt

Note 5 - Debt	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Debt Disclosure [Text Block]	Note 5 On February 19, 2021, April 17, 2020. The Credit Facility had an original maturity date of February 19, 2026 one August 19, 2023, August 19, 2022, 1/28th August 19, 2023, 1/28th February 19, 2026. Borrowings under the Credit Facility were secured by substantially all of the Company's and certain of its subsidiaries' assets. The Credit Agreement required compliance with various covenants customary for agreements of this type, including financial covenants and negative covenants that limit, among other things, the Company's ability to incur additional debt, create or incur liens, engage in mergers or consolidations, sell, transfer or otherwise dispose of assets, make voluntary prepayments to subordinated debt, permit a change of control, pay dividends or distributions, make investments, and enter into certain transaction with affiliates. The Credit Agreement also included events of default customary for agreements of this type. The Credit Facility included a quarterly commitment fee on any unused amounts at a per annum rate between 0.30% to 0.50% depending on the aggregate principal outstanding. On April 29, 2022, On March 13, 2023, March 15, 2023 ( As of March 31, 2023, December 31, 2022, March 31, 2023 December 31, 2022, three March 31, 2023 2022, three March 31, 2023,

Note 6 - Convertible Senior Not

Note 6 - Convertible Senior Notes	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Convertible Debt [Text Block]	Note 6 In March 2023, 2028 144A 1933, 2023 The Convertible Notes are our senior, unsecured obligations and accrue interest at a rate of 3.0% per annum, payable semi-annually in arrears on April 1 October 1 October 1, 2023. April 1, 2028 January 3, 2028, 1 June 30, 2023 ( 20 not 30 130% 2 five 10 $1,000 98% 3 4 January 3, 2028, second may We will settle conversions by paying or delivering, as applicable, cash, shares of our common stock or a combination of cash and shares of our common stock, at our election. The initial conversion rate for the Convertible Notes is 14.3516 shares of common stock per $1,000 may We may not April 3, 2026. may April 3, 2026 40th not may not not Upon the occurrence of a fundamental change (as defined in the Indenture), holders may 100% The effective interest rate for the Convertible Notes was 3.59%. Transaction costs of $11,008 attributable to the issuance of the Convertible Notes were recorded as a direct deduction from the related debt liability in the Consolidated Balance Sheet and are amortized to interest expense over the term of the Convertible Notes using the effective interest method. The net carrying amount of the Convertible Notes consists of the following: As of March 31, 2023 Principal balance 402,500 Unamortized issuance costs (11,008 ) Carrying value, net 391,492 Lender fees that were paid upfront to the lenders and debt issuance fees paid to third March 31, 2023, As of March 31, 2023 Contractual interest expense 331 Amortization of issuance costs 55 Total 386 The fair value of the Convertible Notes approximates the carrying value of the Convertible Notes, as the issuance of the Convertible Notes occurred at the end of March 2023.

Note 7 - Purchase of Capped Cal

Note 7 - Purchase of Capped Call Option	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Derivatives and Fair Value [Text Block]	Note 7 In connection with the pricing of the Convertible Notes issued in March 2023, The Capped Call Transactions are generally expected to reduce potential dilution to holders of our common stock upon any conversion of the Convertible Notes and/or offset any cash payments we are required to make in excess of the principal amount of the Convertible Notes upon conversion of the Convertible Notes in the event that the market price per share of our common stock is greater than the strike price of the Capped Call Transactions, with such reduction and/or offset subject to a cap. The Capped Call Transactions have an initial cap price of approximately $120.23 per share, which represents a premium of 120% March 15, 2023, The Capped Call Transactions are accounted for as freestanding derivatives and recorded at the initial fair value in Additional paid-in-capital in the Consolidated Balance Sheet with no recorded subsequent change to fair value as long as they meet the criteria for equity classification.

