Dutch Bros (BROS) 10-Q 7 Nov 24 2024 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Sep. 30, 2024	Oct. 31, 2024
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-40798
Entity Registrant Name	DUTCH BROS INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	87-1041305
Entity Address, Address Line One	300 N Valley Dr
Entity Address, City or Town	Grants Pass,
Entity Address, State or Province	OR
Entity Address, Postal Zip Code	97526
City Area Code	541
Local Phone Number	955-4700
Title of 12(b) Security	Class A Common Stock, par value $0.00001 per share
Trading Symbol	BROS
Security Exchange Name	NYSE
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 Central Index Key	0001866581
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false
Class A common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		113,823,181
Class B common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		35,226,680
Class C common stock
Document Information [Line Items]
Entity Common Stock, Shares Outstanding		5,142,050

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 281,134	$ 133,545
Accounts receivable, net	10,362	9,124
Inventories, net	38,381	46,953
Prepaid expenses and other current assets	12,168	15,637
Total current assets	342,045	205,259
Property and equipment, net	662,759	542,440
Finance lease right-of-use assets, net	377,561	382,734
Operating lease right-of-use assets, net	301,896	199,673
Intangibles, net	3,455	5,415
Goodwill	21,629	21,629
Deferred income tax assets, net	718,543	402,995
Other long-term assets	3,628	3,865
Total assets	2,431,516	1,764,010
Current liabilities:
Accounts payable	31,880	29,957
Accrued compensation and benefits	39,106	31,405
Other accrued liabilities	26,162	15,770
Other current liabilities	5,962	6,423
Deferred revenue	35,738	30,349
Current portion of finance lease liabilities	12,845	9,482
Current portion of operating lease liabilities	12,987	10,239
Current portion of long-term debt	15,746	4,491
Total current liabilities	180,426	138,116
Deferred revenue, net of current portion	6,367	6,676
Finance lease liabilities, net of current portion	369,206	367,775
Operating lease liabilities, net of current portion	293,474	191,419
Long-term debt, net of current portion	224,361	93,175
Tax receivable agreements liability	605,003	290,920
Other long-term liabilities	8	8
Total liabilities	1,678,845	1,088,089
Commitments and contingencies (Note 15)
Stockholders’ equity:
Preferred stock, $0.00001 par value per share - 20,000 shares authorized; zero shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively	0	0
Additional paid-in capital	506,785	379,391
Accumulated other comprehensive income	310	544
Retained earnings (accumulated deficit)	16,054	(15,592)
Total stockholders' equity attributable to Dutch Bros Inc.	523,150	364,345
Non-controlling interests	229,521	311,576
Total equity	752,671	675,921
Total liabilities and equity	2,431,516	1,764,010
Class A common stock
Stockholders’ equity:
Common stock	1	1
Class B common stock
Stockholders’ equity:
Common stock	0	1
Class C common stock
Stockholders’ equity:
Common stock	0	0
Class D common stock
Stockholders’ equity:
Common stock	$ 0	$ 0

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Preferred stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Preferred stock, authorized (in shares)	20,000,000	20,000,000
Preferred stock, issued (in shares)	0	0
Preferred stock, outstanding ( in shares)	0	0
Class A common stock
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, authorized ( in shares)	400,000,000	400,000,000
Common stock, issued (in shares)	113,823,000	69,958,000
Common stock, outstanding (in shares)	113,823,000	69,958,000
Class B common stock
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, authorized ( in shares)	144,000,000	144,000,000
Common stock, issued (in shares)	35,227,000	60,629,000
Common stock, outstanding (in shares)	35,227,000	60,629,000
Class C common stock
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, authorized ( in shares)	105,000,000	105,000,000
Common stock, issued (in shares)	5,142,000	35,864,000
Common stock, outstanding (in shares)	5,142,000	35,864,000
Class D common stock
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001
Common stock, authorized ( in shares)	42,000,000	42,000,000
Common stock, issued (in shares)	0	10,669,000
Common stock, outstanding (in shares)	0	10,669,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
REVENUES
Total revenues	$ 338,212	$ 264,507	$ 938,229	$ 711,653
COSTS AND EXPENSES
Cost of sales	248,161	189,323	686,048	519,482
Selling, general and administrative	57,536	50,490	161,866	148,128
Total costs and expenses	305,697	239,813	847,914	667,610
INCOME FROM OPERATIONS	32,515	24,694	90,315	44,043
OTHER EXPENSE
Interest expense, net	(6,869)	(9,325)	(20,259)	(26,269)
Other income (expense), net	764	(140)	7,357	2,206
Total other expense	(6,105)	(9,465)	(12,902)	(24,063)
INCOME BEFORE INCOME TAXES	26,410	15,229	77,413	19,980
Income tax expense	4,698	1,828	17,330	6,259
NET INCOME	21,712	13,401	60,083	13,721
Less: Net income attributable to non-controlling interests	9,068	9,191	28,437	10,601
Net income attributable to Dutch Bros Inc.	$ 12,644	$ 4,210	$ 31,646	$ 3,120
Net income per share of Class A and Class D common stock:
Basic (in dollars per share)	$ 0.11	$ 0.07	$ 0.32	$ 0.05
Diluted (in dollars per share)	$ 0.11	$ 0.07	$ 0.32	$ 0.05
Weighted-average shares of Class A and Class D common stock outstanding:
Basic (in shares)	113,819	59,366	99,756	57,598
Diluted (in shares)	114,252	60,214	100,070	57,598
Company-operated shops
REVENUES
Total revenues	$ 308,295	$ 236,472	$ 851,648	$ 630,588
Franchising and other
REVENUES
Total revenues	$ 29,917	$ 28,035	$ 86,581	$ 81,065

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Statement of Comprehensive Income [Abstract]
Net income	$ 21,712	$ 13,401	$ 60,083	$ 13,721
Other comprehensive income (loss):
Unrealized gain (loss) on derivative securities, effective portion, net of income tax expense (benefit) of $(247), $112, $(183), and $137, respectively	(1,324)	385	(537)	659
Comprehensive income	20,388	13,786	59,546	14,380
Less: comprehensive income attributable to non-controlling interests	8,506	9,388	28,134	10,980
Comprehensive income attributable to Dutch Bros Inc.	$ 11,882	$ 4,398	$ 31,412	$ 3,400

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Statement of Comprehensive Income [Abstract]
Unrealized gain on derivative securities, effective portion, net of income tax expense (benefit)	$ (247)	$ 112	$ (183)	$ 137

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders’ Equity - USD ($) $ in Thousands	Total	Additional Paid-in-Capital	Accumulated Other Comprehensive Income	Retained Earnings (Accumulated Deficit)	Non-Controlling Interests	Class A common stock	Class A common stock Common Stock	Class B common stock	Class B common stock Common Stock	Class C common stock	Class C common stock Common Stock	Class D common stock	Class D common stock Common Stock
Beginning balance (in shares) at Dec. 31, 2022							45,544,000		64,699,000		41,056,000		12,411,000
Beginning balance at Dec. 31, 2022	$ 251,976	$ 145,613	$ 813	$ (17,310)	$ 122,858		$ 1		$ 1		$ 0		$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	13,721			3,120	10,601
Unrealized gain (loss) on derivative securities, effective portion, net of income tax expense (benefit)	472	(187)	280		379
Equity-based compensation expense	29,017	10,609			18,408
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures (in shares)							135,000
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures	(1,895)	(661)			(1,234)
Tax impacts of other equity-related transactions	655	655
Issuance of Class A common stock sold pursuant to secondary offerings (in shares)							13,269,000
Issuance of Class A common stock sold pursuant to follow-on offering, net of offering costs	330,098	330,098
Effect of acquisition of Dutch Bros OpCo Class A common units	0	(187,950)			187,950
Tax impacts of follow-on offering	46,594	46,594
Ending balance (in shares) at Sep. 30, 2023							58,948,000		64,699,000		41,056,000		12,411,000
Ending balance at Sep. 30, 2023	670,638	344,771	1,093	(14,190)	338,962		$ 1		$ 1		$ 0		$ 0
Beginning balance (in shares) at Jun. 30, 2023							45,674,000		64,699,000		41,056,000		12,411,000
Beginning balance at Jun. 30, 2023	270,075	152,900	905	(18,400)	134,668		$ 1		$ 1		$ 0		$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	13,401			4,210	9,191
Unrealized gain (loss) on derivative securities, effective portion, net of income tax expense (benefit)	217	(168)	188		197
Equity-based compensation expense	9,698	3,864			5,834
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures (in shares)							5,000
Tax impacts of other equity-related transactions	555	555
Issuance of Class A common stock sold pursuant to secondary offerings (in shares)							13,269,000
Issuance of Class A common stock sold pursuant to follow-on offering, net of offering costs	330,098	330,098
Effect of acquisition of Dutch Bros OpCo Class A common units	0	(189,072)			189,072
Tax impacts of follow-on offering	46,594	46,594
Ending balance (in shares) at Sep. 30, 2023							58,948,000		64,699,000		41,056,000		12,411,000
Ending balance at Sep. 30, 2023	670,638	344,771	1,093	(14,190)	338,962		$ 1		$ 1		$ 0		$ 0
Beginning balance (in shares) at Dec. 31, 2023						69,958,000	69,958,000	60,629,000	60,629,000	35,864,000	35,864,000	10,669,000	10,669,000
Beginning balance at Dec. 31, 2023	675,921	379,391	544	(15,592)	311,576		$ 1		$ 1		$ 0		$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	60,083			31,646	28,437
Unrealized gain (loss) on derivative securities, effective portion, net of income tax expense (benefit)	(865)	(328)	(234)		(303)
Equity-based compensation expense	8,220	4,866			3,354
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures (in shares)							71,000
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures	(932)	1,831			(2,763)
Issuance of Class A common stock, and surrender and cancellation of Class B, C , and D common stock, pursuant to secondary offerings following exchange of Dutch Bros OpCo Class A common units (in shares)							43,794,000		(2,402,000)		(30,722,000)		(10,669,000)
Tax impacts of other equity-related transactions	254	254
Effect of exchange of Dutch Bros OpCo Class A common units	0	110,093			(110,093)
Impacts of Tax Receivable Agreements	10,678	10,678
Surrender and cancellation of Class B, C & D common stock (in shares)									(23,000,000)
Class B common stock decoupled from Dutch Bros OpCo Class A common units, surrendered and cancelled	(1)
Distributions paid to non-controlling interest holders	(687)				(687)
Ending balance (in shares) at Sep. 30, 2024						113,823,000	113,823,000	35,227,000	35,227,000	5,142,000	5,142,000	0	0
Ending balance at Sep. 30, 2024	752,671	506,785	310	16,054	229,521		$ 1		$ 0		$ 0		$ 0
Beginning balance (in shares) at Jun. 30, 2024							113,817,000		35,227,000		5,142,000		0
Beginning balance at Jun. 30, 2024	729,812	504,657	1,072	3,410	220,672		$ 1		$ 0		$ 0		$ 0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	21,712			12,644	9,068
Unrealized gain (loss) on derivative securities, effective portion, net of income tax expense (benefit)	(1,324)		(762)		(562)
Equity-based compensation expense	2,961	1,902			1,059
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures (in shares)							6,000
Issuance of Class A common stock pursuant to vesting of equity awards, net of stock withheld for tax and forfeitures	(57)	(36)			(21)
Tax impacts of other equity-related transactions	254	254
Effect of exchange of Dutch Bros OpCo Class A common units	0	8			(8)
Distributions paid to non-controlling interest holders	(687)				(687)
Ending balance (in shares) at Sep. 30, 2024						113,823,000	113,823,000	35,227,000	35,227,000	5,142,000	5,142,000	0	0
Ending balance at Sep. 30, 2024	$ 752,671	$ 506,785	$ 310	$ 16,054	$ 229,521		$ 1		$ 0		$ 0		$ 0

