Snapshot
Simply Good Foods Co reported $326M of revenue in Q2 2026, up -9.4% year over year, with diluted EPS of $-1.73 and an operating margin of -65.4%.
- Revenue
- $326M
- YoY growth
- +-9.4%
- Diluted EPS
- $-1.73
- Operating margin
- -65.4%
$326M
Revenue
+-9.4%
YoY growth
$-1.73
Diluted EPS
-65.4%
Operating margin
01 Key takeaways
What management said
- •I'm happy to be here on my first earnings call and pleased to be joined this morning by President and CEO Joe Scalzo and Chris Bealer, Chief Financial Officer.
- •A copy of our earnings release and accompanying presentation is available on the investors section of the company's website at thesimplygoodfoodscompany.com.
- •Due to the company's asset light business model, we evaluate our performance on an adjusted basis as it relates to EBITDA and diluted EPS.
- •Our second quarter net sales of $326 million and adjusted EBITDA of $55.5 million were both well below our expectations.
- •Our fiscal year 2026 guidance now calls for net sales in the range of $1.31 billion-$1.35 billion and adjusted EBITDA of $217 billion-$225 million.
- •I believe Simply Good Foods can return to delivering the durable long-term growth that you would expect from a leading nutrition company.
- •With that perspective, I'll turn the call over to Chris, who will provide more details on this quarter's results and our updated outlook for the year.
- •After Chris is finished, I'll return to discuss how we plan to get our performance back on track.
- •Quest consumption grew 2.4% as bars were impacted by softer baseline velocities.
- •Salty grew 14% in the quarter, although this represented a deceleration from Q1.
- •Gross margin was 31.6%, a decline of 460 basis points versus prior year, largely reflecting higher input costs and some one-time effects from actions taken to mitigate OWYN product quality issues.
- •Gross margin was 32.8%, a 350 basis point decline versus the same period last year.
SourcesCompany financials · earnings call
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