Note 8 - Leases

Note 8 - Leases	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Lessee, Operating Leases [Text Block]	Note 8 We have various noncancelable lease agreements for office and warehouse space, as well as office equipment, with original remaining lease terms of two five five not not not Weighted-average remaining lease term (in years) and discount rate related to operating leases were as follows: Weighted-average remaining lease term 3.40 Weighted-average discount rate 6.16 % As most of our leases do not Maturities of lease liabilities under noncancelable operating leases as of March 31, 2023 Operating Lease Obligations As of March 31, 2023 2023 (a) $ 1,357 2024 1,511 2025 1,210 2026 1,239 2027 and beyond 337 Total lease payments $ 5,654 Less: Imputed interest (307 ) Present value of lease liabilities $ 5,347 (a) Excluding the three March 31, 2023 A summary of rent expense for the three March 31, 2023 2022 Three Months Ended March 31, 2023 2022 Operating lease cost $ 438 $ 438 Supplemental cash flow information and non-cash activity relating to operating leases are as follows: Three Months Ended March 31, Operating cash flow information: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities $ 445 $ 435

Note 9 - Warrants

Note 9 - Warrants	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Warrant Disclosure [Text Block]	Note 9 In connection with an agreement to operators of Freshpet Kitchens South during the third 2022 718 March 31, 2023, December 31, 2022, During 2022, 2022 Total amortization associated with partner warrants for the three March 31, 2023

Note 10 - Equity Incentive Plan

Note 10 - Equity Incentive Plans	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	Note 10 Total compensation cost for share-based payments recognized for the three March 31, 2023 2022 three March 31, 2023, three March 31, 2023, three March 31, 2023, three March 31, 2023,

Note 11 - Earnings Per Share At

Note 11 - Earnings Per Share Attributable to Common Stockholders	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Earnings Per Share [Text Block]	Note 11 Basic net earnings (loss) per share of common stock is calculated by dividing net income (loss) attributable to common stockholders by the weighted-average number of shares of common stock outstanding for the period. Diluted net earnings (loss) per share of common stock is computed by giving effect to all potentially dilutive securities. For purpose of determining diluted earnings per common share, the treasury stock method is used for stock options, warrants, and RSUs, and the if-converted method is used for convertible instruments such as convertible debt as prescribed in FASB ASC Topic 260. March 2023, 260, three March 31, 2023 2022. The potentially dilutive securities excluded from the determination of diluted loss per share, as their effect is antidilutive, are as follows (in thousands): Three Months Ended March 31, 2023 2022 Service Period Stock Options 1,267 1,262 Restricted Stock Units 405 167 Performance Stock Options 992 956 Convertible Notes 5,776 — Total 8,440 2,385

Note 12 - Concentrations

Note 12 - Concentrations	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Concentration Risk Disclosure [Text Block]	Note 12 Concentration of Credit Risk may

Note 13 - Commitments and Conti

Note 13 - Commitments and Contingencies	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	Note 13 We are currently involved in various claims and legal actions that arise in the ordinary course of our business, including claims resulting from employment related matters. None On April 8, 2022, 2018 On July 5, 2022, As of December 31, 2022, As of March 31, 2023, May 31, 2023. Based on information currently available and advice of counsel, we do not may

Note 14 - Subsequent Events

Note 14 - Subsequent Events	3 Months Ended
	Mar. 31, 2023
Notes to Financial Statements
Subsequent Events [Text Block]	Note 14 The Company evaluates events that have occurred after the balance sheet date but before the financial statements are issued for recognition or disclosures. The Company did not

