DAR

Flowers Foods, Inc. FLO reported first-quarter fiscal 2026 results, wherein both top and bottom lines beat the Zacks Consensus Estimate. While net sales increased, earnings decreased from the year-ago period’s actuals. Flowers Foods posted adjusted earnings of 29 cents per share, beating the Zacks Consensus Estimate of 28 cents. However, the bottom line deteriorated 17.1% from 35 cents reported in the year-ago quarter. Flowers Foods, Inc. price-consensus-eps-surprise-chart | Flowers Foods, Inc. Quote Net sales increased 1.1% year over year to $1,571.6 million, surpassing the Zacks Consensus Estimate of $1,563 million. The year-over-year growth was driven by a 2.1% increase in pricing/mix and a 2.3% contribution from the Simple Mills acquisition, partially offset by lower volumes. Volume declined 3.3%, primarily reflecting weakness in branded traditional loaf and store-branded cake and loaf categories, partially offset by growth in snacking, branded keto and vending.Branded retail sales rose 3.4% to $1,045 million, supported by favorable pricing/mix and contribution from acquisition, partially offset by lower volumes. Pricing/mix increased 4%, volume declined 4.2% and the acquisition contributed 3.6%.Other net sales decreased 3.1% to $526.2 million, reflecting inflationary pressure on consumer spending and the execution of margin optimization strategies. Pricing/mix declined 1.2%, while volume decreased 1.9%. Gross margin, excluding depreciation and amortization as a percentage of net sales, was 49.4%, a decrease of 50 basis points compared with the prior year. The decline was primarily caused by reduced operating leverage resulting from lower volumes and higher outside product purchases associated with Simple Mills, partially offset by lower ingredient costs related to the acquisition.Selling, distribution and administrative expenses were 40.9% of net sales, up 10 basis points from the prior-year period. Excluding matters affecting comparability, adjusted SD&A decreased 20 basis points to 39.3% of sales, due to lower marketing expenses and reduced distributor fees as a percentage of sales, reflecting the addition of Simple Mills and its warehouse distribution model.Adjusted EBITDA decreased 1.8% year over year to $159 million, representing 10.1% of net sales, a decrease of 30 basis points. FLO ended its fiscal first quarter with cash and cash equivalents of...

Download the Complete Report Here Key Takeaways: Revenue growth remained positive in 1Q26, though the quarter primarily reflected continued early-scale execution rather than a step-function inflection. BOIL reported revenue of $1.26 million in 1Q26, up 24% y/y from $1.01 million and modestly above $1.24 million in 4Q25, implying an annualized run-rate of ~$5.0 million. The sequential increase of ~1% was limited, but the y/y growth confirms that commercial revenue is sustaining at a materially higher level than the prior-year base. The revenue increase reflected distributor revenue, additional revenue-generating agreements, and increased marketing efforts intended to expand global exposure, suggesting BOIL remains in the early phase of converting channel and customer development into recurring product demand. Strategic direction is now more clearly centered on revenue execution, customer rollout, and direct account-based selling. BOIL’s May strategic update reframes the next phase of commercialization around large strategic end customers, typically multi-location operators where the product can be deployed across dozens, hundreds, or thousands of sites. Target verticals include QSR, casual dining, other chain restaurants, hotels and hospitality groups, catering and institutional foodservice, supermarkets, and convenience-store operators. We believe this is a meaningful shift because it moves the commercial focus toward account-level penetration, operational integration, and repeat usage across high-value customers, while retaining targeted distribution support. The new U.S. fast-food chain rollout adds another important validation point for the direct-sales strategy. BOIL commenced commercial sales with a medium-sized American fast-food chain after a pilot validation program that began in late 2025 and expanded into a multi-location pilot in 1Q26. Initial commercial deployment has started with three franchisees across three U.S. states, while the broader chain has hundreds of locations across the U.S. and international markets. Although still early, the structure is attractive because it shows a clear progression from pilot validation to paid commercial sales, which is the key conversion point for BOIL’s refined go-to-market strategy. The announcement also came shortly after BOIL outlined its shift toward direct engagement with large multi-location operators,...

