Nathan's Famous Q4 Profit Drops, Adj. EBITDA Rises, Merger With Smithfield Foods To Close In H2

On Tuesday, restaurant chain Nathan's Famous, Inc. (NATH), which is in $450 million deal to be merged with Smithfield Foods inc., reported lower profit in the fourth quarter of 2026. Meanwhile, adjusted EBITDA reported a steady growth in the same quarter.

Net income for the fourth quarter dropped to $2.81 million from $4.24 million in the same quarter last year. Earnings per share went down to $0.68 from $1.03 in the previous year.

Adjusted EBITDA, however, rose to $7.59 million from $7.10 million in the same quarter in 2025.

Total revenue went up to $35.07 million from $30.79 million in the prior year.

Furthermore, the Board of Directors of the company, as permitted under the Merger Agreement, declared its quarterly cash dividend of $0.50 per share, which is payable on June 30, to the shareholders at the close of the business on June 22.

Regarding its planned merger with with Smithfield Foods and Boardwalk Merger Sub Inc., the company noted that the anticipated closing timeline has shifted, and the transaction is now expected to close in the second half of 2026. Previously, the deal was expected to close in the first half of 2026.

Following the deal, Nathan's will become a privately-held company.

On the Nasdaq, the pre-market shares were trading 1.56 percent lower at $100.69, after closing Monday's regular trading at 0.44 percent higher.

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