Utz Brands reported third quarter 2026 results that missed analyst expectations on both revenue and earnings, impacted by significant supply chain inflation and volume contraction. The company is currently proceeding with a pending take-private transaction with Intersnack Group, expected to close in the fourth quarter of 2026.
Key Highlights
- Net sales decreased 2.3% to $369.2 million, falling short of the $384.7 million estimate due to a 5.2% decline in volume/mix.
- Adjusted Gross Profit Margin contracted by 530 basis points to 27.2%, driven by abrupt cost inflation and unfavorable channel mix.
- Adjusted EPS of $0.10 missed the $0.23 consensus, representing a 56.5% year-over-year decline as inflationary pressures intensified.
- Core Branded Salty Snacks Organic Net Sales remained a relative bright spot, growing 0.3% led by 2.1% retail sales growth in the Power Four brands.