Significant Accounting Policies

Significant Accounting Policies (Policies)	3 Months Ended
	Mar. 31, 2023
Accounting Policies [Abstract]
Nature of the Business [Policy Text Block]	Nature of the Business
Basis of Accounting, Policy [Policy Text Block]	Basis of Presentation March 31, 2023 three March 31, 2023 2022 three March 31, 2023 2022 three March 31, 2023 not December 31, 2023 may not may not These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and accompanying notes in Item 8 10 December 31, 2022
Equity Method Investments [Policy Text Block]	Investment in unconsolidated company not 20% may one In applying the equity method, the Company records the investment at cost and subsequently increases or decreases the carrying amount of the investment by our proportionate share of the net income or loss. On March 10, 2022, not not 20%. not On March 30, 2023 no March 30, 2023, 321 321" not 321 not not 321, one June 2023. 820 820” Fair Value Measurements and Disclosures. no March 31, 2023.
Consolidation, Policy [Policy Text Block]	Variable interest entities
Debt, Policy [Policy Text Block]	March 2023 - March 2023, The Company accounts for its Convertible Senior Notes as a single liability measured at amortized cost. The Company uses the effective interest rate method to amortize the debt issuance costs to interest expense over the respective term of the Convertible Senior Notes.
Use of Estimates, Policy [Policy Text Block]	Estimates and Uncertainties
Fair Value of Financial Instruments, Policy [Policy Text Block]	Fair Value of Financial Instruments 1 3 The three • Level 1 1 • Level 2 1 not 2 • Level 3 3 one The carrying amounts reported in the balance sheets for cash and cash equivalents, other receivables, accounts payable and accrued expenses approximate their fair value based on the short-term maturity of these instruments. Certain assets, including the equity method investment, right-of-use assets and property and equipment are also subject to measurement at fair value on a non-recurring basis if they are deemed to be impaired as a result of an impairment review. As of March 31, 2023 1 2
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash Equivalents three 2 may not March 31, 2023,
Investment, Policy [Policy Text Block]	Short-Term Investments three 2 may not
Receivable [Policy Text Block]	Trade accounts receivable may
Implementation Costs of Cloud Computing Arrangement Policy [Policy Text Block]	Implementation Costs of Cloud Computing Arrangement March 31, 2023 December 31, 2022, first 2022.
Revenue from Contract with Customer [Policy Text Block]	Net Sales Three Months Ended March 31, 2023 2022 Grocery, Mass and Club $ 146,798 $ 115,518 Pet Specialty and Natural 20,724 16,654 Net Sales (a) $ 167,522 $ 132,171 (a)
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Adopted Accounting Standards The Company did not March 31, 2023.

Note 1 - Nature of the Busine_2

Note 1 - Nature of the Business and Summary of Significant Accounting Policies (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Disaggregation of Revenue [Table Text Block]	Three Months Ended March 31, 2023 2022 Grocery, Mass and Club $ 146,798 $ 115,518 Pet Specialty and Natural 20,724 16,654 Net Sales (a) $ 167,522 $ 132,171

Note 2 - Inventories (Tables)

Note 2 - Inventories (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Schedule of Inventory, Current [Table Text Block]	March 31, December 31, 2023 2022 Raw Materials and Work in Process $ 20,530 $ 20,608 Packaging Components Material 6,920 6,186 Finished Goods 38,898 31,639 66,348 58,433 Reserve for Obsolete Inventory (29 ) (143 ) Inventories, net $ 66,319 $ 58,290

Note 3 - Property, Plant and _2

Note 3 - Property, Plant and Equipment (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Property, Plant and Equipment [Table Text Block]	March 31, December 31, 2023 2022 Refrigeration Equipment $ 140,539 $ 137,875 Machinery and Equipment 200,115 199,504 Building, Land, and Improvements 458,474 458,800 Furniture and Office Equipment 14,121 14,040 Leasehold Improvements 1,319 1,319 Construction in Progress 169,589 134,338 984,156 945,877 Less: Accumulated Depreciation (158,004 ) (145,291 ) Property, plant and equipment, net $ 826,152 $ 800,586

Note 4 - Accrued Expenses (Tabl

Note 4 - Accrued Expenses (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	March 31, December 31, 2023 2022 Accrued Compensation and Employee Related Costs $ 5,768 $ 8,559 Accrued Construction Costs 5,870 4,235 Accrued Chiller Cost 2,130 4,106 Accrued Customer Consideration 953 656 Accrued Freight 3,970 2,705 Accrued Production Expenses 2,033 3,755 Accrued Corporate and Marketing Expenses 2,760 3,794 Accrued Interest 331 922 Other Accrued Expenses 3,990 4,284 Accrued Expenses $ 27,805 $ 33,016

Note 6 - Convertible Senior N_2

Note 6 - Convertible Senior Notes (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Schedule of Long-Term Debt Instruments [Table Text Block]	As of March 31, 2023 Principal balance 402,500 Unamortized issuance costs (11,008 ) Carrying value, net 391,492 As of March 31, 2023 Contractual interest expense 331 Amortization of issuance costs 55 Total 386

Note 8 - Leases (Tables)