Sysco Corporation SYY entered fiscal 2026 facing a difficult operating backdrop, but its fiscal third-quarter local case performance showed a clear shift in momentum. U.S. local case volume increased 3.3%, the company’s strongest quarterly local growth rate in more than three years, and improved 210 basis points sequentially from the prior quarter. The key question now is whether that acceleration can continue in fiscal 2027. Restaurant traffic remained pressured across the industry, making the improvement more notable. Black Box data referenced during the quarter showed restaurant traffic declining nearly 1.9%, underscoring that Sysco’s gains were largely company-specific. The improvement appears tied to operational execution rather than pricing or macro tailwinds. Sysco highlighted stronger sales productivity, improved retention among sales colleagues, better customer penetration and continued gains in new customer wins. The company also pointed to tools like AI360, which is helping improve onboarding and selling effectiveness, along with customer-focused initiatives such as Sysco Your Way and Perks 2.0. Image Source: Zacks Investment Research Importantly, the local business is becoming a larger growth engine within the broader portfolio. Local customers typically carry better profitability characteristics than national chain accounts, making sustained local momentum particularly meaningful from a margin perspective. The dynamic became increasingly visible in the third quarter as Sysco delivered gross margin expansion despite soft restaurant traffic conditions. The near-term outlook also suggests confidence in continued momentum. Sysco expects local volume growth of at least 2.5% in the fourth quarter, which would represent another improvement on a two-year stacked basis. The company also indicated that local trends are expected to remain strong in fiscal 2027. While the broader restaurant environment remains uneven, Sysco’s recent performance suggests its local business recovery is being supported by internal execution, productivity gains and customer acquisition efforts. Shares of this Zacks Rank #3 (Hold) company have risen 1.2% over the past three months against the industry’s decline of 26%. The Chef's Warehouse, Inc. CHEF, a specialty food distributor serving restaurants, hotels and hospitality customers, sports a Zacks Rank #1 (Strong Buy) at presen...

Darling Ingredients (DAR) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company. The rising trend in estimate revisions, which is a result of growing analyst optimism on the earnings prospects of this producer of natural ingredients from edible and inedible bionutrients, should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. This insight is at the core of our stock rating tool -- the Zacks Rank. The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008. For Darling Ingredients, strong agreement among the covering analysts in revising earnings estimates upward has resulted in meaningful improvement in consensus estimates for the next quarter and full year. The chart below shows the evolution of forward 12-month Zacks Consensus EPS estimate: The earnings estimate of $1.13 per share for the current quarter represents a change of +1,155.6% from the number reported a year ago. Over the last 30 days, three estimates have moved higher for Darling compared to no negative revisions. As a result, the Zacks Consensus Estimate has increased 41.67%. The company is expected to earn $4.54 per share for the full year, which represents a change of +567.7% from the prior-year number. In terms of estimate revisions, the trend for the current year also appears quite encouraging for Darling. Over the past month, five estimates have moved higher compared to no negative revisions, helping the consensus estimate increase 36.13%. Thanks to promising estimate revisions, Darling currently carries a Zacks Rank #2 (Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 5...

