Vital Farms, Inc. ( VITL ) shares are trading higher on Thursday.

The company reported fourth-quarter earnings per share of $0.17, beating the Wall Street view of $0.09.

Quarterly revenue of $135.81 million beat the analyst consensus of $131.839 million. Net revenue increased 23.4% year over year.

Net revenue growth in the fourth quarter of 2023 was driven by higher prices and volume gains of 11.6%.

Vital reported fourth-quarter adjusted EBITDA of $13.9 million, compared to $6.9 million a year ago.

Gross profit was $45.2 million in the fourth quarter of 2023, compared to $33.3 million a year ago. Gross margin is 33.3%, higher than 30.3% a year ago. Higher sales primarily drove gross profit growth. 

Income from operations in the fourth quarter was $9.1 million, compared to income from operations of $3.4 million in the year-ago period.

Adjusted EBITDA was $13.9 million in the fourth quarter compared to $6.9 million a year ago.

Cash and equivalents were $116.8 million as of December 31, 2023, and the company had no outstanding debt.

Outlook: For FY24, the company sees net revenue of at least $552 million, which represents at least a 17% increase compared to fiscal year 2023 (estimate: $550.6 million).

Vital sees Adjusted EBITDA of at least $57 million, which represents at least an 18% increase compared to fiscal year 2023. Capital expenditures in the range of $35 million to $45 million.

Price Action: VITL shares are trading higher by 1.32% to $19.25 on the last check Thursday.