Note 8 - Leases (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Lease, Cost [Table Text Block]	Weighted-average remaining lease term 3.40 Weighted-average discount rate 6.16 % Three Months Ended March 31, 2023 2022 Operating lease cost $ 438 $ 438 Three Months Ended March 31, Operating cash flow information: 2023 2022 Cash paid for amounts included in the measurement of lease liabilities $ 445 $ 435
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block]	Operating Lease Obligations As of March 31, 2023 2023 (a) $ 1,357 2024 1,511 2025 1,210 2026 1,239 2027 and beyond 337 Total lease payments $ 5,654 Less: Imputed interest (307 ) Present value of lease liabilities $ 5,347

Note 11 - Earnings Per Share _2

Note 11 - Earnings Per Share Attributable to Common Stockholders (Tables)	3 Months Ended
	Mar. 31, 2023
Notes Tables
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended March 31, 2023 2022 Service Period Stock Options 1,267 1,262 Restricted Stock Units 405 167 Performance Stock Options 992 956 Convertible Notes 5,776 — Total 8,440 2,385

Note 1 - Nature of the Busine_3

Note 1 - Nature of the Business and Summary of Significant Accounting Policies (Details Textual) - USD ($) $ in Thousands		3 Months Ended		12 Months Ended
	Mar. 10, 2022	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Sep. 02, 2020
Payments to Acquire Equity Method Investments		$ 0	$ 3,294
Equity Method Investments		0		$ 25,418
Cash and Cash Equivalents, at Carrying Value		337,143		132,735
Implementation Costs		9,061		$ 9,444
US Treasury Securities [Member]
Cash and Cash Equivalents, at Carrying Value		24,732
March 2023 Note [Member] | Convertible Senior Notes [Member]
Debt Instrument, Face Amount		$ 402,500
Debt Instrument, Interest Rate, Stated Percentage		3%
Privately Held Company, Not Primary Beneficiary [Member]
Payments to Acquire Equity Method Investments	$ 3,300
Equity Method Investment, Ownership Percentage					19%
Equity Method Investments	$ 31,200

Note 1 - Nature of the Busine_4

Note 1 - Nature of the Business and Summary of Significant Accounting Policies - Net Sales by Class of Retailer (Details) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2023	Mar. 31, 2022
Net Sales	[1]	$ 167,522	$ 132,171
Grocery (including Online), Mass and Club [Member]
Net Sales		146,798	115,518
Pet Specialty and Natural [Member]
Net Sales		$ 20,724	$ 16,654
[1]Online sales associated with each class of retailer are included within their respective total.

Note 2 - Inventories - Summary

Note 2 - Inventories - Summary of Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Raw Materials and Work in Process	$ 20,530	$ 20,608
Packaging Components Material	6,920	6,186
Finished Goods	38,898	31,639
Inventory, Gross	66,348	58,433
Reserve for Obsolete Inventory	(29)	(143)
Inventories, net	$ 66,319	$ 58,290

Note 3 - Property, Plant and _3

Note 3 - Property, Plant and Equipment (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Depreciation, Depletion and Amortization	$ 14,394	$ 7,947
Cost of Sales [Member]
Depreciation, Depletion and Amortization	$ 10,721	$ 4,701

Note 3 - Property, Plant and _4

Note 3 - Property, Plant and Equipment - Summary of Property, Plant and Equipment (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Property, plant and equipment, gross	$ 984,156	$ 945,877
Less: Accumulated Depreciation	(158,004)	(145,291)
Property, plant and equipment, net	826,152	800,586
Refrigeration Equipment [Member]
Property, plant and equipment, gross	140,539	137,875
Machinery and Equipment [Member]
Property, plant and equipment, gross	200,115	199,504
Land, Buildings and Improvements [Member]
Property, plant and equipment, gross	458,474	458,800
Furniture and Office Equipment [Member]
Property, plant and equipment, gross	14,121	14,040
Leasehold Improvements [Member]
Property, plant and equipment, gross	1,319	1,319
Construction in Progress [Member]
Property, plant and equipment, gross	$ 169,589	$ 134,338

Note 4 - Accrued Expenses - Sum

Note 4 - Accrued Expenses - Summary of Accrued Expenses (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Accrued Compensation and Employee Related Costs	$ 5,768	$ 8,559
Accrued Construction Costs	5,870	4,235
Accrued Chiller Cost	2,130	4,106
Accrued Customer Consideration	953	656
Accrued Freight	3,970	2,705
Accrued Production Expenses	2,033	3,755
Accrued Corporate and Marketing Expenses	2,760	3,794
Accrued Interest	331	922
Other Accrued Expenses	3,990	4,284
Accrued Expenses	$ 27,805	$ 33,016

