Traeger (NYSE: COOK) expands Project Gravity, targeting $58M cost savings by 2026

Rhea-AI Filing Summary

Traeger, Inc. updated its restructuring program, called Project Gravity, which is aimed at simplifying operations and reducing costs. Phase 2 actions include discontinuing the Costco roadshow program, exiting the Traeger direct-to-consumer business by redirecting Traeger.com shoppers to retail partners, shifting certain European markets to a distributor model, and consolidating pellet mills. On December 4, 2025, the Board approved a workforce reduction to match the company’s current operational scale, which is expected to generate about $8 million in additional annualized pre-tax cost savings.

Traeger now expects total pre-tax charges of approximately $25.0 million to $31.0 million for currently known Project Gravity actions. This includes $16.0 million to $21.0 million of professional fees and other related costs and $9.0 million to $10.0 million of severance and other personnel costs, primarily in cash. Overall, Project Gravity is currently expected to deliver about $58 million in annualized pre-tax cost savings, with Phase 1 contributing around $30 million and Phase 2 around $28 million. The program is expected to be substantially completed by the end of 2026, with most charges incurred by the end of 2025.

Insights

Equity restructuring and operations analyst

Traeger expands Project Gravity, trading one-time cash charges for sizable ongoing cost savings.

Traeger is deepening its multi-step restructuring, Project Gravity, by exiting lower-focus channels and resizing its workforce. The company now expects total pre-tax charges of $25.0 million to $31.0 million, mostly cash, combining $16.0 million to $21.0 million of professional and related costs with $9.0 million to $10.0 million of severance and personnel expenses. These changes follow earlier steps to centralize operations and now extend into channel optimization and geographic model shifts.

The updated plan targets annualized pre-tax cost savings of about $58 million, with Phase 1 contributing roughly $30 million and Phase 2 about $28 million. Key operational moves include discontinuing the Costco roadshow program, exiting direct-to-consumer sales on Traeger.com in favor of retail partners, adopting a distributor model in certain European markets, and consolidating pellet mills, plus a reduction in force approved on December 4, 2025 expected to add $8 million of savings.

For investors, the balance between near-term cash charges and longer-term savings will likely hinge on how these channel exits and model changes affect revenue and brand reach, which is not quantified here. Management currently anticipates that most charges will be booked by the end of 2025, with Project Gravity substantially completed by the end of 2026, so subsequent filings around these dates may give clearer evidence of whether the planned savings are being realized without undue pressure on top-line growth.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K/A

CURRENT REPORT

Pursuant to Section 13 or 15(d)

of the Securities Exchange Act of 1934

Date of report (Date of earliest event reported): December 4, 2025 (May 15, 2025) 

TRAEGER, INC.

(Exact name of registrant as specified in its charter)  

Delaware

001-40694

82-2739741

(State or other jurisdiction of incorporation)

(Commission File Number)

(I.R.S. Employer Identification No.)

533 South 400 West,

Salt Lake City, Utah

84101

(Address of principal executive offices)

(Zip Code)

(Registrant’s telephone number, include area code) (801) 701-7180

N/A

(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class			Trading Symbol(s)			Name of each exchange on which registered
Common Stock, par value $0.0001 per share			COOK			The New York Stock Exchange

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company  ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐

Item 2.05.    Costs Associated with Exit or Disposal Activities.

As previously disclosed in a Current Report on Form 8-K filed on May 15, 2025 (the “May 8-K”) and an amended Current Report on Form 8-K filed on August 6, 2025 (the “August 8-K”) and November 5, 2025 (the “November 8-K”), the Board of Directors (the “Board”) of Traeger, Inc. (the “Company”) approved a comprehensive enterprise initiative designed to streamline the Company’s organizational structure and rebalance its cost base to improve profitability and cash flow generation. As part of this initiative, the Company is identifying opportunities to deliver operational efficiencies and cost savings which are expected to be achieved through a multi-step strategic optimization plan (“Project Gravity”).

Phase 1 of Project Gravity focused on centralizing the Company’s operations, while Phase 2 introduced additional strategic actions related to channel optimization initiatives. These Phase 2 actions include discontinuing the Costco roadshow program, redirecting Traeger.com consumers to the Company’s retail partners' websites as part of an exit from the Traeger direct-to-consumer business, transitioning to a distributor model in European markets that currently operate under a direct model, and pellet mill consolidation. As a result of these Phase 2 actions, on December 4, 2025, the Board approved a reduction in force to align workforce size with the Company’s current operational scale. This action will result in approximately $8 million of additional annualized pre-tax cost savings.

