FORT WORTH, Texas, Feb. 06, 2026 (GLOBE NEWSWIRE) -- Farmer Brothers Coffee Co. (NASDAQ: FARM), a leading roaster, wholesaler and distributor of coffee, tea and allied products, announced today it will publish its second quarter 2026 financial results for the period ended Dec. 31, 2025 with the filing of its 10-Q and the issuing of its earnings results release, both of which will be posted on the Investor Relations section of its website after the close of market on Friday, Feb. 13. The company will also ho ...

Core Viewpoint - Deveron Corp. has successfully held a special meeting of shareholders where all proposed resolutions were approved, marking significant changes for the company, including a major asset sale and a name change [1][2][3][4][5][6]. Group 1: Approval of Key Resolutions - Shareholders approved the sale of substantially all of the company's assets, with 97.922% of shareholders in favor, and 97.542% of minority shareholders supporting the resolution [2]. - A name change from "Deveron Corp." to "Finis Holdings Inc." was approved by 97.921% of shareholders present [3]. - The delisting of the company's common shares from the TSX Venture Exchange received approval from 97.922% of shareholders and 97.361% of minority shareholders [4]. - Shareholders approved the application to cease being a reporting issuer, with 97.922% in favor [5]. - A resolution for the voluntary winding up of the company was approved by 97.922% of shareholders and 97.542% of minority shareholders [6]. Group 2: Transaction and Future Outlook - The completion of the asset sale transaction is subject to the satisfaction of all conditions precedent, with an anticipated closing date around January 15, 2026 [7].

Core Points - The company has filed its Form 10-Q and released its first quarter results for Fiscal Year 2026, which are accessible on its Investor Relations website [2] - The financial information presented during the call is unaudited, and management's remarks may include forward-looking statements that should not be relied upon for future expectations [3] - Management will reference non-GAAP financial measures such as adjusted EBITDA and adjusted EBITDA margin to assess operating performance, with reconciliations provided in the company's release and SEC filings [4]

Core Insights - Farmer Brothers reported a quarterly loss of $0.19 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.09, marking an earnings surprise of -111.11% [1] - The company's revenues for the quarter ended September 2025 were $81.6 million, missing the Zacks Consensus Estimate by 4.34% and down from $85.07 million a year ago [2] - Farmer Brothers has underperformed the market, with shares down about 2.2% year-to-date compared to the S&P 500's gain of 15.6% [3] Financial Performance - Over the last four quarters, Farmer Brothers has surpassed consensus EPS estimates two times [2] - The current consensus EPS estimate for the upcoming quarter is -$0.09 on revenues of $91.5 million, and for the current fiscal year, it is -$0.44 on revenues of $354.5 million [7] Industry Context - The Food - Natural Foods Products industry, to which Farmer Brothers belongs, is currently in the bottom 8% of over 250 Zacks industries, indicating a challenging environment [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Farmer Brothers' stock performance [5][6]

Financial Data and Key Metrics Changes - Revenue decreased by 4% to $81.6 million compared to $85.1 million in the prior year period [4][11] - Adjusted EBITDA remained flat year-over-year at $1.4 million [4][11] - Gross margins were approximately 39.7%, a decline of about 400 basis points from the previous year [12] - Operating expenses decreased by $4.5 million to $35.6 million, representing 43.6% of net sales compared to 47.2% in the prior year [12] Business Line Data and Key Metrics Changes - The company is focusing on reenergizing its Direct Store Delivery (DSD) network through sales and operational initiatives [5] - There is a renewed focus on growing the white label customer portfolio, leveraging the Portland roasting and manufacturing facility [5][6] Market Data and Key Metrics Changes - The average price of a cup of coffee has increased by 20% compared to the previous year, impacting consumer spending [7] - The National Restaurant Association reported a decline in restaurant foot traffic for the seventh consecutive month, indicating a shift in consumer dining habits due to economic uncertainty [7] Company Strategy and Development Direction - The company aims to drive top-line revenue and address customer and coffee pound degradation in fiscal 2026 [4] - There is a commitment to leveraging core coffee capabilities and enhancing customer service while managing costs [14] - The company is working with industry organizations to seek exemptions from tariffs on coffee imports [10] Management's Comments on Operating Environment and Future Outlook - Management acknowledges significant challenges due to unprecedented green coffee market conditions and inflation impacting costs [11] - The company expects continued pressure on gross margins and revenue performance throughout fiscal 2026 [10][12] - Despite these challenges, management remains optimistic about creating shareholder value once market conditions improve [10][14] Other Important Information - The company recorded a net loss of $4 million for the quarter, an improvement from a $5 million net loss in the prior year [12] - As of September 30, 2025, the company had $3.8 million in unrestricted cash and $31.2 million available under its revolving credit facility [12] Q&A Session Summary - There were no questions during the Q&A session, and the call concluded without any inquiries [16]