Grocery Outlet Holding Corp. GO reported first-quarter 2026 results, wherein the top and bottom lines beat the Zacks Consensus Estimate. While net sales increased year over year, earnings declined from the year-ago period. Results reflected improving traffic trends and progress in restoring the company’s opportunistic product mix, though comparable-store sales remained soft amid continued pressure on customer basket sizes. Shares of Grocery Outlet rose 16.4% during the after-market trading session yesterday, as investors appeared encouraged by the company’s better-than-expected results. Adjusted EBITDA came in at the high end of management’s guidance range, and management reaffirmed the fiscal 2026 outlook despite ongoing margin and basket-size pressures. Grocery Outlet delivered adjusted earnings of 5 cents a share for the first quarter of fiscal 2026, beating the Zacks Consensus Estimate of 2 cents by 150%. The figure declined from adjusted earnings of 13 cents reported in the year-ago quarter. Net sales increased 3.6% year over year to $1,166.4 million and edged past the consensus mark of $1,153 million by 1.2%. The increase was primarily driven by contributions from new store openings, partially offset by lower comparable-store sales. Comparable-store sales declined 1% in the quarter compared to growth of 0.3% in the prior-year period. The drop stemmed from a 3.1% decrease in average transaction size, partly offset by a 2.1% increase in the number of transactions. Management noted that traffic trends improved sequentially throughout the quarter, with weekly traffic growth in March ranging between 2% and 5%. Management highlighted meaningful progress in increasing the mix of opportunistic products, which rose by nearly 2 percentage points since the start of the year. Grocery Outlet stated that these higher-value branded deals continue to resonate strongly with customers and support traffic recovery. Grocery Outlet Holding Corp. price-consensus-eps-surprise-chart | Grocery Outlet Holding Corp. Quote Gross profit increased modestly to $345.2 million from $342.4 million in the year-ago quarter. However, gross margin contracted 80 basis points year over year to 29.6%. Management attributed 50 basis points of the decline to inventory markdowns and write-offs to store closures under the Optimization Plan, along with promotional investments aimed at driving traf...

Download the Complete Report Here Key Takeaways: 2Q FY26 marked another strong execution quarter, with adjusted EBITDA of $16.9 million and net income of $11.4 million. Land monetization accelerated, with a $26.9 million sale of non-core citrus acreage bringing YTD land sales to $34.6 million. Collier County approval for Corkscrew Grove East Village materially advances ALCO’s long-term development strategy in Southwest Florida. Liquidity strengthened despite $10.0 million of share repurchases, with $52.9 million of cash extending runway through FY28. Valuation remains supported by conservative land assumptions, with upside tied to monetization, entitlement progress, and long-term development optionality. Land monetization and lower citrus drag drove another quarter of positive adjusted EBITDA. 2Q FY26 (quarter ending March 2026) reflects continued progress in ALCO’s transition from a weather and disease-exposed citrus operator into a land-management and development platform with recurring agricultural utilization, episodic land sales, and long-duration real estate optionality. ALCO reported net income attributable to common stockholders of $11.4 million, or $1.49 per diluted share, compared with a net loss of $111.4 million, or $14.58 per diluted share, in 2Q FY25. Adjusted EBITDA increased 32.6% y/y to $16.9 million from $12.7 million, while EBITDA improved to $16.7 million from a loss of $14.7 million, reflecting the January land sale, lower citrus drag, and continued execution of the company’s land-centric operating strategy. Land sale proceeds funded both liquidity and shareholder returns. ALCO closed the previously announced sale of approximately 2,950 acres of citrus grove for $26.9 million during the quarter, bringing year-to-date land sales to $34.6 million. Importantly, management paired this monetization with $10.0 million of common share repurchases through April 2026, demonstrating a more active capital allocation posture while still maintaining a strong liquidity position. Agricultural land utilization is becoming the cash-flow bridge for ALCO’s development strategy. Approximately 97% of ALCO’s ~32,500 farmable acres are now utilized, representing ~89% of its 46,000 agricultural acres and providing a steadier lease/royalty base while land sales and development milestones remain episodic. Land management revenue is scaling as agricultural utiliza...

