Egg Supplier Vital Farms’ Accounting Issue Mars Bird Flu Success

Vital Farms Inc. shares fell after an issue with its accounting practices overshadowed better-than-expected earnings that showed its largely avoided the worst of the bird flu.

The egg supplier identified issues with tracking orders and invoicing that impacted its revenue, according to a regulatory filing Thursday. The issue, which Vital Farms said didn’t lead to material changes to its prior results, were caused by a lack of resources and ineffective risk management, the filing said.

Shares of the Austin-based firm reversed earlier gains to trade down about 7% at 11:16 a.m. in New York. They had lost almost a quarter ...