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Stockholders’ Equity (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Statement of Stockholders' Equity [Abstract]
Unrealized gain on derivative securities, effective portion, net of income tax expense (benefit)	$ (247)	$ 112	$ (183)	$ 137

Condensed Consolidated Statem_6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net income	$ 60,083	$ 13,721
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	67,484	49,411
Non-cash interest expense	834	609
Gain on disposal of assets	(1,373)	(245)
Equity-based compensation	8,220	29,017
Deferred income taxes	15,335	5,600
Remeasurement gain on TRAs	(5,687)	(1,740)
Non-cash operating lease cost	11,334	8,363
Changes in operating assets and liabilities:
Accounts receivable, net	(1,238)	2,830
Inventories, net	8,572	(11,067)
Prepaid expenses and other current assets	2,894	(943)
Other long-term assets	(729)	(544)
Accounts payable	3,236	3,429
Accrued compensation and benefits	7,701	4,196
Other accrued liabilities	9,804	3,894
Other current liabilities	(461)	(466)
Deferred revenue	5,080	(3,516)
Operating lease liabilities	(6,894)	(7,643)
Net cash provided by operating activities	184,195	94,906
Cash flows from investing activities:
Purchases of property and equipment	(178,969)	(167,732)
Proceeds from disposal of fixed assets	9,606	271
Net cash used in investing activities	(169,363)	(167,461)
Cash flows from financing activities:
Proceeds from line of credit	0	90,000
Payments on line of credit	0	(202,705)
Payments on finance lease liabilities	(7,726)	(10,556)
Proceeds from long-term debt	150,000	0
Payments on long-term debt	(7,898)	(1,951)
Payments of debt issuance costs	0	(1,350)
Proceeds from equity offering, net of underwriting discounts and commissions	0	331,200
Payment of deferred offering costs	0	(579)
Tax withholding payments upon vesting of equity awards	(932)	(1,896)
Distributions to non-controlling interest holders	(687)	0
Net cash provided by financing activities	132,757	202,163
Net increase in cash and cash equivalents	147,589	129,608
Cash and cash equivalents, beginning of period	133,545	20,178
Cash and cash equivalents, end of period	281,134	149,786
Supplemental disclosure of cash flow information
Interest paid	29,125	27,663
Income taxes paid, net of refunds	1,824	1,447
Supplemental disclosure of noncash investing and financing activities
Additions of property and equipment accrued as of end of period	13,155	14,207
Deferred offering costs accrued	$ 0	$ 523

Organization and Background

Organization and Background	9 Months Ended
	Sep. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Background	NOTE 1 — Organization and Background Business Dutch Bros is in the business of operating and franchising drive-thru coffee shops as well as the wholesale and distribution of coffee, coffee-related products, and accessories. As of September 30, 2024, there were 950 shops in operation in 18 U.S. states, of which 645 were company-operated and 305 were franchised. Organization Dutch Bros Inc. was formed on June 4, 2021 as a Delaware corporation for the purpose of facilitating an IPO and other related transactions in order to carry on the business of Dutch Bros OpCo. Dutch Bros Inc. is the sole managing member of Dutch Bros OpCo and operates and controls all of the business and affairs of Dutch Bros OpCo. As a result, Dutch Bros Inc. consolidates the financial results of Dutch Bros OpCo and reports a non-controlling interest representing the economic interest in Dutch Bros OpCo held by the other members of Dutch Bros OpCo. The Company’s fiscal year end is December 31. As of September 30, 2024, Dutch Bros Inc. held 100.0% of the voting interest and 64.2% of the economic interest of Dutch Bros OpCo. The Continuing Members held none of the voting interest and the remaining 35.8% of the economic interest of Dutch Bros OpCo.

Basis of Presentation and Summa

Basis of Presentation and Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Presentation and Summary of Significant Accounting Policies	NOTE 2 — Basis of Presentation and Summary of Significant Accounting Policies Financial Statements Presentation The Company’s condensed consolidated financial statements as of September 30, 2024 and for the three and nine months ended September 30, 2024 and 2023 have been prepared in accordance with GAAP and pursuant to the rules and regulations of the SEC, consistent in all material respects with those applied in the Company’s 2023 Form 10-K and as updated by this Form 10-Q. The Company has made estimates and judgments affecting the amounts reported in its condensed consolidated financial statements and the accompanying notes. Although management bases its estimates on historical experience and assumptions that are believed to be reasonable under the circumstances, actual results could differ from those estimates. This report should be read in conjunction with the consolidated financial statements in the Company’s 2023 Form 10-K that includes additional information on accounting estimates, policies, and the methods and assumptions used in its estimates. Significant Accounting Policies Updates There have been no material updates to the Company’s significant accounting policies during the nine months ended September 30, 2024 from those previously reported in the Company’s 2023 Form 10-K. Recently Issued Accounting Standards In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The amendments in this update are intended to enhance the transparency and decision usefulness of income tax disclosures, primarily through improvements to the rate reconciliation and income taxes paid information, specifically requiring (1) consistent categories and greater disaggregation of information in the rate reconciliation, and (2) income taxes paid disaggregation by jurisdiction. These amendments are effective for public business entities' annual periods beginning after December 15, 2024 and interim periods within fiscal years beginning after December 15, 2025, and should be applied on a prospective basis. Early adoption is permitted for annual financial statements that have not yet been issued. The Company is currently assessing the potential impacts of this standard on its income tax disclosures, and expects to provide additional detail and disclosures under the new guidance. In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.

Revenue Recognition

Revenue Recognition	9 Months Ended
	Sep. 30, 2024
Revenue from Contract with Customer [Abstract]
Revenue Recognition	NOTE 3 — Revenue Recognition Revenue The following table disaggregates revenue by major component: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Company-operated shops $ 308,295 $ 236,472 $ 851,648 $ 630,588 Franchising 28,694 26,691 82,545 76,860 Other 1,223 1,344 4,036 4,205 Total revenues $ 338,212 $ 264,507 $ 938,229 $ 711,653 Deferred Revenue Deferred revenue activity related to the Company’s gift card and loyalty programs was as follows: Nine Months Ended September 30, (in thousands) 2024 2023 Beginning balance $ 34,616 $ 26,904 Revenue deferred - gift card activations, loyalty app loads, and loyalty points and rewards earned 312,963 255,782 Revenue recognized - gift card, loyalty app, loyalty rewards redemptions, and breakage (308,012) (257,144) Ending balance 39,567 25,542 Less: current portion (35,316) (21,999) Deferred revenue, net of current portion, gift card and loyalty programs $ 4,251 $ 3,543 Deferred revenue also includes initial unearned franchise fees from franchise partners. These deferred revenues reported in the Company’s condensed consolidated balance sheets were as follows: (in thousands) September 30, 2024 December 31, 2023 Total deferred revenue, excluding gift card and loyalty programs $ 2,538 $ 2,409 Less: current portion (422) (412) Deferred revenue, net of current portion, excluding gift card and loyalty programs $ 2,116 $ 1,997 Revenue recognized during the three and nine months ended September 30, 2024 and 2023 that was included in the respective deferred revenue liability balances at the beginning of the period are shown below. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Gift card redemptions 1 $ 637 $ 553 $ 5,737 $ 4,742 Earned franchise fees 112 114 336 342 _____________________ 1 Amounts exclude cash loads and transactions related to the Company’s loyalty rewards program. Future recognition of initial unearned franchise fees as of September 30, 2024 is as follows: (in thousands) Remainder of 2024 $ 111 2025 409 2026 367 2027 322 2028 273 Thereafter 1,056 Total $ 2,538

Organization Realignment and Re

Organization Realignment and Restructuring	9 Months Ended
	Sep. 30, 2024
Restructuring and Related Activities [Abstract]
Organization Realignment and Restructuring	NOTE 4 — Organization Realignment and Restructuring On January 29, 2024, the Company’s Board of Directors approved an organizational realignment and restructuring plan to expand the Company’s support operations at its Phoenix, Arizona office. As part of this large-scale initiative, the Company will relocate certain of its support center staff from the Grants Pass, Oregon headquarters to the Phoenix office, and anticipates that by January 1, 2025, approximately 40% of the Company’s total support operations staff will be located in Phoenix, Arizona. All affected employees were either offered an opportunity to continue employment in the Phoenix office or were offered a severance package; these communications were largely completed by February 9, 2024. The Company expects to incur total aggregate charges of approximately $18 million to $22 million related to this initiative, consisting of (i) approximately $14 million to $18 million in employee-related costs, including relocation, retention and transition costs, termination benefits, and duplicate transition wages and benefits; and (ii) approximately $4 million in other costs, including consulting fees and costs and duplicate rent. Substantially all of the estimated charges are expected to result in current and future cash expenditures. The Company records severance related to this initiative as a one-time termination benefit and recognizes the expense ratably over the employees’ required future service period. All other costs, including other employee transition costs, recruitment and relocation costs, and third-party costs, are recognized in the period incurred. There have been no material lease terminations or lease abandonment related to this initiative. During the three and nine months ended September 30, 2024, the Company recorded restructuring charges for employee-related and other costs in selling, general and administrative expenses on the condensed consolidated statements of operations as follows: (in thousands) Three Months Ended September 30, 2024 Nine Months Ended September 30, 2024 Relocation and travel costs $ 2,217 $ 9,710 One-time termination benefits 1,781 3,577 Total employee-related costs 3,998 13,287 Duplicate rent 193 223 Total other costs 193 223 Total restructuring costs incurred $ 4,191 $ 13,510 As of September 30, 2024, the accruals for corporate restructuring costs are included in accounts payable, accrued compensation and benefits, and accrued expenses on the condensed consolidated balance sheets. The following table summarizes the activity for the restructuring liability during the nine months ended September 30, 2024: (in thousands) Liability, December 31, 2023 Charges Cash Payments Liability, September 30, 2024 Relocation and travel costs $ — $ 9,710 $ (8,866) $ 844 One-time termination benefits — 3,577 (719) 2,858 Total employee-related costs — 13,287 (9,585) 3,702 Duplicate rent — 223 (221) 2 Total other costs — 223 (221) 2 Totals $ — $ 13,510 $ (9,806) $ 3,704

Inventories

Inventories	9 Months Ended
	Sep. 30, 2024
Inventory Disclosure [Abstract]
Inventories	NOTE 5 — Inventories Inventories, net consist of the following: (in thousands) September 30, 2024 December 31, 2023 Raw materials $ 19,965 $ 28,523 Finished goods 18,416 18,430 Total inventories $ 38,381 $ 46,953

Property and Equipment

Property and Equipment	9 Months Ended
	Sep. 30, 2024
Property, Plant and Equipment [Abstract]
Property and Equipment	NOTE 6 — Property and Equipment Property and equipment, net consists of the following: (in thousands) Useful Life (Years) September 30, 2024 December 31, 2023 Software 3 $ 10,252 $ 7,212 Equipment and fixtures 3 — 7 199,155 157,352 Leasehold improvements 5 — 15 51,308 42,441 Buildings 10 — 20 386,500 269,186 Land N/A 7,781 7,338 Aircraft 1 N/A — 9,195 Construction-in-progress 2 N/A 167,962 166,054 Property and equipment, gross 822,958 658,778 Less: accumulated depreciation (160,199) (116,338) Property and equipment, net $ 662,759 $ 542,440 _______________ 1 Airplane, and hangar and related equipment, were sold to the Company’s Co-Founder in June 2024 and July 2024, respectively. See NOTE 16 — Related Party Transactions for additional information. 2 Construction-in-progress primarily consists of construction and equipment costs for new and existing shops, as well as our new roasting facility in Texas. Depreciation expense included in the Company’s condensed consolidated statements of operations was as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Cost of sales $ 16,556 $ 11,157 $ 45,579 $ 30,403 Selling, general and administrative expenses 373 408 841 1,235 Total depreciation expense $ 16,929 $ 11,565 $ 46,420 $ 31,638

