J & J Snack Foods (JJSF) Q4 2025 earnings summary

Executive summary

• Q4 net sales declined 3.9% year-over-year to $410.2 million, with full-year sales up 0.5% to $1.58 billion.

• Adjusted EBITDA for Q4 was $57.4 million, down 4% year-over-year; full-year adjusted EBITDA reached $180.9 million.

• Pretzel sales grew in both retail and food service, offsetting declines in frozen novelties and beverages.

• Initiated a business transformation program, including plant consolidation, with $24 million in non-recurring Q4 charges.

• Ended the year with $106 million in cash and no debt, positioning for share repurchases and future growth.

Financial highlights

• Q4 adjusted operating income was $37.7 million, down from $42 million year-over-year; Q4 operating income dropped 71% to $11.5 million.

• Q4 adjusted EBITDA was $57.4 million versus $59.7 million last year; adjusted EPS was $1.58, nearly flat year-over-year.

• Full-year adjusted operating income was $108.2 million, down from $130.4 million; full-year adjusted EPS was $4.27, down from $4.93.

• Q4 gross profit was $130.2 million, down 4% year-over-year; gross margin held steady at 31.7%.

• Q4 net earnings fell 62% to $11.4 million; full-year net earnings declined 24% to $65.6 million.

Outlook and guidance

• Project Apollo, a business transformation program, is expected to deliver at least $20 million in annualized operating income savings by 2026.

• Plant closures and network consolidation to yield $15 million in annualized savings by Q2 2026, with additional $3 million from distribution initiatives.

• Several major commercial programs and a robust innovation pipeline are planned for fiscal 2026, focusing on better-for-you products.

• Additional $3 million–$5 million in non-recurring charges anticipated in fiscal 2026 related to transformation initiatives.

• Share repurchase activity to accelerate in 2026, with $42 million remaining on authorization.