B&G Foods, Inc. BGS posted first-quarter fiscal 2026 results, wherein the bottom line came in line with the Zacks Consensus Estimate, but declined year over year. The top line was pressured by recent divestitures, partially offset by modest growth in the base business. B&G Foods reported adjusted earnings of 8 cents per share, up 100% from 4 cents in the year-ago quarter. The metric came in line with the Zacks Consensus Estimate. B&G Foods, Inc. price-consensus-eps-surprise-chart | B&G Foods, Inc. Quote Net sales declined 3.9% year over year to $408.9 million in the first quarter of 2026 from $425.4 million in the prior-year period. The decrease was mainly due to the divestitures of the Green Giant U.S. frozen, Le Sueur U.S. and Don Pepino businesses. This was partially offset by growth in base business net sales, contributions from the co-manufacturing agreement and partial-month sales from the College Inn and Kitchen Basics brands. The company’s base business net sales rose 2.8% year over year to $365.1 million from $355.2 million, reflecting gains in volume, pricing and mix. The base business gain provided a clearer read on underlying demand. Base business net sales growth was driven by a 1.9% lift from higher volume, a 0.5% benefit from net pricing and product mix and a 0.5% positive impact from foreign currency. On an adjusted basis, gross profit was $84.6 million, down 6.6% from $90.6 million in the prior-year period. Adjusted gross margin was 20.7% compared with 21.3% in the prior-year quarter. Selling, general and administrative expenses increased 2.2% year over year to $50.2 million from $49.1 million and represented 12.3% of net sales, up 70 basis points year over year from 11.6% in the prior-year period, as acquisition/divestiture-related and other non-recurring expenses rose meaningfully. Adjusted EBITDA declined 2.5% year over year to $57.6 million from $59.1 million in the prior-year period. However, adjusted EBITDA margin improved slightly to 14.1% of net sales compared with 13.9% in the prior-year period. Specialty: Net sales declined 2.7% year over year to $130.8 million from $134.4 million, primarily due to the Don Pepino divestiture. Adjusted EBITDA fell 22.1% year over year to $26.1 million from $33.5 million, impacted by the divestiture, higher raw material costs, increased manufacturing expenses as a percentage of sales and tariff-relat...

Post Holdings, Inc. POST delivered second-quarter fiscal 2026 results, with both the top and bottom lines showing year-over-year growth. However, the top line missed the Zacks Consensus Estimate, while the bottom line surpassed. POST’s adjusted earnings per share increased 37.6% to $1.94 from $1.41 in the prior-year period and surpassed the Zacks Consensus Estimate of $1.64. Post Holdings, Inc. price-consensus-eps-surprise-chart | Post Holdings, Inc. Quote Net sales increased 4.7% year over year to $2,042.9 million from $1,952.1 million in the prior-year period. The increase included a contribution of $152.3 million in net sales from acquisitions during the current-year period. The figure missed the Zacks Consensus Estimate of $2,062 million. Gross profit increased 13.2% year over year to $617.6 million from $545.8 million in the prior-year period. Gross margin also expanded to 30.2% from 28% in the prior-year period. Selling, general and administrative expenses increased 3.6% year over year to $326.2 million. However, SG&A expenses as a percentage of net sales improved slightly to 16% from 16.1%, reflecting relatively stable expense leverage during the quarter. Operating profit climbed 16.3% year over year to $211.9 million from $182.2 million in the prior-year period. Fiscal second-quarter operating profit included a $28.3 million loss on amounts held for sale related to Crystal Farms Dairy Company, which was treated as an adjustment for non-GAAP measures. Post Consumer Brands’ net sales increased 5.8% year over year to $1,044.9 million. The Zacks Consensus Estimate is pegged at $1,059 million. Net sales included a $145 million contribution from 8th Avenue. Excluding 8th Avenue, volumes declined 10%, reflecting a 14.1% decline in pet food volumes and a 3.5% decline in cereal and granola volumes. Segment adjusted EBITDA declined 1.8% to $200.2 million, while beating the Zacks Consensus Estimate of $192 million. Foodservice segment net sales increased 3.2% year over year to $627.4 million, missing the Zacks Consensus Estimate of $633 million. Net sales of Foodservice included a $6.5 million contribution from PPI. Excluding PPI, volumes increased 6.7%, driven by improved customer service levels and higher production in protein-based shakes. Segment adjusted EBITDA increased 47.9% to $142 million, which beat the Zacks Consensus Estimate of $135 million. Net sa...