Intangible Assets

Intangible Assets	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Intangible Assets	NOTE 7 — Intangible Assets The details of the intangible assets are as follows: (in thousands) Weighted-average amortization period (in years) September 30, 2024 December 31, 2023 Reacquired franchise rights 2.97 $ 27,049 $ 27,049 Less: accumulated amortization (23,594) (21,634) Intangibles, net $ 3,455 $ 5,415 Amortization expense included in the Company’s condensed consolidated statements of operations was as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Cost of sales $ 508 $ 820 $ 1,960 $ 2,589

Leases

Leases	9 Months Ended
	Sep. 30, 2024
Leases [Abstract]
Leases	NOTE 8 — Leases A summary of finance and operating lease right-of-use assets and lease liabilities as of September 30, 2024 and December 31, 2023 is as follows: (in thousands) Balance Sheet Classification September 30, December 31, Right-of-use assets Finance leases Finance lease right-of-use assets, net $ 377,561 $ 382,734 Operating leases Operating lease right-of-use assets, net 301,896 199,673 Total right-of-use assets $ 679,457 $ 582,407 Lease liabilities Finance leases Current portion of finance lease liabilities $ 12,845 $ 9,482 Finance lease liabilities, net of current portion 369,206 367,775 Operating leases Current portion of operating lease liabilities 12,987 10,239 Operating lease liabilities, net of current portion 293,474 191,419 Total lease liabilities $ 688,512 $ 578,915 Three Months Ended September 30, Nine Months Ended September 30, (in thousands) Statements of Operations Classification 2024 2023 2024 2023 Finance lease costs Amortization of right-of-use assets Cost of sales $ 6,429 $ 5,726 $ 19,059 $ 15,169 Amortization of right-of-use assets Selling, general, and administrative 15 5 45 15 Interest on lease liabilities Interest expense 5,541 4,755 16,499 12,344 Total finance lease costs 11,985 10,486 35,603 27,528 Operating lease costs Lease expenses Cost of sales 7,656 4,887 20,568 14,061 Lease expenses Selling, general, and administrative 680 12 959 36 Total operating lease costs 8,336 4,899 21,527 14,097 Variable lease costs Cost of sales 1,747 990 4,871 3,434 Total lease costs $ 22,068 $ 16,375 $ 62,001 $ 45,059 Supplemental cash flow information related to leases is as follows for the periods presented: Nine Months Ended September 30, (in thousands) 2024 2023 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 16,499 $ 12,344 Operating cash flows from operating leases 17,086 13,378 Financing cash flows from finance leases 7,726 10,556 Right-of-use assets obtained in exchange for lease obligations: Finance leases 12,520 122,990 Operating leases 112,579 28,626
Leases	NOTE 8 — Leases A summary of finance and operating lease right-of-use assets and lease liabilities as of September 30, 2024 and December 31, 2023 is as follows: (in thousands) Balance Sheet Classification September 30, December 31, Right-of-use assets Finance leases Finance lease right-of-use assets, net $ 377,561 $ 382,734 Operating leases Operating lease right-of-use assets, net 301,896 199,673 Total right-of-use assets $ 679,457 $ 582,407 Lease liabilities Finance leases Current portion of finance lease liabilities $ 12,845 $ 9,482 Finance lease liabilities, net of current portion 369,206 367,775 Operating leases Current portion of operating lease liabilities 12,987 10,239 Operating lease liabilities, net of current portion 293,474 191,419 Total lease liabilities $ 688,512 $ 578,915 Three Months Ended September 30, Nine Months Ended September 30, (in thousands) Statements of Operations Classification 2024 2023 2024 2023 Finance lease costs Amortization of right-of-use assets Cost of sales $ 6,429 $ 5,726 $ 19,059 $ 15,169 Amortization of right-of-use assets Selling, general, and administrative 15 5 45 15 Interest on lease liabilities Interest expense 5,541 4,755 16,499 12,344 Total finance lease costs 11,985 10,486 35,603 27,528 Operating lease costs Lease expenses Cost of sales 7,656 4,887 20,568 14,061 Lease expenses Selling, general, and administrative 680 12 959 36 Total operating lease costs 8,336 4,899 21,527 14,097 Variable lease costs Cost of sales 1,747 990 4,871 3,434 Total lease costs $ 22,068 $ 16,375 $ 62,001 $ 45,059 Supplemental cash flow information related to leases is as follows for the periods presented: Nine Months Ended September 30, (in thousands) 2024 2023 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 16,499 $ 12,344 Operating cash flows from operating leases 17,086 13,378 Financing cash flows from finance leases 7,726 10,556 Right-of-use assets obtained in exchange for lease obligations: Finance leases 12,520 122,990 Operating leases 112,579 28,626

Debt

Debt	9 Months Ended
	Sep. 30, 2024
Debt Disclosure [Abstract]
Debt	NOTE 9 — Debt Credit Facility On August 4, 2023, the Company amended its senior secured credit facility, dated February 28, 2022, with JPMorgan Chase Bank, N.A. (as amended, the 2022 Credit Facility) to increase borrowing capacity by $150 million to a total of $650 million. The 2022 Credit Facility consists of a $350 million revolving credit facility, a term loan facility of up to $100 million, and a delayed draw term loan facility of up to $200 million. The 2022 Credit Facility also includes sublimits for letters of credit and swingline loans of up to $50 million and $15 million, respectively. The 2022 Credit Facility expires on February 28, 2027 (the Maturity Date). On February 20, 2024, the Company drew $150 million on its delayed draw term loan facility before this portion expired on February 28, 2024. The remaining $50 million of the delayed draw term loan is available until February 2025. Interest on borrowings under the 2022 Credit Facility is based on (a) the Alternate Base Rate plus an applicable margin, or (b) the Adjusted Term SOFR plus an applicable margin, and is payable in accordance with the selected interest rate period (at least quarterly) and upon maturity. Principal payments for the term loans are required on a quarterly basis in accordance with an amortization schedule up through and including the Maturity Date. The Company is required to pay a commitment fee on a quarterly basis, at a per annum rate of between 0.20% and 0.45% (depending on the Company’s maximum net lease-adjusted total leverage ratio) based on the (i) average daily unused portion of the revolving credit facility, and (ii) the daily undrawn amount of the delayed draw term loan facility. These fees are recorded as interest expense on the Company’s condensed consolidated statements of operations. The 2022 Credit Facility contains financial covenants that require the Company to not exceed a maximum net lease-adjusted total leverage ratio and maintain a minimum fixed charge coverage ratio. The 2022 Credit Facility also contains certain negative covenants that, among other things, limit the Company’s ability to incur additional debt, grant liens on assets, merge with or acquire other companies, make other investments, dispose of assets, and make restricted payments. Obligations under the 2022 Credit Facility are guaranteed by Dutch Bros OpCo and certain of its subsidiaries, and secured by a first priority perfected security interest in substantially all of the assets of the guarantors. As of September 30, 2024, no amounts were outstanding on the Company’s revolving credit facility, and $347.2 million was available for borrowing, net of $2.8 million in letters of credit, and approximately $237.8 million of principal was outstanding on the term loan facilities. The term loans bear interest at approximately 6.70% as of September 30, 2024, excluding the impact from the Company’s interest rate swap. The Company was in compliance with its financial covenants as of that date. Long-Term Debt The Company’s long-term debt consisted of the following for the periods presented: (in thousands) September 30, 2024 December 31, 2023 Term loans under credit facility $ 237,813 $ 95,625 Finance obligation 1 3,022 3,022 Unsecured note payable 329 415 Total debt 241,164 99,062 Less: loan origination fees (1,057) (1,396) Less: current portion (15,746) (4,491) Total long-term debt, net of current portion $ 224,361 $ 93,175 _______________ 1 Represents failed sale-leaseback arrangements. Future annual maturities of long-term debt as of September 30, 2024 are as follows: (in thousands) Remainder of 2024 $ 3,155 2025 17,311 2026 32,943 2027 184,733 2028 — Thereafter 3,022 Total $ 241,164

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
	Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	NOTE 10 — Derivative Financial Instruments The Company has a receive-variable (Receive Leg), pay-fixed (Pay Leg) interest rate swap with JPMorgan Chase Bank, N.A. As of September 30, 2024, the interest rate swap had a notional amount of approximately $64.8 million and hedges interest rate risk on the term loan under the 2022 Credit Facility. The interest rate swap matures on February 28, 2027, and has a fixed rate of 2.67% per annum for the Pay Leg. The variable rate on the Receive Leg of the interest rate swap is the one-month adjusted term SOFR plus an applicable margin. As of September 30, 2024, the one-month adjusted term SOFR was 4.85%. The Company typically designates all interest rate swaps as cash flow hedges, and accordingly, records the change in fair value for the effective portion of the interest rate swap in AOCI rather than in current period earnings until the underlying hedged transaction affects earnings. As of September 30, 2024, the Company expects to reclassify a gain of approximately $0.8 million from AOCI to earnings within the next twelve months. Designated as a Level 2 instrument within the fair value hierarchy, the fair value and effect of the derivative instrument included in the Company’s consolidated financial statements was as follows: (in thousands) Balance Sheets Classification September 30, December 31, Derivative instrument designated as cash flow hedge: Interest rate swap contract Prepaid expenses and other current assets $ 796 $ 1,371 Interest rate swap contract Other long-term assets 364 837 Total derivative instrument designated as cash flow hedge $ 1,160 $ 2,208 Three Months Ended September 30, Nine Months Ended September 30, (in thousands) Financial Statements Classification 2024 2023 2024 2023 Derivative instrument designated as cash flow hedge: Income (loss) recognized in other comprehensive income before reclassifications Statements of Comprehensive Income $ (1,111) $ 962 $ 673 $ 2,012 Reclassification from accumulated other comprehensive income to earnings for the effective portion Statements of Operations - Interest expense, net (460) (465) (1,393) (1,216) Income tax benefit (expense) Statements of Operations - Income tax expense 247 (112) 183 (137)

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2024
Income Tax Disclosure [Abstract]
Income Taxes	NOTE 11 — Income Taxes Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Income tax expense $ 4,698 $ 1,828 $ 17,330 $ 6,259 Effective tax rate 17.8 % 12.0 % 22.4 % 31.3 %

Equity-Based Compensation

Equity-Based Compensation	9 Months Ended
	Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]
Equity-Based Compensation	NOTE 12 — Equity-Based Compensation Restricted Stock Awards Activity for the Company’s RSAs was as follows: (in thousands, except per share amounts) Restricted Stock Awards Weighted-average grant date fair value per share Balance, December 31, 2023 1,283 $ 23.00 Vested (1,283) 23.00 Balance, September 30, 2024 — $ — Restricted Stock Units Activity for the Company’s RSUs was as follows: (in thousands, except per share amounts) Restricted Stock Units Weighted-average grant date fair value per share Balance, December 31, 2023 648 $ 35.99 New grants 795 31.07 Vested (102) 43.71 Forfeitures (138) 33.27 Balance, September 30, 2024 1,203 $ 32.40 Total release date fair value of vested RSAs and RSUs for the nine months ended September 30, 2024 and 2023 are presented below: (in thousands, except per share amounts) Nine Months Ended September 30, 2024 Weighted-average vest date fair value per share Nine Months Ended September 30, 2023 Weighted-average vest date fair value per share RSAs $ 39,752 $ 30.99 $ 36,451 $ 27.34 RSUs 3,197 31.34 6,039 27.08 Equity-Based Compensation Equity-based compensation expense is recognized on a straight-line basis and is included in the Company’s condensed consolidated statements of operations as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Cost of sales $ 273 $ — $ 637 $ — Selling, general, and administrative expenses 2,688 9,698 7,583 29,017 Total stock-based compensation expense $ 2,961 $ 9,698 $ 8,220 $ 29,017 As of September 30, 2024, total unrecognized stock-based compensation related to unvested RSUs was $25.6 million, which will be recognized as follows: (in thousands) Remainder of 2024 $ 3,538 2025 12,114 2026 8,363 2027 1,609 Total unrecognized stock-based compensation $ 25,624

