Loading...
J&J Snack Foods Q2 2025 Earnings Report
J&J Snack Foods reported a decline in net sales and earnings for the second quarter of fiscal year 2025, primarily due to weakness in Frozen Beverage and Food Service segments, partially offset by growth in Retail.
Key Takeaways
J&J Snack Foods reported a decrease in net sales by 1.0% to $356.1 million and a significant drop in net earnings by 64% to $4.8 million for the second quarter of fiscal 2025, compared to the prior year. This decline was mainly driven by lower volumes in Frozen Beverage and Food Service, foreign exchange headwinds, and continued cost inflation.
Net sales decreased by 1.0% to $356.1 million in Q2 2025 compared to the prior year.
Net earnings fell by 64% to $4.8 million, with diluted EPS at $0.25.
Adjusted EBITDA decreased by 33% to $26.2 million, and Adjusted Operating Income declined by 59% to $8.9 million.
The decline was primarily attributed to theater channel weakness impacting Frozen Beverage and Food Service, the conclusion of limited-time-offer churro volumes, and continued cost inflation, particularly in the bakery business.
Revenue by Segment
Forward Guidance
The company expects earnings to improve in the second half of fiscal 2025, driven by a rebound in theater traffic and planned price increases.
Positive Outlook
- Expected rebound in theater traffic.
- Implementation of additional price increases.
- Focus on volume growth.
- North American box office sales projected to rebound by 30% or more in fiscal third quarter.
- Success of the Minecraft movie in April positively impacting U.S. Frozen Beverage volumes.
Challenges Ahead
- Continued cost inflation, particularly in chocolate for the bakery business.
- Theater channel weakness impacting Frozen Beverage and Food Service volumes.
- Foreign exchange headwinds affecting the Frozen Beverage segment.
- Pace of price increases slower than anticipated in Q2 due to balancing price and volume considerations.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...