Celsius Holdings, Inc. CELH delivered solid first-quarter 2026 results, wherein the bottom and top lines beat the Zacks Consensus Estimate and increased year over year. The company delivered record first-quarter 2026 total revenues, driven by the strength of its expanding energy portfolio, including CELSIUS, Alani Nu and Rockstar Energy, alongside growing scale, a 20.9% share of the U.S. energy drink category, successful brand integration efforts, and confidence in its ability to deliver sustained long-term growth and shareholder value. Celsius Holdings’ adjusted earnings of 41 cents per share beat the Zacks Consensus Estimate of 29 cents and skyrocketed 128% from the year-ago number. Celsius Holdings Inc. price-consensus-eps-surprise-chart | Celsius Holdings Inc. Quote Total revenues of $782.6 million topped the Zacks Consensus Estimate of $756 million. The top line surged 138% year over year. The rise was primarily driven by the acquisitions of Alani Nu on April 1, 2025, and Rockstar Energy on Aug. 28, 2025. Alani Nu generated record first-quarter sales of $368.1 million, supported by strong consumer demand and increased distributor orders following its transition into the PepsiCo distribution system. Rockstar Energy contributed $66.6 million in first-quarter revenues. CELSIUS brand revenues increased approximately 6% year over year. Gross profit surged 119.3% to $378.1 million from $172.4 million in the prior-year period. The gross profit margin declined 400 basis points (bps) to 48.3% from 52.3%, primarily reflecting the lower margin profiles of the recently acquired Alani Nu and Rockstar Energy businesses. Adjusted SG&A expenses, excluding litigation and acquisition-related costs, increased 86.7% to $206.3 million in the first quarter of 2026 from $110.5 million in the prior-year period. As a percentage of net sales, adjusted SG&A expenses declined to 26.4% from 33.6% in the prior-year quarter. Adjusted EBITDA skyrocketed 181% year over year to $195.5 million, while the adjusted EBITDA margin expanded approximately 370 basis points to 24.9% from 21.2%. North America revenues soared 144% to $747.3 million in the first quarter of 2026 from $306.5 million in the prior-year period. International revenues totaled $35.3 million in the first quarter of 2026, representing a 55% increase from the prior-year period, driven by continued strength in the Nordics and...

Central Garden & Pet Company CENT turned in a strong second-quarter fiscal 2026, with adjusted earnings of $1.29 per share, up 24% from $1.04 a year ago. The results beat the Zacks Consensus Estimate of adjusted earnings of $1.08 by 19.4%. Net sales of $906.2 million increased 8.7% year over year and topped the consensus mark of $838 million by 8.1%. The strong top-line performance was driven by growth across both operating segments, shipment timing shifts from the first quarter into the second and continued strength in higher-margin consumables categories. Central Garden & Pet Company price-consensus-eps-surprise-chart | Central Garden & Pet Company Quote Gross profit rose to $299.6 million from $273.1 million a year ago. The gross margin expanded 30 basis points to 33.1%. CENT’s gross profit trends reflected improved scale, even as the company managed mix and cost dynamics. Adjusted gross profit rose to $299.6 million from $277.5 million a year ago, supported by higher volume across both segments. The adjusted gross margin was 33.1% versus 33.3% in the prior-year quarter. Management attributed the margin profile to productivity gains and a favorable mix in Pet, which helped offset higher manufacturing costs and a lower-margin sales mix in Garden. We estimated the adjusted gross margin to be 33.4% in the quarter under review. Central Garden & Pet converted the quarter’s gross profit into improved operating performance through tighter cost control and SG&A leverage. Operating income rose sharply to $113.9 million from $93.3 million in the prior-year period, while the operating margin improved to 12.6% from 11.2%. Adjusted operating income increased to $114.2 million from $98.7 million in the year-ago quarter. The adjusted operating margin improved to 12.6% from 11.8%. Adjusted EBITDA increased to $139 million from $123 million, while the adjusted EBITDA margin expanded 60 basis points year over year to 15.4%. Adjusted SG&A expenses were $185.5 million, beating our estimate of $182.4 million and rising 3.7% year over year. However, as a percentage of sales, adjusted SG&A improved to 20.5% from 21.6%, reflecting sales leverage and continued simplification initiatives. Central Garden & Pet’s Pet segment turned in steady growth and a sharp improvement in profitability. The Pet segment generated net sales of $477 million, beating our estimate of $445.4 million an...