Non-Controlling Interests

Non-Controlling Interests	9 Months Ended
	Sep. 30, 2024
Noncontrolling Interest [Abstract]
Non-Controlling Interests	NOTE 13 — Non-Controlling Interests Dutch Bros Inc. is the sole managing member of Dutch Bros OpCo, and, as a result, consolidates the financial results of Dutch Bros OpCo. The Company reports a non-controlling interest representing the economic interest in the Dutch Bros OpCo held by the other members of Dutch Bros OpCo. The OpCo LLC Agreement provides that holders of Dutch Bros OpCo Class A common units may, from time to time, require Dutch Bros OpCo to redeem all or a portion of their Dutch Bros OpCo Class A common units for newly issued shares of Class A common stock on a one-for-one basis. In connection with any redemption or exchange, Dutch Bros Inc. will receive a corresponding number of Dutch Bros OpCo Class A common units, increasing Dutch Bros Inc.’s total ownership in Dutch Bros OpCo. Changes in Dutch Bros Inc.’s ownership in Dutch Bros OpCo, while Dutch Bros Inc. retains its controlling interest in Dutch Bros OpCo, will be accounted for as equity transactions. As such, future redemptions or direct exchanges of Dutch Bros OpCo Class A common units by the other members of Dutch Bros OpCo will result in a change in ownership and reduce the amount recorded as non-controlling interest and increase additional paid-in-capital. The following table summarizes the ownership interest in Dutch Bros OpCo: September 30, 2024 (in thousands) OpCo Units Ownership % Dutch Bros OpCo Class A common units held by Dutch Bros Inc. 113,823 64.2 % Dutch Bros OpCo Class A common units held by non-controlling interest holders 63,369 35.8 % Total Dutch Bros OpCo Class A common units outstanding 177,192 100.0 % The following table summarizes the effect of changes in ownership of Dutch Bros OpCo on the Company’s equity for the periods presented: (in thousands) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Net income attributable to Dutch Bros Inc. $ 12,644 $ 4,210 $ 31,646 $ 3,120 Other comprehensive income (loss): Unrealized gain (loss) on derivative securities, effective portion, net of income tax impacts (762) 188 (234) 280 Transfers from (to) non-controlling interests: Increase in additional paid-in capital as a result of equity-based compensation 1,902 3,864 4,866 10,609 Increase (decrease) in additional paid-in capital as a result of common stock issuances pursuant to vesting of equity awards, net of stock withheld for tax (36) — 1,831 (661) Increase (decrease) in additional paid-in capital as a result of the acquisition of Dutch Bros OpCo Class A common units 8 (189,072) 110,093 (187,950) Total effect of changes in ownership interest on equity attributable to Dutch Bros Inc. $ 13,756 $ (180,810) $ 148,202 $ (174,602) The weighted-average ownership percentage for the applicable reporting period is used to attribute net income to Dutch Bros Inc. and the non-controlling interest holders. The non-controlling interest holders’ weighted-average ownership percentage were as follows for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Weighted-average ownership percentage 35.8 % 64.1 % 43.7 % 64.8 % Under the OpCo LLC Agreement, Dutch Bros OpCo is required to make certain distributions to its members with regard to tax obligations. Such distributions paid to members were as follows for the periods presented, and no amounts were payable as of the periods then ended. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Amounts paid to non-controlling interest holders $ 687 $ — $ 687 $ —

Income Per Share

Income Per Share	9 Months Ended
	Sep. 30, 2024
Earnings Per Share [Abstract]
Income Per Share	NOTE 14 — Income Per Share The following tables set forth the numerators and denominators used to compute basic and diluted net income per share of Class A common stock for the periods presented. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Numerator: Net income $ 21,712 $ 13,401 $ 60,083 $ 13,721 Less: Net income attributable to non-controlling interests 9,068 9,191 28,437 10,601 Net income attributable to Dutch Bros Inc. $ 12,644 4,210 $ 31,646 $ 3,120 Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per share amounts) 2024 2023 2024 2023 Basic net income per share attributable to common stockholders Numerator: Net income attributable to Dutch Bros Inc. $ 12,644 $ 4,210 $ 31,646 $ 3,120 Denominator: Weighted-average number of shares of Class A and Class D common stock outstanding - basic ¹ 113,819 59,366 99,756 57,598 Basic net income per share attributable to common stockholders ¹ $ 0.11 $ 0.07 $ 0.32 $ 0.05 _________________ 1 Class D common shares were included in net income per share and weighted-average number of shares calculations in 2023 and periods prior to June 2024. As of June 2024, all Class D common shares were converted to Class A common shares. Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per share amounts) 2024 2023 2024 2023 Diluted net income per share attributable to common stockholders Numerator: Undistributed net income for basic computation $ 12,644 $ 4,210 $ 31,646 $ 3,120 Increase in net income attributable to common stockholders upon conversion of potentially dilutive instruments 22 44 50 — Allocation of undistributed net income $ 12,666 $ 4,254 $ 31,696 $ 3,120 Denominator: Number of shares used in basic computation 113,819 59,366 99,756 57,598 Add: weighted-average effect of dilutive securities RSAs — 848 12 — RSUs 433 — 302 — Weighted-average number of shares of Class A and Class D common stock outstanding used to calculate diluted net income per share ¹ 114,252 60,214 100,070 57,598 Diluted net income per share attributable to common stockholders ¹ $ 0.11 $ 0.07 $ 0.32 $ 0.05 _______________ 1 Class D common shares were included in net income per share and weighted-average number of shares calculations in 2023 and periods prior to June 2024. As of June 2024, all Class D common shares were converted to Class A common shares. The following Class A common stock equivalents were excluded from diluted net income per share in the periods presented because they were anti-dilutive: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 RSAs — — — 1,315 RSUs 160 643 481 643 Total anti-dilutive securities 160 643 481 1,958

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2024
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	NOTE 15 — Commitments and Contingencies Purchase Obligations The Company enters into fixed-price and price-to-be fixed green coffee purchase commitments. For both fixed-price and price-to-be fixed purchase commitments, the Company expects to take delivery of green coffee and to utilize the coffee in a reasonable period of time in the ordinary course of business. Such contracts are used for the normal purchases of green coffee and not for speculative purposes. The Company does not enter into futures contracts or other derivative instruments related to its green coffee purchase commitments. Guarantees The Company periodically provides guarantees to franchise partners for lease payments. Annually, the Company determines if a liability needs to be recorded related to these guarantees. As of September 30, 2024 and December 31, 2023, the Company had guaranteed approximately $1.3 million and $1.4 million, respectively, in franchise partners’ lease payments and has not established a liability for these guarantees as any liability arising from the guarantees is not material to the condensed consolidated financial statements. Legal Proceedings The Company is a party to routine legal actions arising in the ordinary course of and incidental to its business. These claims, legal proceedings, and litigation principally arise from alleged casualty, employment, and other disputes. In determining loss contingencies, the Company considers the likelihood of loss as well as the ability to reasonably estimate the amount of such loss or liability. An estimated loss is recognized when it is considered probable that a liability has been incurred and when the amount of loss can be reasonably estimated. Because litigation is inherently unpredictable, assessing contingencies is highly subjective and requires judgments about future events. When evaluating litigation contingencies, we may be unable to provide a meaningful estimate due to a number of factors, including the procedural status of the matter in question, developments in legislation or regulations that affect the validity of certain claims and defenses, the availability of appellate remedies, insurance coverage related to the claim or claims in question, the presence of complex or novel legal theories, and/or the ongoing discovery and development of information important to the matter. Any claim, proceeding or litigation has an element of uncertainty, and an unfavorable outcome may have a material adverse effect on the Company’s financial condition, results of operations, or cash flows. Litigation Related to Securities Claims On November 3, 2023, plaintiff David Briggs filed a putative stockholder derivative lawsuit in the Delaware Court of Chancery (the Briggs Complaint). The Briggs Complaint named Dutch Bros Inc. as a nominal defendant and purported to bring claims on behalf of Dutch Bros Inc. against certain of Dutch Bros Inc.’s directors and executive officers for alleged breaches of their fiduciary duties in relation to substantially the same factual allegations as the putative class action lawsuit in the U.S. District Court for the Southern District of New York, captioned Douglas Rein, Individually and On Behalf of All Others Similarly Situated v. Dutch Bros, Inc. et al (Rein), which asserted claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended (the Exchange Act), on behalf of a proposed class consisting of those who acquired Dutch Bros Inc.’s securities between November 10, 2021 and May 11, 2022. On June 24, 2024, the court in Rein granted the defendants’ motion to dismiss in its entirety, with prejudice, and the time for the lead plaintiff to file a notice of appeal of the court’s dismissal has elapsed. The Briggs Complaint primarily sought to recover for Dutch Bros Inc. compensatory damages for losses allegedly sustained by Dutch Bros Inc. related to the facts alleged, restitution, and equitable relief in the form of revisions to Dutch Bros Inc.’s governing documents. On July 9, 2024, the parties provided the court notice of the motion to dismiss ruling in Rein. On August 20, 2024, the parties filed, and the court entered, a stipulation and proposed order dismissing the case. Liabilities Under Tax Receivable Agreements Under the TRAs, Dutch Bros Inc. is contractually committed to pay the non-controlling interest holders 85% of the amount of any tax benefits that Dutch Bros Inc. actually realizes, or in some cases is deemed to realize, as a result of certain transactions. As of September 30, 2024, Dutch Bros Inc. recognized $605.0 million of liabilities related to its obligations under the TRAs.

Related Party Transactions

Related Party Transactions	9 Months Ended
	Sep. 30, 2024
Related Party Transactions [Abstract]
Related Party Transactions	NOTE 16 — Related Party Transactions The Company sold its airplane, and hangar and related equipment, to the Co-Founder in June 2024 and July 2024, respectively (collectively, the Aircraft). The results of these transactions are shown in the table below: (in thousands) Three Months Ended September 30, 2024 Nine Months Ended September 30, 2024 Sales price of Aircraft $ 869 $ 9,545 Net book value of Aircraft 319 8,243 Gain on disposal of Aircraft $ 550 $ 1,302 The Company’s donations to the Dutch Bros Foundation, a not-for-profit founded by the Company that provides philanthropy to coffee farmers and local communities and for which our Co-Founder and the Company’s Vice Chair and Chief Legal Officer serve on the board of directors, and for which the Company’s Vice Chair serves as the President, were as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Donations to Dutch Bros Foundation $ 63 $ 63 $ 1,688 $ 189