Note 5 - Debt (Details Textual)

Note 5 - Debt (Details Textual) - USD ($)		3 Months Ended
	Apr. 17, 2020	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Feb. 19, 2021
Debt Issuance Costs, Net		$ 3,263
Interest Payable, Current		331,000		$ 922,000
Interest Expense, Debt		3,171,000	$ 571,000
Credit Facility [Member]
Debt Agreement, Maximum Borrowing Capacity					$ 350,000,000
Long-Term Debt, Total				0
Interest Payable, Current		0		$ 922,000
Deferred Debt Issuance Cost, Writeoff		$ 2,478,000
Credit Facility [Member] | Minimum [Member]
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage		0.30%
Credit Facility [Member] | Maximum [Member]
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage		0.50%
Credit Facility [Member] | Base Rate [Member] | Minimum [Member]
Debt Instrument, Basis Spread on Variable Rate	0.75%
Credit Facility [Member] | Base Rate [Member] | Maximum [Member]
Debt Instrument, Basis Spread on Variable Rate	2.25%
Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | Minimum [Member]
Debt Instrument, Basis Spread on Variable Rate	1.75%
Credit Facility [Member] | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate [Member] | Maximum [Member]
Debt Instrument, Basis Spread on Variable Rate	3.25%
Credit Facility [Member] | Revolving Credit Facility [Member]
Line of Credit Facility, Maximum Borrowing Capacity	$ 35,000,000				50,000,000
Credit Facility [Member] | Draw Term Loan [Member]
Long-Term Debt, Total	$ 130,000,000				$ 300,000,000
Draw Term Loan [Member] | Credit Facility [Member]
Debt Issuance Costs, Net		$ 2,797

Note 6 - Convertible Senior N_3

Note 6 - Convertible Senior Notes (Details Textual)	3 Months Ended
	Mar. 31, 2023 USD ($) $ / shares	Mar. 31, 2022 USD ($)	Dec. 31, 2022 $ / shares
Proceeds from Convertible Debt	$ 393,518,000	$ 0
Common Stock, Par or Stated Value Per Share (in dollars per share) | $ / shares	$ 0.001		$ 0.001
Debt Issuance Costs, Net	$ 3,263
March 2023 Note [Member] | Convertible Senior Notes [Member]
Debt Instrument, Face Amount	$ 402,500,000
Debt Instrument, Interest Rate, Stated Percentage	3%
Proceeds from Convertible Debt	$ 391,492,000
Debt Instrument, Convertible, Conversion Ratio	14.3516
Debt Instrument, Convertible, Conversion Price (in dollars per share) | $ / shares	$ 69.68
Debt Instrument, Convertible, Threshold Percentage of Stock Price Trigger	130%
Debt Instrument, Convertible, Threshold Trading Days	20
Debt Instrument, Convertible, Threshold Consecutive Trading Days	30
Debt Instrument, Redemption Price, Percentage	100%
Debt Instrument, Interest Rate, Effective Percentage	3.59%
Debt Issuance Costs, Net	$ 11,008,000
March 2023 Note [Member] | Convertible Senior Notes [Member] | Minimum [Member]
Debt Instrument, Redemption, Minimum Aggregate Principal Outstanding	$ 100,000,000

Note 6 - Convertible Senior N_4

Note 6 - Convertible Senior Notes - Schedule of Long-term Debt (Details) - USD ($)	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Unamortized issuance costs	$ (3,263)
Total	3,171,000	$ 571,000
March 2023 Note [Member] | Convertible Senior Notes [Member]
Principal balance	402,500,000
Unamortized issuance costs	(11,008,000)
Carrying value, net	391,492,000
Contractual interest expense	331,000
Amortization of issuance costs	55,000
Total	$ 386,000

Note 7 - Purchase of Capped C_2

Note 7 - Purchase of Capped Call Option (Details Textual) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended
	Mar. 15, 2023	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Payments to Acquire Capped Call Options		$ 66,211	$ 0
Interest Payable, Current		331		$ 922
Capped Call Transactions [Member]
Capped Call Transactions, Cap Price (in dollars per share)	$ 120.23
Share Price (in dollars per share)	$ 54.65
March 2023 Note [Member] | Convertible Senior Notes [Member] | Capped Call Transactions [Member]
Payments to Acquire Capped Call Options		66,211
Credit Facility [Member]
Interest Payable, Current		$ 0		$ 922