Financial Performance - Net sales for the three months ended September 30, 2025, decreased by $3.5 million, or 4.1%, to $81.6 million compared to $85.1 million in the same period of 2024[110]. - Gross profit decreased to $32.4 million for the three months ended September 30, 2025, down from $37.3 million in the prior year, with gross margin declining to 39.7% from 43.9%[112]. - Net loss for the three months ended September 30, 2025, was $4.0 million, a 19.5% improvement from a net loss of $5.0 million in the same period of 2024[109]. - EBITDA improved by $0.7 million to a loss of $0.8 million for the three months ended September 30, 2025, compared to a loss of $1.4 million in the prior year[105]. - For the three months ended September 30, 2025, the company reported a net loss of $4.025 million, an improvement from a net loss of $5.002 million in the same period of 2024[123]. - Adjusted EBITDA for the three months ended September 30, 2025, was $1.364 million, compared to $1.417 million in 2024, with an Adjusted EBITDA Margin of 1.7% for both periods[124]. Operating Expenses - Operating expenses decreased by $4.5 million to $35.6 million, representing 43.6% of net sales, down from 47.2% in the prior year[113]. - Selling expenses decreased by $1.4 million, while general and administrative expenses decreased by $2.5 million in the three months ended September 30, 2025[113]. - Interest expense decreased by $0.5 million to $1.3 million for the three months ended September 30, 2025, primarily due to lower pension-related interest costs[115]. Sales and Pricing - Average unit price increased by 7.7% while unit sales decreased by 10.9% in the three months ended September 30, 2025, contributing to the overall decline in net sales[111]. - The company did not introduce any new product categories that materially impacted net sales during the three months ended September 30, 2025[111]. Cash Flow and Capital Expenditures - Net cash used in operating activities was $5.007 million for the three months ended September 30, 2025, a decrease of $7.5 million compared to net cash provided of $2.493 million in 2024[138]. - Total capital expenditures for the three months ended September 30, 2025, were $1.9 million, a decrease of 42.0% from $3.3 million in the prior year[105]. - Capital expenditures for the three months ended September 30, 2025, were $1.9 million, down from $3.3 million in the same period of 2024[141]. - The company anticipates paying between $9.0 million to $11.0 million in capital expenditures in fiscal 2026, financed through cash flows from operations and borrowings[141]. Inventory and Borrowings - The company had outstanding borrowings of $18.3 million on its Revolver Credit Facility as of September 30, 2025, with a weighted average interest rate of 6.15%[132]. - The company had committed to purchase green coffee inventory totaling $31.6 million under fixed-price contracts as of September 30, 2025[143]. - As of September 30, 2025, the company had $3.8 million in unrestricted cash and cash equivalents, and $31.2 million available on its Revolver Credit Facility[136]. Market Conditions - The company continues to monitor macroeconomic trends, including product cost inflation and tariff impacts, which may adversely affect net sales and profitability[130]. - The company operates a nationwide DSD network with over 200 delivery routes and over 90 storage locations as of September 30, 2025[129].