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2024
Segment Reporting [Abstract]
Segment Reporting	NOTE 17 — Segment Reporting Segment information is prepared on the same basis that the Company’s CEO, who is the CODM, manages the segments, evaluates financial results and makes key operating decisions. The Company’s CEO evaluates the financial performance of the Company based on two operating segments: Company-operated shops and Franchising and other. The Company-operated shops segment includes coffee shop sales to customers. The Franchising and other segment includes bean and product sales to franchise partners and includes the initial franchise fees, royalties, and marketing fees. The CODM reviews segment performance and allocates resources based upon segment contribution, which is defined as segment gross profit before depreciation and amortization. All segment revenue is earned in the United States, and there are no intersegment revenues. The CODM does not evaluate operating segments using discrete asset information, and we do not identify or allocate assets by operating segments. Selling, general and administrative expenses primarily consist of the Company’s unallocated corporate expenses. Unallocated corporate expenses include corporate administrative functions that support the segments but are not directly attributable to or managed by any segment and are not included in the reported financial results of the segments. No changes have been made to the Company’s segments during the three and nine months ended September 30, 2024. In addition, no customer represented 10% or more of total revenue for the three and nine months ended September 30, 2024 and 2023. Financial information for the Company’s reportable segments was as follows for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Revenues: Company-operated shops $ 308,295 $ 236,472 $ 851,648 $ 630,588 Franchising and other 29,917 28,035 86,581 81,065 Total revenues 338,212 264,507 938,229 711,653 Cost of sales: Company-operated shops 239,918 179,480 658,950 492,645 Franchising and other 8,243 9,843 27,098 26,837 Total cost of sales 248,161 189,323 686,048 519,482 Segment contribution: Company-operated shops 90,847 73,324 255,900 182,075 Franchising and other 22,696 19,563 62,877 58,257 Total segment contribution $ 113,543 $ 92,887 $ 318,777 $ 240,332 Depreciation and amortization: Company-operated shops 22,470 16,332 63,202 44,132 Franchising and other 1,022 1,371 3,394 4,029 Total segment depreciation and amortization 23,492 17,703 66,596 48,161 All other ¹ 389 413 888 1,250 Total depreciation and amortization 23,881 18,116 67,484 49,411 Selling, general and administrative (57,536) (50,490) (161,866) (148,128) Interest expense, net (6,869) (9,325) (20,259) (26,269) Other income (expense), net 764 (140) 7,357 2,206 Income before income taxes $ 26,410 $ 15,229 $ 77,413 $ 19,980 __________________ 1 All other depreciation and amortization is i

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Pay vs Performance Disclosure
Undistributed net income for basic computation	$ 12,644	$ 4,210	$ 31,646	$ 3,120

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2024
Trading Arrangements, by Individual
Rule 10b5-1 Arrangement Adopted	false
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false

Basis of Presentation and Sum_2

Basis of Presentation and Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Financial Statements Presentation	Financial Statements Presentation The Company’s condensed consolidated financial statements as of September 30, 2024 and for the three and nine months ended September 30, 2024 and 2023 have been prepared in accordance with GAAP and pursuant to the rules and regulations of the SEC, consistent in all material respects with those applied in the Company’s 2023 Form 10-K and as updated by this Form 10-Q.
Use of Estimates	The Company has made estimates and judgments affecting the amounts reported in its condensed consolidated financial statements and the accompanying notes. Although management bases its estimates on historical experience and assumptions that are believed to be reasonable under the circumstances, actual results could differ from those estimates. This report should be read in conjunction with the consolidated financial statements in the Company’s 2023 Form 10-K that includes additional information on accounting estimates, policies, and the methods and assumptions used in its estimates.
Recently Issued Accounting Standards	Recently Issued Accounting Standards In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. The amendments in this update are intended to enhance the transparency and decision usefulness of income tax disclosures, primarily through improvements to the rate reconciliation and income taxes paid information, specifically requiring (1) consistent categories and greater disaggregation of information in the rate reconciliation, and (2) income taxes paid disaggregation by jurisdiction. These amendments are effective for public business entities' annual periods beginning after December 15, 2024 and interim periods within fiscal years beginning after December 15, 2025, and should be applied on a prospective basis. Early adoption is permitted for annual financial statements that have not yet been issued. The Company is currently assessing the potential impacts of this standard on its income tax disclosures, and expects to provide additional detail and disclosures under the new guidance. In November 2023, the FASB issued ASU No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures.

Revenue Recognition (Tables)

Revenue Recognition (Tables)	9 Months Ended
	Sep. 30, 2024
Revenue from Contract with Customer [Abstract]
Schedule of Disaggregates Revenue by Major Component	The following table disaggregates revenue by major component: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Company-operated shops $ 308,295 $ 236,472 $ 851,648 $ 630,588 Franchising 28,694 26,691 82,545 76,860 Other 1,223 1,344 4,036 4,205 Total revenues $ 338,212 $ 264,507 $ 938,229 $ 711,653
Schedule of Deferred Revenue Activity	Deferred Revenue Deferred revenue activity related to the Company’s gift card and loyalty programs was as follows: Nine Months Ended September 30, (in thousands) 2024 2023 Beginning balance $ 34,616 $ 26,904 Revenue deferred - gift card activations, loyalty app loads, and loyalty points and rewards earned 312,963 255,782 Revenue recognized - gift card, loyalty app, loyalty rewards redemptions, and breakage (308,012) (257,144) Ending balance 39,567 25,542 Less: current portion (35,316) (21,999) Deferred revenue, net of current portion, gift card and loyalty programs $ 4,251 $ 3,543 (in thousands) September 30, 2024 December 31, 2023 Total deferred revenue, excluding gift card and loyalty programs $ 2,538 $ 2,409 Less: current portion (422) (412) Deferred revenue, net of current portion, excluding gift card and loyalty programs $ 2,116 $ 1,997 Revenue recognized during the three and nine months ended September 30, 2024 and 2023 that was included in the respective deferred revenue liability balances at the beginning of the period are shown below. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Gift card redemptions 1 $ 637 $ 553 $ 5,737 $ 4,742 Earned franchise fees 112 114 336 342 _____________________ 1 Amounts exclude cash loads and transactions related to the Company’s loyalty rewards program.
Schedule of Unearned Franchise Fees	Future recognition of initial unearned franchise fees as of September 30, 2024 is as follows: (in thousands) Remainder of 2024 $ 111 2025 409 2026 367 2027 322 2028 273 Thereafter 1,056 Total $ 2,538

Organization Realignment and _2

Organization Realignment and Restructuring (Tables)	9 Months Ended
	Sep. 30, 2024
Restructuring and Related Activities [Abstract]
Schedule of Restructuring Related Charges	During the three and nine months ended September 30, 2024, the Company recorded restructuring charges for employee-related and other costs in selling, general and administrative expenses on the condensed consolidated statements of operations as follows: (in thousands) Three Months Ended September 30, 2024 Nine Months Ended September 30, 2024 Relocation and travel costs $ 2,217 $ 9,710 One-time termination benefits 1,781 3,577 Total employee-related costs 3,998 13,287 Duplicate rent 193 223 Total other costs 193 223 Total restructuring costs incurred $ 4,191 $ 13,510
Schedule of Restructuring Liability	The following table summarizes the activity for the restructuring liability during the nine months ended September 30, 2024: (in thousands) Liability, December 31, 2023 Charges Cash Payments Liability, September 30, 2024 Relocation and travel costs $ — $ 9,710 $ (8,866) $ 844 One-time termination benefits — 3,577 (719) 2,858 Total employee-related costs — 13,287 (9,585) 3,702 Duplicate rent — 223 (221) 2 Total other costs — 223 (221) 2 Totals $ — $ 13,510 $ (9,806) $ 3,704

Inventories (Tables)

Inventories (Tables)	9 Months Ended
	Sep. 30, 2024
Inventory Disclosure [Abstract]
Schedule of Inventories, Net	Inventories, net consist of the following: (in thousands) September 30, 2024 December 31, 2023 Raw materials $ 19,965 $ 28,523 Finished goods 18,416 18,430 Total inventories $ 38,381 $ 46,953

Property and Equipment (Tables)

Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2024
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment, Net	Property and equipment, net consists of the following: (in thousands) Useful Life (Years) September 30, 2024 December 31, 2023 Software 3 $ 10,252 $ 7,212 Equipment and fixtures 3 — 7 199,155 157,352 Leasehold improvements 5 — 15 51,308 42,441 Buildings 10 — 20 386,500 269,186 Land N/A 7,781 7,338 Aircraft 1 N/A — 9,195 Construction-in-progress 2 N/A 167,962 166,054 Property and equipment, gross 822,958 658,778 Less: accumulated depreciation (160,199) (116,338) Property and equipment, net $ 662,759 $ 542,440 _______________ 1 Airplane, and hangar and related equipment, were sold to the Company’s Co-Founder in June 2024 and July 2024, respectively. See NOTE 16 — Related Party Transactions for additional information. 2 Construction-in-progress primarily consists of construction and equipment costs for new and existing shops, as well as our new roasting facility in Texas. Depreciation expense included in the Company’s condensed consolidated statements of operations was as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Cost of sales $ 16,556 $ 11,157 $ 45,579 $ 30,403 Selling, general and administrative expenses 373 408 841 1,235 Total depreciation expense $ 16,929 $ 11,565 $ 46,420 $ 31,638

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Intangible Assets	The details of the intangible assets are as follows: (in thousands) Weighted-average amortization period (in years) September 30, 2024 December 31, 2023 Reacquired franchise rights 2.97 $ 27,049 $ 27,049 Less: accumulated amortization (23,594) (21,634) Intangibles, net $ 3,455 $ 5,415
Schedule of Intangible Assets Amortization Expense / Estimated Future Amortization Expense	Amortization expense included in the Company’s condensed consolidated statements of operations was as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Cost of sales $ 508 $ 820 $ 1,960 $ 2,589

Leases (Tables)

Leases (Tables)	9 Months Ended
	Sep. 30, 2024
Leases [Abstract]
Schedule of Finance and Operation Lease Right-of-Use Assets and Lease Liabilities / Lease Terms and Discount Rates for Finance and Operating Leases	A summary of finance and operating lease right-of-use assets and lease liabilities as of September 30, 2024 and December 31, 2023 is as follows: (in thousands) Balance Sheet Classification September 30, December 31, Right-of-use assets Finance leases Finance lease right-of-use assets, net $ 377,561 $ 382,734 Operating leases Operating lease right-of-use assets, net 301,896 199,673 Total right-of-use assets $ 679,457 $ 582,407 Lease liabilities Finance leases Current portion of finance lease liabilities $ 12,845 $ 9,482 Finance lease liabilities, net of current portion 369,206 367,775 Operating leases Current portion of operating lease liabilities 12,987 10,239 Operating lease liabilities, net of current portion 293,474 191,419 Total lease liabilities $ 688,512 $ 578,915
Schedule of Components of Lease Cost	The components of lease costs were as follows for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) Statements of Operations Classification 2024 2023 2024 2023 Finance lease costs Amortization of right-of-use assets Cost of sales $ 6,429 $ 5,726 $ 19,059 $ 15,169 Amortization of right-of-use assets Selling, general, and administrative 15 5 45 15 Interest on lease liabilities Interest expense 5,541 4,755 16,499 12,344 Total finance lease costs 11,985 10,486 35,603 27,528 Operating lease costs Lease expenses Cost of sales 7,656 4,887 20,568 14,061 Lease expenses Selling, general, and administrative 680 12 959 36 Total operating lease costs 8,336 4,899 21,527 14,097 Variable lease costs Cost of sales 1,747 990 4,871 3,434 Total lease costs $ 22,068 $ 16,375 $ 62,001 $ 45,059
Schedule of Supplemental Cash Flow Information Regarding Leases	Supplemental cash flow information related to leases is as follows for the periods presented: Nine Months Ended September 30, (in thousands) 2024 2023 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from finance leases $ 16,499 $ 12,344 Operating cash flows from operating leases 17,086 13,378 Financing cash flows from finance leases 7,726 10,556 Right-of-use assets obtained in exchange for lease obligations: Finance leases 12,520 122,990 Operating leases 112,579 28,626

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2024
Debt Disclosure [Abstract]
Schedule of Debt Instruments	The Company’s long-term debt consisted of the following for the periods presented: (in thousands) September 30, 2024 December 31, 2023 Term loans under credit facility $ 237,813 $ 95,625 Finance obligation 1 3,022 3,022 Unsecured note payable 329 415 Total debt 241,164 99,062 Less: loan origination fees (1,057) (1,396) Less: current portion (15,746) (4,491) Total long-term debt, net of current portion $ 224,361 $ 93,175 _______________ 1
Schedule of Maturities of Long-Term Debt	Future annual maturities of long-term debt as of September 30, 2024 are as follows: (in thousands) Remainder of 2024 $ 3,155 2025 17,311 2026 32,943 2027 184,733 2028 — Thereafter 3,022 Total $ 241,164