The Kraft Heinz Company KHC posted first-quarter 2026 results, wherein both top and bottom lines beat the Zacks Consensus Estimate. While net sales increased, earnings decreased from the year-ago period’s actuals. Kraft Heinz posted adjusted earnings of 58 cents per share, beating the Zacks Consensus Estimate of 50 cents. Quarterly adjusted earnings fell 6.5% year over year, mainly due to lower adjusted operating income, partially offset by reduced tax expenses on adjusted earnings. Kraft Heinz Company price-consensus-eps-surprise-chart | Kraft Heinz Company Quote The company generated net sales of $6,047 million, up 0.8% year over year. The metric beat the Zacks Consensus Estimate of $5,908 million. The increase included a favorable 1.9 percentage-point impact from foreign currency, partially offset by a 0.7 percentage-point drag from divestitures. However, organic net sales declined 0.4% compared with the prior-year period. Our model expected a 3.2% dip in organic sales. Pricing contributed positively, rising 0.8 percentage points across all segments, mainly driven by price increases in select categories to offset higher input costs. In contrast, volume/mix fell 1.2 percentage points, with declines across all segments. This weakness was largely due to reduced demand in coffee, cold cuts and Indonesia, which outweighed gains from seasonal factors such as the shift in Easter timing. The adjusted gross profit of $2,064 million increased from the $2,061 million reported in the year-ago quarter. However, adjusted gross margin contracted 30 bps to 34.1%. We expected an adjusted gross margin decline of 120 bps to 33.1%. Adjusted operating income declined 11.8% year over year to $1,058 million. The drop was primarily caused by higher advertising expenses, inflationary pressures in manufacturing and logistics that exceeded efficiency gains, and unfavorable volume/mix. These headwinds more than offset the benefits from higher pricing, one-time procurement cost recoveries and favorable foreign currency effects. North America: Net sales of $4,458 million declined 0.7% year over year. Organic sales fell 1.1%. We expected a 4% decline in segment organic sales. During the quarter, pricing increased 0.4 percentage points and the volume/mix fell 1.5 percentage points. International Developed Markets: Net sales of $843 million were up 3.2% year over year. Organic sales decl...

Tyson Foods, Inc. TSN reported solid second-quarter fiscal 2026 results, with the top line increasing year over year while missing the Zacks Consensus Estimate. The bottom line declined year over year but beat the consensus mark. Tyson Foods posted adjusted earnings of 87 cents per share, which beat the Zacks Consensus Estimate of 76 cents. The bottom line declined 5% from the year-ago quarter’s reported figure of 92 cents. Tyson Foods, Inc. price-consensus-eps-surprise-chart | Tyson Foods, Inc. Quote Total sales of $13,653 million rose 4.4% year over year. The top line missed the Zacks Consensus Estimate of $13,799 million. Average price changes had a 4.1% positive impact on the top line, while total volumes dipped 2.3% year over year. The gross profit in the quarter was $962 million, up from $600 million reported in the year-ago period. Tyson Foods’ adjusted operating income decreased 3% to $497 million. The adjusted operating margin decreased 20 basis points year over year to 3.6%. Beef: Sales in the segment increased to $5,205 million from $5,196 million reported in the year-ago quarter. Volumes fell 13.1% and the average price jumped 11.5% in the segment. Pork: Sales in the segment increased to $1,579 million from $1,244 million reported in the year-ago quarter. Volumes grew 4.4% and the average price increased 1.3%. Chicken: Sales in the segment improved to $4,286 million from $4,141 million reported in the year-ago quarter. Volumes grew 1.7% and the average price was up 1.8%. Prepared Foods: Sales in the segment came in at $2,511 million, up from $2,396 million reported in the year-ago quarter. Volumes grew 0.4% and the average price rose 4.4%. International/Other: Sales in the segment were $577 million compared with $566 million reported in the year-ago quarter. Volumes fell 1%, whereas the average sales price increased 2.9%. The company exited the quarter with cash and cash equivalents of $500 million, long-term debt of $7,942 million and total shareholders’ equity (including non-controlling interests) of $18,201 million. For the six months ended March 28, 2026, cash provided by operating activities amounted to $829 million. Liquidity was $3.7 billion as of March 28, 2026. Management expects total liquidity to stay above the company’s minimum target of $1 billion in fiscal 2026. Tyson Foods projects capital expenditures in the range of $700 million...