JBSS Q4 EPS Falls 38% on Recall Costs and Margin Pressure; Full-Year EPS Up 4.6%
JBSS sits 32% above its 52-week low of $59.07.
Summary
JBSS reported Q4 diluted EPS of $0.71, down 38.3% year-over-year, hurt by recall costs and higher expenses. Full-year EPS rose 4.6% to $5.26 on record sales of $1.18 billion.
Key Events · Earnings and Guidance · JBSS
-
Q4 EPS Misses on Recall and Cost Pressures
Diluted EPS fell 38.3% to $0.71 from $1.15 a year ago, driven by a $2.7 million recall charge, higher input and freight costs, and manufacturing inefficiencies.
-
Full-Year Results Show Growth
Fiscal 2026 net sales rose 6.2% to $1.18 billion and diluted EPS increased 4.6% to $5.26, with gross profit up 3.8% to $211.2 million.
-
Gross Margin Compression
Q4 gross margin declined to 15.7% from 18.1%, reflecting recall costs, higher customer claims, and elevated ingredient and freight expenses.
-
Balance Sheet Remains Solid
Total debt of $83.2 million against stockholders' equity of $379.9 million; cash of $1.1 million and inventories of $245.8 million.
Analysis · JBSS · Manufacturing
Fourth-quarter earnings dropped sharply due to a $2.7 million recall charge, higher input and freight costs, and manufacturing inefficiencies. Full-year results were solid with record sales and EPS growth, but the weak Q4 and margin compression raise concerns about near-term profitability. The company's balance sheet remains strong with low leverage, supporting its dividend program.
At the time of this filing, JBSS was trading at $78.00 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $950.4M. The 52-week trading range was $59.07 to $92.08. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.