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of Fair Value Derivative Instruments Included in Condensed Consolidated Balance Sheets	Designated as a Level 2 instrument within the fair value hierarchy, the fair value and effect of the derivative instrument included in the Company’s consolidated financial statements was as follows: (in thousands) Balance Sheets Classification September 30, December 31, Derivative instrument designated as cash flow hedge: Interest rate swap contract Prepaid expenses and other current assets $ 796 $ 1,371 Interest rate swap contract Other long-term assets 364 837 Total derivative instrument designated as cash flow hedge $ 1,160 $ 2,208
Schedule of Derivatives Instruments Effect on Condensed Consolidated Statement of Operations	Three Months Ended September 30, Nine Months Ended September 30, (in thousands) Financial Statements Classification 2024 2023 2024 2023 Derivative instrument designated as cash flow hedge: Income (loss) recognized in other comprehensive income before reclassifications Statements of Comprehensive Income $ (1,111) $ 962 $ 673 $ 2,012 Reclassification from accumulated other comprehensive income to earnings for the effective portion Statements of Operations - Interest expense, net (460) (465) (1,393) (1,216) Income tax benefit (expense) Statements of Operations - Income tax expense 247 (112) 183 (137)

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2024
Income Tax Disclosure [Abstract]
Schedule of Income Tax Expense (Benefit)	Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Income tax expense $ 4,698 $ 1,828 $ 17,330 $ 6,259 Effective tax rate 17.8 % 12.0 % 22.4 % 31.3 %

Equity-Based Compensation (Tabl

Equity-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2024
Share-Based Payment Arrangement [Abstract]
Schedule of Activity of Company's Restricted Stock	Activity for the Company’s RSAs was as follows: (in thousands, except per share amounts) Restricted Stock Awards Weighted-average grant date fair value per share Balance, December 31, 2023 1,283 $ 23.00 Vested (1,283) 23.00 Balance, September 30, 2024 — $ —
Schedule of Activity of Company's Restricted Stock Units	Activity for the Company’s RSUs was as follows: (in thousands, except per share amounts) Restricted Stock Units Weighted-average grant date fair value per share Balance, December 31, 2023 648 $ 35.99 New grants 795 31.07 Vested (102) 43.71 Forfeitures (138) 33.27 Balance, September 30, 2024 1,203 $ 32.40 Total release date fair value of vested RSAs and RSUs for the nine months ended September 30, 2024 and 2023 are presented below: (in thousands, except per share amounts) Nine Months Ended September 30, 2024 Weighted-average vest date fair value per share Nine Months Ended September 30, 2023 Weighted-average vest date fair value per share RSAs $ 39,752 $ 30.99 $ 36,451 $ 27.34 RSUs 3,197 31.34 6,039 27.08
Schedule of Equity-Based Compensation	Equity-based compensation expense is recognized on a straight-line basis and is included in the Company’s condensed consolidated statements of operations as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Cost of sales $ 273 $ — $ 637 $ — Selling, general, and administrative expenses 2,688 9,698 7,583 29,017 Total stock-based compensation expense $ 2,961 $ 9,698 $ 8,220 $ 29,017
Schedule of Total Unrecognized Stock Based Compensation Related to Unvested Stock Awards	As of September 30, 2024, total unrecognized stock-based compensation related to unvested RSUs was $25.6 million, which will be recognized as follows: (in thousands) Remainder of 2024 $ 3,538 2025 12,114 2026 8,363 2027 1,609 Total unrecognized stock-based compensation $ 25,624

Non-Controlling Interests (Tabl

Non-Controlling Interests (Tables)	9 Months Ended
	Sep. 30, 2024
Noncontrolling Interest [Abstract]
Schedule of Ownership Interest	The following table summarizes the ownership interest in Dutch Bros OpCo: September 30, 2024 (in thousands) OpCo Units Ownership % Dutch Bros OpCo Class A common units held by Dutch Bros Inc. 113,823 64.2 % Dutch Bros OpCo Class A common units held by non-controlling interest holders 63,369 35.8 % Total Dutch Bros OpCo Class A common units outstanding 177,192 100.0 %
Schedule of Changes in Ownership	The following table summarizes the effect of changes in ownership of Dutch Bros OpCo on the Company’s equity for the periods presented: (in thousands) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Net income attributable to Dutch Bros Inc. $ 12,644 $ 4,210 $ 31,646 $ 3,120 Other comprehensive income (loss): Unrealized gain (loss) on derivative securities, effective portion, net of income tax impacts (762) 188 (234) 280 Transfers from (to) non-controlling interests: Increase in additional paid-in capital as a result of equity-based compensation 1,902 3,864 4,866 10,609 Increase (decrease) in additional paid-in capital as a result of common stock issuances pursuant to vesting of equity awards, net of stock withheld for tax (36) — 1,831 (661) Increase (decrease) in additional paid-in capital as a result of the acquisition of Dutch Bros OpCo Class A common units 8 (189,072) 110,093 (187,950) Total effect of changes in ownership interest on equity attributable to Dutch Bros Inc. $ 13,756 $ (180,810) $ 148,202 $ (174,602)
Schedule of Non-Controlling Interest Holders' Weighted-Average Ownership Percentage	The non-controlling interest holders’ weighted-average ownership percentage were as follows for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Weighted-average ownership percentage 35.8 % 64.1 % 43.7 % 64.8 %
Payments to Noncontrolling Interests	Such distributions paid to members were as follows for the periods presented, and no amounts were payable as of the periods then ended. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Amounts paid to non-controlling interest holders $ 687 $ — $ 687 $ —

Income Per Share (Tables)

Income Per Share (Tables)	9 Months Ended
	Sep. 30, 2024
Earnings Per Share [Abstract]
Schedule of Basic and Diluted Net Income (Loss) Per Share	The following tables set forth the numerators and denominators used to compute basic and diluted net income per share of Class A common stock for the periods presented. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Numerator: Net income $ 21,712 $ 13,401 $ 60,083 $ 13,721 Less: Net income attributable to non-controlling interests 9,068 9,191 28,437 10,601 Net income attributable to Dutch Bros Inc. $ 12,644 4,210 $ 31,646 $ 3,120 Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per share amounts) 2024 2023 2024 2023 Basic net income per share attributable to common stockholders Numerator: Net income attributable to Dutch Bros Inc. $ 12,644 $ 4,210 $ 31,646 $ 3,120 Denominator: Weighted-average number of shares of Class A and Class D common stock outstanding - basic ¹ 113,819 59,366 99,756 57,598 Basic net income per share attributable to common stockholders ¹ $ 0.11 $ 0.07 $ 0.32 $ 0.05 _________________ 1 Class D common shares were included in net income per share and weighted-average number of shares calculations in 2023 and periods prior to June 2024. As of June 2024, all Class D common shares were converted to Class A common shares. Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per share amounts) 2024 2023 2024 2023 Diluted net income per share attributable to common stockholders Numerator: Undistributed net income for basic computation $ 12,644 $ 4,210 $ 31,646 $ 3,120 Increase in net income attributable to common stockholders upon conversion of potentially dilutive instruments 22 44 50 — Allocation of undistributed net income $ 12,666 $ 4,254 $ 31,696 $ 3,120 Denominator: Number of shares used in basic computation 113,819 59,366 99,756 57,598 Add: weighted-average effect of dilutive securities RSAs — 848 12 — RSUs 433 — 302 — Weighted-average number of shares of Class A and Class D common stock outstanding used to calculate diluted net income per share ¹ 114,252 60,214 100,070 57,598 Diluted net income per share attributable to common stockholders ¹ $ 0.11 $ 0.07 $ 0.32 $ 0.05 _______________ 1 Class D common shares were included in net income per share and weighted-average number of shares calculations in 2023 and periods prior to June 2024. As of June 2024, all Class D common shares were converted to Class A common shares.
Schedule of Common Stock Equivalents were Excluded from Diluted Net Income (loss) Per Share	The following Class A common stock equivalents were excluded from diluted net income per share in the periods presented because they were anti-dilutive: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 RSAs — — — 1,315 RSUs 160 643 481 643 Total anti-dilutive securities 160 643 481 1,958

Related Party Transactions (Tab

Related Party Transactions (Tables)	9 Months Ended
	Sep. 30, 2024
Related Party Transactions [Abstract]
Schedule of Related Party Transactions	(in thousands) Three Months Ended September 30, 2024 Nine Months Ended September 30, 2024 Sales price of Aircraft $ 869 $ 9,545 Net book value of Aircraft 319 8,243 Gain on disposal of Aircraft $ 550 $ 1,302 The Company’s donations to the Dutch Bros Foundation, a not-for-profit founded by the Company that provides philanthropy to coffee farmers and local communities and for which our Co-Founder and the Company’s Vice Chair and Chief Legal Officer serve on the board of directors, and for which the Company’s Vice Chair serves as the President, were as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Donations to Dutch Bros Foundation $ 63 $ 63 $ 1,688 $ 189

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2024
Segment Reporting [Abstract]
Schedule of Financial Information for Reportable Segments	Financial information for the Company’s reportable segments was as follows for the periods presented: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2024 2023 2024 2023 Revenues: Company-operated shops $ 308,295 $ 236,472 $ 851,648 $ 630,588 Franchising and other 29,917 28,035 86,581 81,065 Total revenues 338,212 264,507 938,229 711,653 Cost of sales: Company-operated shops 239,918 179,480 658,950 492,645 Franchising and other 8,243 9,843 27,098 26,837 Total cost of sales 248,161 189,323 686,048 519,482 Segment contribution: Company-operated shops 90,847 73,324 255,900 182,075 Franchising and other 22,696 19,563 62,877 58,257 Total segment contribution $ 113,543 $ 92,887 $ 318,777 $ 240,332 Depreciation and amortization: Company-operated shops 22,470 16,332 63,202 44,132 Franchising and other 1,022 1,371 3,394 4,029 Total segment depreciation and amortization 23,492 17,703 66,596 48,161 All other ¹ 389 413 888 1,250 Total depreciation and amortization 23,881 18,116 67,484 49,411 Selling, general and administrative (57,536) (50,490) (161,866) (148,128) Interest expense, net (6,869) (9,325) (20,259) (26,269) Other income (expense), net 764 (140) 7,357 2,206 Income before income taxes $ 26,410 $ 15,229 $ 77,413 $ 19,980 __________________ 1 All other depreciation and amortization is i

Organization and Background (De

Organization and Background (Details)	Sep. 30, 2024 state store
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of stores	950
Number of states in which entity operates | state	18
Percentage of voting interest held	100%
Class A common units held by Dutch Bros Inc.
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Percentage of class A common units held by Dutch Bros.	64.20%
Continuing LLC Equity Owners
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Voting interest held by noncontrolling interest	0%
Dutch Bros OpCo Class A common units held by non-controlling interest holders
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Dutch Bros OpCo Class A common units held by non-controlling interest holders	35.80%
Company-operated shops
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of stores	645
Franchising
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Number of stores	305

Revenue Recognition - Schedule

Revenue Recognition - Schedule of Disaggregates Revenue by Major Component (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Disaggregation of Revenue [Line Items]
Total revenues	$ 338,212	$ 264,507	$ 938,229	$ 711,653
Company-operated shops
Disaggregation of Revenue [Line Items]
Total revenues	308,295	236,472	851,648	630,588
Franchising
Disaggregation of Revenue [Line Items]
Total revenues	28,694	26,691	82,545	76,860
Other
Disaggregation of Revenue [Line Items]
Total revenues	$ 1,223	$ 1,344	$ 4,036	$ 4,205