Note 8 - Leases (Details Textua

Note 8 - Leases (Details Textual)	Mar. 31, 2023
Lessee, Operating Lease, Renewal Term (Year)	5 years
Minimum [Member]
Lessee, Operating Lease, Remaining Lease Term (Year)	2 years
Maximum [Member]
Lessee, Operating Lease, Remaining Lease Term (Year)	5 years

Note 8 - Leases - Lease Cost (D

Note 8 - Leases - Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Weighted-average remaining lease term (Year)	3 years 4 months 24 days
Weighted-average discount rate	6.16%
Operating lease cost	$ 438	$ 438
Cash paid for amounts included in the measurement of lease liabilities	$ 445	$ 435

Note 8 - Leases - Maturities of

Note 8 - Leases - Maturities of Lease Liabilities (Details) $ in Thousands	Mar. 31, 2023 USD ($)
2023 (a)	$ 1,357	[1]
2024	1,511
2025	1,210
2026	1,239
2027 and beyond	337
Total lease payments	5,654
Less: Imputed interest	(307)
Present value of lease liabilities	$ 5,347
[1]Excluding the three months ended March 31, 2022.

Note 9 - Warrants (Details Text

Note 9 - Warrants (Details Textual) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2023	Sep. 30, 2022	Dec. 31, 2022
Class Of Warrant Or Right, Issued During Period (in shares)		194,000
Class of Warrant or Right, Exercise Price of Warrants or Rights (in dollars per share)	$ 0.01
Class of Warrant or Right, Exercised During Period (in shares)			194,000
Class of Warrant or Right, Granted During the Period, Fair Value Per Share (in dollars per share)			$ 50.32
Amortization of Warrants	$ 1,438
Current Prepaid Expenses [Member]
Warrants and Rights Outstanding	4,025		$ 5,750
Other Assets [Member]
Warrants and Rights Outstanding	$ 1,726		$ 1,438

Note 10 - Equity Incentive Pl_2

Note 10 - Equity Incentive Plans (Details Textual) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Share-Based Payment Arrangement, Expense	$ 8,415	$ 6,295
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period (in shares)	41
Service Period Restricted Stock Units [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares)	127
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value (in dollars per share)	$ 57.72
Time-Options [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)	12
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value (in dollars per share)	$ 27.06
Restricted Stock Units (RSUs) [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Equity Instruments Other than Options, Vested in Period (in shares)	23

Note 11 - Earnings Per Share _3

Note 11 - Earnings Per Share Attributable to Common Stockholders (Details Textual) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Payments to Acquire Capped Call Options	$ 66,211	$ 0
March 2023 Note [Member] | Convertible Senior Notes [Member]
Debt Instrument, Face Amount	402,500
March 2023 Note [Member] | Convertible Senior Notes [Member] | Capped Call Transactions [Member]
Payments to Acquire Capped Call Options	$ 66,211

Note 11 - Earnings Per Share _4

Note 11 - Earnings Per Share Attributable to Common Stockholders - Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share (Details) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Antidilutive Securities (in shares)	8,440	2,385
Service Period Stock Options [Member]
Antidilutive Securities (in shares)	1,267	1,262
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities (in shares)	405	167
Performance Stock Options [Member]
Antidilutive Securities (in shares)	992	956
Convertible Senior Notes [Member]
Antidilutive Securities (in shares)	5,776	0

Note 12 - Concentrations (Detai

Note 12 - Concentrations (Details Textual) $ in Thousands	Mar. 31, 2023 USD ($)
Maximum [Member]
Cash, FDIC Insured Amount	$ 250

Note 13 - Commitments and Con_2

Note 13 - Commitments and Contingencies (Details Textual) - USD ($) $ in Thousands	Apr. 08, 2022	Mar. 31, 2023	Dec. 31, 2022
Other Assets, Noncurrent		$ 28,539	$ 28,426
Phillips Feed Service, Inc., d/b/a Phillips Feed And Pet Supply Complaint [Member]
Loss Contingency, Damages Sought, Value	$ 8,300
Other Assets, Noncurrent			$ 8,971