J & J Snack Foods | 10-K: FY2025 Revenue Misses Estimate at USD 1.583 B

Revenue: As of FY2025, the actual value is USD 1.583 B, missing the estimate of USD 1.59 B.

EPS: As of FY2025, the actual value is USD 3.36, missing the estimate of USD 4.065.

EBIT: As of FY2025, the actual value is USD 82.22 M.

Food Service Segment

• Net Sales: $1,001.4 million, an increase of 1.6% from the previous year.
• Operating Income: $64.8 million, a decrease of 12.7% from the previous year.
• Key Products: Soft pretzels sales increased by 3.5% to $230.1 million; frozen novelties sales increased by 1.3% to $149.9 million; churros sales decreased by 14.4% to $97.9 million; handhelds sales increased by 6.9% to $92.0 million; bakery sales increased by 4.9% to $405.9 million.

Retail Supermarkets Segment

• Net Sales: $213.8 million, a decrease of 3.4% from the previous year.
• Operating Income: $13.3 million, a decrease of 30.6% from the previous year.
• Key Products: Soft pretzels sales remained flat at $61.7 million; frozen novelties sales decreased by 1.7% to $110.3 million; biscuits sales decreased by 4.6% to $23.1 million; handhelds sales decreased by 17.8% to $21.6 million.

Frozen Beverages Segment

• Net Sales: $368.0 million, a slight decrease of 0.1% from the previous year.
• Operating Income: $49.5 million, a decrease of 6.5% from the previous year.
• Key Products: Beverage sales decreased by 4.7% to $219.3 million; repair and maintenance service revenue increased by 0.8% to $97.4 million; machines revenue increased by 25.2% to $47.8 million.

Cash Flow

• Net Cash Provided by Operating Activities: $165.1 million, a decrease from $173.1 million in the previous year.
• Net Cash Used in Investing Activities: - $70.1 million, compared to - $77.7 million in the previous year.
• Net Cash Used in Financing Activities: - $64.7 million, compared to - $68.4 million in the previous year.

Outlook / Guidance

• The company anticipates operational improvements and growth opportunities across various channels and customers, including the strategic supply chain transformation and the addition of new production lines.
• Project Apollo is expected to generate at least $20 million of run-rate operating income by fiscal 2026, focusing on manufacturing network optimization and production repositioning.
• The company expects to incur non-recurring costs related to manufacturing network optimization into fiscal 2026.