In connection with these developments under Phase 2 of Project Gravity, the Company is revising its expected range of pre-tax charges. The Company now anticipates incurring total pre-tax charges related to currently known and reasonably estimable actions of Project Gravity of between approximately $25.0 million and $31.0 million (the “Total Costs”), which primarily consist of cash expenditures. Of the Total Costs, the Company expects pre-tax charges of between approximately $16.0 million and $21.0 million associated with professional fees and other related costs, and between approximately $9.0 million and $10.0 million related to severance and other personnel costs. The current expectation is that Project Gravity will result in annualized pre-tax cost savings of approximately $58 million, with Phase 1 and Phase 2 expected to contribute approximately $30 million and $28 million, respectively.

The Company expects to incur additional costs and charges due to events that may occur as a result of, or associated with, the ongoing review of its business under its multi-step plan. As of the date of the filing of this Current Report Form 8-K, the Company has not finalized the exact nature and full amount of such other costs and charges. Project Gravity, in its entirety, is expected to be substantially completed by the end of 2026, with the majority of the total charges expected to be incurred by the end of 2025. Item 2.05 in each of the May 8-K, August 8-K and November 8-K are hereby deemed amended and supplemented by the foregoing.

Forward-Looking Statements

This Current Report on Form 8-K contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this Current Report on Form 8-K that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding when the Company expects the completion of the actions under Project Gravity, expected costs related to Project Gravity, anticipated cost savings from Project Gravity, risks that the Company will be unable to realize the anticipated benefits of Project Gravity. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties, and other important factors that may cause the Company’s actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements, including, but not limited to, the factors discussed under the caption “Risk Factors” in the Company’s periodic and current reports filed with the Securities and Exchange Commission from time to time, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. Any such forward-looking statements represent management's expectations and estimates as of the date of this Current Report on Form 8-K. While the Company may elect to update such forward-looking statements at some point in the future, the Company disclaims any obligation to do so, even if subsequent events cause the Company’s views to change.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

			Traeger, Inc.
Date: December 4, 2025			By:			/s/ Michael J. Hord
						Michael J. Hord
						Chief Financial Officer

FAQ

What is Traeger, Inc. (COOK) changing under Project Gravity Phase 2?

Under Phase 2 of Project Gravity, Traeger is discontinuing its Costco roadshow program, exiting the Traeger direct-to-consumer business by redirecting Traeger.com shoppers to retail partners, transitioning to a distributor model in certain European markets that currently use a direct model, and consolidating pellet mills.

How much cost savings does Traeger (COOK) expect from Project Gravity?

Traeger currently expects Project Gravity to generate about $58 million in annualized pre-tax cost savings. Phase 1 is expected to contribute approximately $30 million, and Phase 2 approximately $28 million. The workforce reduction approved on December 4, 2025 is expected to account for about $8 million of additional annualized savings.

What restructuring charges will Traeger, Inc. (COOK) incur for Project Gravity?

Traeger now anticipates total pre-tax charges of approximately $25.0 million to $31.0 million for currently known Project Gravity actions. This includes expected pre-tax charges of about $16.0 million to $21.0 million for professional fees and other related costs and about $9.0 million to $10.0 million for severance and other personnel-related costs.

When does Traeger (COOK) expect Project Gravity to be completed?

Project Gravity is expected to be substantially completed by the end of 2026. Traeger currently expects that the majority of the total pre-tax charges associated with the plan will be incurred by the end of 2025.

What workforce actions is Traeger, Inc. (COOK) taking as part of Project Gravity?

As part of Phase 2 of Project Gravity, Traeger’s Board approved a reduction in force on December 4, 2025 to align workforce size with the company’s current operational scale. This action is expected to result in approximately $8 million of additional annualized pre-tax cost savings.

Are the Project Gravity cost estimates for Traeger (COOK) final?

Traeger states that it expects to incur additional costs and charges related to its ongoing multi-step review beyond the currently estimated $25.0 million to $31.0 million. As of the date of this report, the company has not finalized the exact nature and full amount of those additional costs and charges.