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Dec 28, 2025
Hawkins Q3 2026 Earnings Report
Hawkins, Inc. reported record third quarter results for revenue, gross profit, operating income, and adjusted EBITDA, with significant growth in Water Treatment and Industrial Solutions segments.
Key Takeaways
Hawkins, Inc. announced record third quarter fiscal 2026 results, with revenue growing 8% to $244.1 million and gross profit increasing 5% to $50.8 million. Diluted EPS decreased by 4% to $0.69, primarily due to increased amortization and interest expenses from recent acquisitions. Adjusted EBITDA rose 3% to $34.8 million, and the company generated $35 million in operating cash flow, reducing debt and lowering its leverage ratio.
Record third quarter revenue, gross profit, operating income, and adjusted EBITDA were achieved.
Revenue grew 8% year-over-year, driven by 21% growth in Water Treatment and 10% in Industrial Solutions.
Diluted EPS decreased by 4% to $0.69, mainly due to higher amortization and interest expenses from six acquisitions in fiscal 2026.
Adjusted EBITDA increased 3% to $34.8 million, and operating cash flow was $35 million, used to pay down $15 million of debt.
Revenue by Segment
Forward Guidance
For the fourth quarter, the company anticipates continued pricing pressures in food end markets and aims to return its Food and Health Sciences segment to growth. Looking to fiscal 2027, Hawkins expects to return to historical organic revenue growth rates and continue its strategy of investing in higher-margin businesses, accretive acquisitions, and high-level customer service.
Positive Outlook
- Expect to return to historical organic revenue growth rates in fiscal 2027.
- Continued focus on investing in higher margin businesses.
- Strategy of acquiring companies that are accretive.
- Commitment to servicing customer needs to the highest level possible.
- WaterSurplus acquisition expected to be accretive in fiscal 2027 with continued business growth.
Challenges Ahead
- Continued pricing pressures within food end markets in the fourth quarter.
- Continued impact on operating income and earnings per share from the WaterSurplus acquisition in the first quarter of fiscal 2026.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
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Avg. Return Before/After Earnings
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