Financial Performance - Net sales for the first quarter of fiscal 2026 were $81.6 million, a decrease of $3.5 million, or 4.1%, compared to the first quarter of fiscal 2025[10] - Gross profit was $32.4 million, representing a gross margin of 39.7%, down from 43.9% in the same quarter last year[10] - The company reported a net loss of $4 million for the first quarter of fiscal 2026, an improvement from a net loss of $5 million in the first quarter of fiscal 2025[10] - Adjusted EBITDA remained flat at $1.4 million for both the first quarter of fiscal 2026 and the first quarter of fiscal 2025[10] - Operating expenses decreased to $35.6 million, or 43.6% of net sales, compared to $40.1 million, or 47.2%, in the first quarter of fiscal 2025[10] - Net loss for the three months ended September 30, 2025, was $4,025,000, an improvement from a net loss of $5,002,000 in the same period of 2024[20] - EBITDA for the same period was $(751,000), compared to $(1,408,000) in 2024, resulting in an EBITDA margin of (0.9)%[26] - Adjusted EBITDA for the three months ended September 30, 2025, was $1,364,000, consistent with an Adjusted EBITDA margin of 1.7%[28] Cash Flow and Assets - The company had $3.8 million in unrestricted cash and cash equivalents as of September 30, 2025[5] - Cash flows from operating activities showed a net cash used of $5,007,000, a decline from net cash provided of $2,493,000 in 2024[20] - Cash and cash equivalents at the end of the period were $3,999,000, down from $5,138,000 at the end of the same period in 2024[20] - The company experienced a net decrease in cash and cash equivalents of $2,975,000, compared to a decrease of $867,000 in the prior year[20] - As of September 30, 2025, total assets were $158.8 million, a decrease from $161.2 million as of June 30, 2025[18] Strategic Initiatives - Farmer Brothers announced a partnership with Eurest to open 50 Sum>One Coffee Roasters-branded cafes across the country[10] - The company maintained a focus on driving top-line revenue and customer growth in 2026 despite a challenging economic environment[3] - The company incurred $587,000 in strategic initiative costs during the quarter, which were not present in the previous year[28] Expenses - There was a nearly $4 million improvement in sales, general, and administrative (SG&A) expenses compared to the first quarter of fiscal 2025[10] - Depreciation and amortization expense for the quarter was $2,614,000, compared to $2,897,000 in 2024[26] - The company reported a net cash used in investing activities of $1,919,000, an improvement from $3,304,000 in the prior year[20] - Proceeds from credit facilities amounted to $4,000,000, compared to $3,000,000 in the same period of 2024[20]

Core Insights - Farmer Brothers Coffee Co. reported a net loss of $4 million for the first quarter of fiscal 2026, an improvement from a net loss of $5 million in the same period last year [8][14] - Net sales decreased by 4.1% year-over-year to $81.6 million, down from $85.1 million [8][14] - The gross margin decreased by 400 basis points year-over-year to 39.7%, compared to 43.9% in the first quarter of fiscal 2025 [8][14] Financial Performance - Adjusted EBITDA remained flat at $1.4 million for the first quarter of fiscal 2026, consistent with the previous year [8][14] - Operating expenses were reduced to $35.6 million, or 43.6% of net sales, down from $40.1 million, or 47.2% of net sales, in the first quarter of fiscal 2025 [8][14] - The company achieved a gross profit of $32.4 million in the first quarter of fiscal 2026, compared to $37.3 million in the same quarter of fiscal 2025 [8][14] Operational Highlights - The company realized a nearly $4 million improvement in sales, general, and administrative (SG&A) expenses compared to the first quarter of fiscal 2025 [8] - Farmer Brothers announced a partnership with Eurest to open 50 Sum>One Coffee Roasters-branded cafes across the country [8] - The company emphasized its focus on driving top-line revenue and customer growth in fiscal 2026 [3][8] Balance Sheet and Liquidity - As of September 30, 2025, Farmer Brothers had $3.8 million in unrestricted cash and cash equivalents, with an additional $31.2 million available under its revolving credit facility [5][8] - Total current assets amounted to $87.3 million, while total liabilities were reported at $118.8 million [16][17] Market Position - Farmer Brothers Coffee Co. is a national coffee roaster and distributor, serving a diverse range of customers including independent restaurants, foodservice operators, and large institutional buyers [9] - The company's product lines include organic, Direct Trade, and sustainably produced coffee, as well as tea and culinary products [9]

Core Insights - Farmer Brothers Coffee Co. will release its first quarter 2026 financial results on November 6, 2025, after market close [1] - An audio-only investor conference call will be held on the same day at 5 p.m. Eastern to discuss the quarterly results and provide a business update [2] Company Overview - Founded in 1912, Farmer Brothers Coffee Co. is a national coffee roaster, wholesaler, and distributor of coffee, tea, and culinary products [3] - The company offers a variety of products including organic, Direct Trade, and sustainably produced coffee, as well as tea and culinary mixes [3] - Farmer Brothers serves a diverse customer base, including independent restaurants, large institutional buyers, and grocery chains [4] Product and Service Offerings - The company provides extensive beverage planning services and culinary products to various U.S.-based customers [4] - Key brands under Farmer Brothers include Farmer Brothers, Boyd's Coffee, SUM>ONE Coffee Roasters, West Coast Coffee, Cain's, and China Mist [4]

Group 1 - The focus has shifted towards offshore drilling, supply industry, and shipping, including tankers, containers, and dry bulk [1] - The fuel cell industry is being monitored as it is still in its early stages of development [1] Group 2 - The individual has extensive experience in navigating significant market events such as the dotcom bubble, the aftermath of the World Trade Center attacks, and the subprime crisis [2] - The individual has a background in auditing with PricewaterhouseCoopers before transitioning to day trading [2]