Revenue Recognition - Schedul_2

Revenue Recognition - Schedule of Deferred Revenue Activity Related to the Company’s Gift Card and Loyalty Programs (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Change In Contract With Customer, Liability [Roll Forward]
Less: current portion	$ (35,738)		$ (30,349)
Deferred revenue, net of current portion, gift card and loyalty programs	6,367		$ 6,676
Card, reward redemptions and breakage
Change In Contract With Customer, Liability [Roll Forward]
Beginning balance	34,616	$ 26,904
Revenue deferred - gift card activations, loyalty app loads, and loyalty points and rewards earned	312,963	255,782
Revenue recognized - gift card, loyalty app, loyalty rewards redemptions, and breakage	(308,012)	(257,144)
Ending balance	39,567	25,542
Less: current portion	(35,316)	(21,999)
Deferred revenue, net of current portion, gift card and loyalty programs	$ 4,251	$ 3,543

Revenue Recognition - Schedul_3

Revenue Recognition - Schedule of Deferred Revenue (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Disaggregation of Revenue [Line Items]
Less: current portion	$ (35,738)	$ (30,349)
Deferred revenue, net of current portion, excluding gift card and loyalty programs	6,367	6,676
Customer advances and sales to distributors and franchise fee
Disaggregation of Revenue [Line Items]
Total deferred revenue, excluding gift card and loyalty programs	2,538	2,409
Less: current portion	(422)	(412)
Deferred revenue, net of current portion, excluding gift card and loyalty programs	$ 2,116	$ 1,997

Revenue Recognition - Schedul_4

Revenue Recognition - Schedule of Deferred Revenue Liability (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Gift card redemptions
Disaggregation of Revenue [Line Items]
Deferred revenue recognized	$ 637	$ 553	$ 5,737	$ 4,742
Earned franchise fees
Disaggregation of Revenue [Line Items]
Deferred revenue recognized	$ 112	$ 114	$ 336	$ 342

Revenue Recognition - Schedul_5

Revenue Recognition - Schedule of Future Recognition of Unearned Franchise Fees (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Unearned franchise fees, future recognition	$ 2,538
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-10-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, expected timing of satisfaction, period	3 months
Unearned franchise fees, future recognition	$ 111
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Unearned franchise fees, future recognition	$ 409
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Unearned franchise fees, future recognition	$ 367
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Unearned franchise fees, future recognition	$ 322
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2028-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, expected timing of satisfaction, period	1 year
Unearned franchise fees, future recognition	$ 273
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2029-01-01
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items]
Revenue, remaining performance obligation, expected timing of satisfaction, period
Unearned franchise fees, future recognition	$ 1,056

Organization Realignment and _3

Organization Realignment and Restructuring - Narrative (Details) - Organization Realignment and Restructuring $ in Millions	Jan. 29, 2024 USD ($)
Restructuring Cost and Reserve [Line Items]
Percentage of support center staff to be relocated	40%
Total other costs
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected cost	$ 4
Minimum
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected cost	18
Minimum | Total employee-related costs
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected cost	14
Maximum
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected cost	22
Maximum | Total employee-related costs
Restructuring Cost and Reserve [Line Items]
Restructuring and related cost, expected cost	$ 18

Organization Realignment and _4

Organization Realignment and Restructuring - Schedule of Restructuring Related Charges (Details) - Organization Realignment and Restructuring - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024
Restructuring Cost and Reserve [Line Items]
Total other costs	$ 193	$ 223
Total restructuring costs incurred	4,191	13,510
Relocation and travel costs
Restructuring Cost and Reserve [Line Items]
Total employee-related costs	2,217	9,710
Total restructuring costs incurred		9,710
One-time termination benefits
Restructuring Cost and Reserve [Line Items]
Total employee-related costs	1,781	3,577
Total restructuring costs incurred		3,577
Total employee-related costs
Restructuring Cost and Reserve [Line Items]
Total employee-related costs	3,998	13,287
Total restructuring costs incurred		13,287
Duplicate rent
Restructuring Cost and Reserve [Line Items]
Total other costs	$ 193	223
Total restructuring costs incurred		$ 223

Organization Realignment and _5

Organization Realignment and Restructuring -Schedule of Restructuring Liability (Details) - Organization Realignment and Restructuring - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024
Restructuring Reserve [Roll Forward]
Beginning balance		$ 0
Charges	$ 4,191	13,510
Cash Payments		(9,806)
Ending balance	3,704	3,704
Relocation and travel costs
Restructuring Reserve [Roll Forward]
Beginning balance		0
Charges		9,710
Cash Payments		(8,866)
Ending balance	844	844
One-time termination benefits
Restructuring Reserve [Roll Forward]
Beginning balance		0
Charges		3,577
Cash Payments		(719)
Ending balance	2,858	2,858
Total employee-related costs
Restructuring Reserve [Roll Forward]
Beginning balance		0
Charges		13,287
Cash Payments		(9,585)
Ending balance	3,702	3,702
Duplicate rent
Restructuring Reserve [Roll Forward]
Beginning balance		0
Charges		223
Cash Payments		(221)
Ending balance	2	2
Total other costs
Restructuring Reserve [Roll Forward]
Beginning balance		0
Charges		223
Cash Payments		(221)
Ending balance	$ 2	$ 2

Inventories -Schedule of Invent

Inventories -Schedule of Inventories, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Inventory Disclosure [Abstract]
Raw materials	$ 19,965	$ 28,523
Finished goods	18,416	18,430
Total inventories	$ 38,381	$ 46,953

Property and Equipment - Schedu

Property and Equipment - Schedule of Property and Equipment, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 822,958	$ 658,778
Less: accumulated depreciation	(160,199)	(116,338)
Property and equipment, net	$ 662,759	542,440
Software
Property, Plant and Equipment [Line Items]
Useful Life (Years)	3 years
Property and equipment, gross	$ 10,252	7,212
Equipment and fixtures
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 199,155	157,352
Equipment and fixtures | Minimum
Property, Plant and Equipment [Line Items]
Useful Life (Years)	3 years
Equipment and fixtures | Maximum
Property, Plant and Equipment [Line Items]
Useful Life (Years)	7 years
Leasehold improvements
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 51,308	42,441
Leasehold improvements | Minimum
Property, Plant and Equipment [Line Items]
Useful Life (Years)	5 years
Leasehold improvements | Maximum
Property, Plant and Equipment [Line Items]
Useful Life (Years)	15 years
Buildings
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 386,500	269,186
Buildings | Minimum
Property, Plant and Equipment [Line Items]
Useful Life (Years)	10 years
Buildings | Maximum
Property, Plant and Equipment [Line Items]
Useful Life (Years)	20 years
Land
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 7,781	7,338
Aircraft
Property, Plant and Equipment [Line Items]
Property and equipment, gross	0	9,195
Construction-in-progress
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 167,962	$ 166,054

Property and Equipment - Sche_2

Property and Equipment - Schedule of Property and Equipment Depreciation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Property, Plant and Equipment [Line Items]
Total depreciation expense	$ 16,929	$ 11,565	$ 46,420	$ 31,638
Cost of sales
Property, Plant and Equipment [Line Items]
Total depreciation expense	16,556	11,157	45,579	30,403
Selling, general and administrative expenses
Property, Plant and Equipment [Line Items]
Total depreciation expense	$ 373	$ 408	$ 841	$ 1,235

Intangible Assets - Schedule of

Intangible Assets - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Acquired Finite-Lived Intangible Assets [Line Items]
Less: accumulated amortization	$ (23,594)	$ (21,634)
Intangibles, net	$ 3,455	5,415
Franchise rights
Acquired Finite-Lived Intangible Assets [Line Items]
Weighted-average amortization period (in years)	2 years 11 months 19 days
Reacquired franchise rights	$ 27,049	$ 27,049

Intangible Assets - Schedule _2

Intangible Assets - Schedule of Intangible Assets Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Cost of sales
Finite-Lived Intangible Assets [Line Items]
Cost of sales	$ 508	$ 820	$ 1,960	$ 2,589

Leases - Schedule of Finance an

Leases - Schedule of Finance and Operating Lease Right-of-Use Assets and Lease Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Assets [Abstract]
Finance lease right-of-use assets, net	$ 377,561	$ 382,734
Operating lease right-of-use assets, net	301,896	199,673
Total right-of-use assets	679,457	582,407
Lessee, Finance Lease, Description [Abstract]
Current portion of finance lease liabilities	12,845	9,482
Finance lease liabilities, net of current portion	369,206	367,775
Lessee, Operating Lease, Description [Abstract]
Current portion of operating lease liabilities	12,987	10,239
Operating lease liabilities, net of current portion	293,474	191,419
Total lease liabilities	$ 688,512	$ 578,915

Leases - Schedule of Components

Leases - Schedule of Components of Lease Cost (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Finance lease costs
Interest on lease liabilities	$ 5,541	$ 4,755	$ 16,499	$ 12,344
Total finance lease costs	11,985	10,486	35,603	27,528
Operating lease costs
Total operating lease costs	8,336	4,899	21,527	14,097
Variable lease costs	1,747	990	4,871	3,434
Total lease costs	22,068	16,375	62,001	45,059
Cost of sales
Finance lease costs
Amortization of right-of-use assets	6,429	5,726	19,059	15,169
Operating lease costs
Total operating lease costs	7,656	4,887	20,568	14,061
Selling, general and administrative expenses
Finance lease costs
Amortization of right-of-use assets	15	5	45	15
Operating lease costs
Total operating lease costs	$ 680	$ 12	$ 959	$ 36

Leases - Schedule of Supplement

Leases - Schedule of Supplemental Cash Flow Information Regarding Leases (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows from finance leases	$ 16,499	$ 12,344
Operating cash flows from operating leases	17,086	13,378
Financing cash flows from finance leases	7,726	10,556
Right-of-use assets obtained in exchange for lease obligations:
Finance leases	12,520	122,990
Operating leases	$ 112,579	$ 28,626

Debt - Narrative (Details)

Debt - Narrative (Details) - USD ($)			9 Months Ended
	Feb. 20, 2024	Aug. 04, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Aug. 03, 2023
Line of Credit Facility [Line Items]
Proceeds from line of credit			$ 0	$ 90,000,000
Total debt			241,164,000
The 2022 Credit Facility | Secured Debt
Line of Credit Facility [Line Items]
Increase in borrowing capacity		$ 150,000,000
Borrowing capacity		650,000,000
Total debt			237,800,000
Term loan under credit facility			237,813,000		$ 95,625,000
The 2022 Credit Facility | Secured Debt | Term Loan Facility
Line of Credit Facility [Line Items]
Borrowing capacity		100,000,000
The 2022 Credit Facility | Line of Credit | Revolving Credit Facility
Line of Credit Facility [Line Items]
Borrowing capacity		$ 350,000,000
Remaining borrowing capacity			347,200,000
Total debt			$ 0
Interest rate on term loan			6.70%
The 2022 Credit Facility | Line of Credit | Revolving Credit Facility | Minimum
Line of Credit Facility [Line Items]
Commitment fee percentage		0.20%
The 2022 Credit Facility | Line of Credit | Revolving Credit Facility | Maximum
Line of Credit Facility [Line Items]
Commitment fee percentage		0.45%
The 2022 Credit Facility | Line of Credit | Delayed Draw Term Loan Facility
Line of Credit Facility [Line Items]
Borrowing capacity		$ 200,000,000
Proceeds from line of credit	$ 150,000,000
Remaining borrowing capacity	$ 50,000,000
The 2022 Credit Facility | Line of Credit | Letter of Credit
Line of Credit Facility [Line Items]
Borrowing capacity						$ 50,000,000
Term loan under credit facility			$ 2,800,000
The 2022 Credit Facility | Line of Credit | Bridge Loan
Line of Credit Facility [Line Items]
Borrowing capacity						$ 15,000,000

Debt - Schedule of Debt Instrum

Debt - Schedule of Debt Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Line of Credit Facility [Line Items]
Finance obligation	$ 3,022	$ 3,022
Total debt	241,164	99,062
Less: loan origination fees	(1,057)	(1,396)
Less: current portion	(15,746)	(4,491)
Total long-term debt, net of current portion	224,361	93,175
Secured Debt | The 2022 Credit Facility
Line of Credit Facility [Line Items]
Term loans under credit facility	237,813	95,625
Unsecured Debt
Line of Credit Facility [Line Items]
Unsecured note payable	$ 329	$ 415

Debt - Schedule of Maturities o

Debt - Schedule of Maturities of Long-Term Debt (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Debt Disclosure [Abstract]
Remainder of 2024	$ 3,155
2025	17,311
2026	32,943
2027	184,733
2028	0
Thereafter	3,022
Total debt	$ 241,164

Derivative Financial Instrume_3

Derivative Financial Instruments - Narrative (Details) - Designated as Hedging Instrument - Cash Flow Hedging - Interest rate swap contract $ in Millions	9 Months Ended
	Sep. 30, 2024 USD ($)
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Interest rate swap outstanding	$ 64.8
Fixed interest rate	2.67%
Variable interest rate	4.85%
Expected reclassification of gain within the next twelve months	$ 0.8

Derivative Financial Instrume_4

Derivative Financial Instruments - Schedule of Fair Value Derivative Instruments Included in Condensed Consolidated Balance Sheets (Details) - Designated as Hedging Instrument - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Total derivative instrument designated as cash flow hedge	$ 1,160	$ 2,208
Interest rate swap contract
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Prepaid expenses and other current assets	796	1,371
Other long-term assets	$ 364	$ 837

Derivative Financial Instrume_5

Derivative Financial Instruments - Schedule of Derivatives Instruments Effect on Condensed Consolidated Statement of Operations (Details) - Interest rate swap contract - Designated as Hedging Instrument - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Derivative Instruments, Gain (Loss) [Line Items]
Income (loss) recognized in other comprehensive income before reclassifications	$ (1,111)	$ 962	$ 673	$ 2,012
Interest Expense
Derivative Instruments, Gain (Loss) [Line Items]
Reclassification from accumulated other comprehensive income to earnings for the effective portion	(460)	(465)	(1,393)	(1,216)
Income Tax Expense
Derivative Instruments, Gain (Loss) [Line Items]
Income tax benefit (expense)	$ 247	$ (112)	$ 183	$ (137)

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Income Tax Disclosure [Abstract]
Income tax expense	$ 4,698	$ 1,828	$ 17,330	$ 6,259
Effective tax rate	17.80%	12%	22.40%	31.30%

Equity-Based Compensation - Sch

Equity-Based Compensation - Schedule of Activity of Company's Restricted Stock and Restricted Stock Units (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares
RSAs
Shares
Beginning balance (in shares) | shares	1,283,000
Vested (in shares) | shares	(1,283,000)
Ending balance (in shares) | shares	0
Weighted-average grant date fair value per share
Beginning balance (in dollars per share)	$ 23
Vested (in dollars per share)	23
Ending balance (in dollars per share)	$ 0
Fair value of vested share-based payment awards | $	$ 39,752	$ 36,451
Weighted-average vest date fair value per share (in dollars per share)	30.99	27.34
RSUs
Shares
Beginning balance (in shares) | shares	648,000
New grants (in shares) | shares	795,000
Vested (in shares) | shares	(102,000)
Forfeitures (in shares) | shares	(138,000)
Ending balance (in shares) | shares	1,203,000
Weighted-average grant date fair value per share
Beginning balance (in dollars per share)	$ 35.99
New grants (in dollars per share)	31.07
Vested (in dollars per share)	43.71
Forfeitures (in dollars per share)	33.27
Ending balance (in dollars per share)	$ 32.40
Fair value of vested share-based payment awards | $	$ 3,197	$ 6,039
Weighted-average vest date fair value per share (in dollars per share)	31.34	27.08

Equity-Based Compensation - S_2

Equity-Based Compensation - Schedule of Equity-Based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Class of Stock [Line Items]
Total stock-based compensation expense	$ 2,961	$ 9,698	$ 8,220	$ 29,017
Cost of sales
Class of Stock [Line Items]
Total stock-based compensation expense	273	0	637	0
Selling, general and administrative expenses
Class of Stock [Line Items]
Total stock-based compensation expense	$ 2,688	$ 9,698	$ 7,583	$ 29,017

Equity-Based Compensation - S_3

Equity-Based Compensation - Schedule of Total Unrecognized Stock Based Compensation Related to Unvested Stock Awards (Details) - RSUs $ in Thousands	Sep. 30, 2024 USD ($)
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Remainder of 2024	$ 3,538
2025	12,114
2026	8,363
2027	1,609
Total unrecognized stock-based compensation	$ 25,624

Non-Controlling Interests - Nar

Non-Controlling Interests - Narrative (Details)	Sep. 30, 2024 shares
Class A common stock | Public Stock Offering - Shares From Continuing Members
Noncontrolling Interest [Line Items]
Number of shares issued in reorganization transaction	1

Non-Controlling Interests - Sch

Non-Controlling Interests - Schedule of Ownership Interest (Details) shares in Thousands	Sep. 30, 2024 shares
Dutch Bros OpCo Class A common units held by Dutch Bros Inc.
Noncontrolling Interest [Line Items]
Common units outstanding (in units)	113,823
Percentage of class A common units held by Dutch Bros.	64.20%
Dutch Bros OpCo Class A common units held by non-controlling interest holders
Noncontrolling Interest [Line Items]
Common units outstanding (in units)	63,369
Dutch Bros OpCo Class A common units held by non-controlling interest holders	35.80%
Total Dutch Bros OpCo Class A common units outstanding
Noncontrolling Interest [Line Items]
Common units outstanding (in units)	177,192
Ownership %	100%

Non-Controlling Interests - S_2

Non-Controlling Interests - Schedule of Changes in Ownership (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Noncontrolling Interest [Line Items]
Net income attributable to Dutch Bros Inc.	$ 12,644	$ 4,210	$ 31,646	$ 3,120
Other comprehensive income (loss):
Unrealized gain (loss) on derivative securities, effective portion, net of income tax impacts	(1,324)	217	(865)	472
Transfers from (to) non-controlling interests:
Increase in additional paid-in capital as a result of equity-based compensation	1,902	3,864	4,866	10,609
Increase (decrease) in additional paid-in capital as a result of common stock issuances pursuant to vesting of equity awards, net of stock withheld for tax	(36)	0	1,831	(661)
Increase (decrease) in additional paid-in capital as a result of the acquisition of Dutch Bros OpCo Class A common units	8	(189,072)	110,093	(187,950)
Total effect of changes in ownership interest on equity attributable to Dutch Bros Inc.	13,756	(180,810)	148,202	(174,602)
Accumulated Other Comprehensive Income
Other comprehensive income (loss):
Unrealized gain (loss) on derivative securities, effective portion, net of income tax impacts	$ (762)	$ 188	$ (234)	$ 280

Non-Controlling Interests - S_3

Non-Controlling Interests - Schedule of Non-Controlling Interest Holders' Weighted-Average Ownership percentage (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Noncontrolling Interest [Abstract]
Weighted-average ownership percentage	35.80%	64.10%	43.70%	64.80%

Non-Controlling Interests - S_4

Non-Controlling Interests - Schedule of Distributions to Noncontrolling Interests (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Noncontrolling Interest [Abstract]
Amounts paid to non-controlling interest holders	$ 687	$ 0	$ 687	$ 0

Income Per Share - Schedule of

Income Per Share - Schedule of Reconciliation of Numerator for Loss Per Share (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings Per Share [Abstract]
Net income	$ 21,712	$ 13,401	$ 60,083	$ 13,721
Less: Net income attributable to non-controlling interests	9,068	9,191	28,437	10,601
Net income attributable to Dutch Bros Inc.	$ 12,644	$ 4,210	$ 31,646	$ 3,120

Income Per Share - Schedule o_2

Income Per Share - Schedule of Computation of Basic and Diluted Net Income (Loss) Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Numerator:
Undistributed net income for basic computation	$ 12,644	$ 4,210	$ 31,646	$ 3,120
Increase in net income attributable to common stockholders upon conversion of potentially dilutive instruments	22	44	50	0
Allocation of undistributed net income	$ 12,666	$ 4,254	$ 31,696	$ 3,120
Denominator:
Number of shares used in basic computation (in shares)	113,819	59,366	99,756	57,598
Weighted-average number of shares of Class A and Class D common stock outstanding used to calculate diluted net income (loss) per share (in shares)	114,252	60,214	100,070	57,598
Basic net income per share attributable to common stockholders (in dollars per share)	$ 0.11	$ 0.07	$ 0.32	$ 0.05
Diluted net income per share attributable to common stockholders (in dollars per share)	$ 0.11	$ 0.07	$ 0.32	$ 0.05
RSAs
Denominator:
Weighted-average effect of dilutive securities, restricted stock (in shares)	0	848	12	0
RSUs
Denominator:
Weighted-average effect of dilutive securities, restricted stock (in shares)	433	0	302	0

Income Per Share - Schedule o_3

Income Per Share - Schedule of Common Stock Equivalents were Excluded from Diluted Net Income (loss) Per Share (Details) - shares shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Total anti-dilutive securities (in shares)	160	643	481	1,958
RSAs
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Total anti-dilutive securities (in shares)	0	0	0	1,315
RSUs
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items]
Total anti-dilutive securities (in shares)	160	643	481	643

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Other Commitments [Line Items]
Tax receivable agreement, contractually committed amount, percentage	85%
Tax receivable agreements liability, net of current portion	$ 605,003	$ 290,920
Property Lease Guarantee
Other Commitments [Line Items]
Guarantor obligation in franchise lease payment	$ 1,300	$ 1,400

Related Party Transactions- Sch

Related Party Transactions- Schedule of Sale on Hanger and Related Equipment (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024	Sep. 30, 2023
Related Party Transaction [Line Items]
Proceeds from disposal of fixed assets		$ 9,606	$ 271
Related Party
Related Party Transaction [Line Items]
Proceeds from disposal of fixed assets	$ 869	9,545
Net book value of Aircraft	319	8,243
Gain on disposal of Aircraft	$ 550	$ 1,302

Related Party Transactions- S_2

Related Party Transactions- Schedule of Tax Distribution (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Related Party
Related Party Transaction [Line Items]
Donations to Dutch Bros Foundation	$ 63	$ 63	$ 1,688	$ 189

Segment Reporting (Details)

Segment Reporting (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($) segment	Sep. 30, 2023 USD ($)
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Number of operating segments | segment			2
Revenues:	$ 338,212	$ 264,507	$ 938,229	$ 711,653
Cost of sales:	248,161	189,323	686,048	519,482
Total segment depreciation and amortization	23,881	18,116	67,484	49,411
Selling, general and administrative	(57,536)	(50,490)	(161,866)	(148,128)
Interest expense, net	(6,869)	(9,325)	(20,259)	(26,269)
Other income (expense), net	764	(140)	7,357	2,206
Income before income taxes	26,410	15,229	77,413	19,980
Operating Segments
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Revenues:	338,212	264,507	938,229	711,653
Cost of sales:	248,161	189,323	686,048	519,482
Segment contribution:	113,543	92,887	318,777	240,332
Total segment depreciation and amortization	23,492	17,703	66,596	48,161
All Other
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Total segment depreciation and amortization	389	413	888	1,250
Company-operated shops
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Revenues:	308,295	236,472	851,648	630,588
Company-operated shops | Operating Segments
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Revenues:	308,295	236,472	851,648	630,588
Cost of sales:	239,918	179,480	658,950	492,645
Segment contribution:	90,847	73,324	255,900	182,075
Total segment depreciation and amortization	22,470	16,332	63,202	44,132
Franchising and other
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Revenues:	29,917	28,035	86,581	81,065
Franchising and other | Operating Segments
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
Revenues:	29,917	28,035	86,581	81,065
Cost of sales:	8,243	9,843	27,098	26,837
Segment contribution:	22,696	19,563	62,877	58,257
Total segment depreciation and amortization	$ 1,022	$ 1,371	$ 3,394	$ 4,029