Financial Performance - Net sales for the first quarter decreased by 5.2% year-over-year to $343.8 million, primarily due to a decline in the bakery business and strategic portfolio rationalization efforts [2][4]. - Gross profit increased to $96.0 million, with a gross margin improvement from 25.9% to 27.9%, reflecting early benefits from Project Apollo initiatives [5]. - Operating income was $0.6 million, a significant decline of 89.8% compared to the prior year quarter, while adjusted operating income was $8.0 million, down 2.4% year-over-year [2][7]. - Net earnings fell to $0.9 million, representing an 82.8% decrease from the previous year, with earnings per diluted share at $0.05, down from $0.26 [2][7]. - Adjusted EBITDA grew by 7.0% year-over-year to $27.0 million, indicating improved operational efficiency despite declining sales [2][3]. Segment Performance - The Food Service segment experienced an 8.3% decline in net sales, while the Retail Supermarket segment saw a 2.6% increase [4][10]. - The pretzel business continued to show growth, with sales increasing approximately 6.9%, driven by share gains from Bavarian formula pretzels [10]. Cost and Expenses - Selling and marketing expenses rose by 9.9% to $31.5 million, attributed to higher commissions and investments for the peak summer season [10]. - The company incurred a plant closure expense of $6,113 thousand during the three months ended December 27, 2025 [26]. Shareholder Actions - The company announced a new $50 million share repurchase authorization, reflecting confidence in long-term value and a strong balance sheet [3][12]. - Payments to repurchase common stock amounted to $42,000 thousand during the financing activities for the period [24]. Asset and Cash Management - Total assets decreased from $1,381,501 thousand as of September 27, 2025, to $1,313,274 thousand as of December 27, 2025, representing a decline of approximately 4.9% [22]. - Cash and cash equivalents decreased from $105,893 thousand at the beginning of the period to $66,761 thousand at the end, a decline of 37.0% [24]. - The company reported a decrease in accounts receivable, with a net reduction of $22,872 thousand for the three months ended December 27, 2025 [24]. Project Initiatives - The company is on track to achieve $20 million in annualized savings from its Project Apollo business transformation program [3].

Announces new $50 million share repurchase authorizationMOUNT LAUREL, N.J., Feb. 03, 2026 (GLOBE NEWSWIRE) -- J & J Snack Foods Corp. (Nasdaq: JJSF) today reported financial results for the first quarter ended December 27, 2025. First QuarterActuals$ v. LY% v. LYNet Sales$343.8M$(18.8M)(5.2%)<td style="border-top: solid black 1pt ; border-right: solid black 1pt ; border ...

Economic Overview - Consumer confidence in the U.S. has dropped to 84.5 in January, a decline of 9.7 points from the previous month, marking a 12-year low [5] - The percentage of consumers who believe jobs are "plentiful" has decreased to 23.9%, the lowest since February 2021, while 20.8% of respondents find jobs "hard to find," the highest since February 2021 [6] - The labor market has been struggling, with the unemployment rate remaining at 4.4% in December, indicating potential further increases in January due to low consumer confidence [7] - The Federal Reserve has kept interest rates unchanged amid high inflation, leading to uncertainty regarding its near-term monetary policy [8] Investment Recommendations - Investors are advised to focus on low-beta, defensive stocks from the utility, healthcare, and consumer staples sectors to mitigate market volatility [3][4] - Recommended stocks include Ameren Corporation (AEE), Fortis, Inc. (FTS), Cardinal Health, Inc. (CAH), and J&J Snack Foods Corp. (JJSF), all of which have a Zacks Rank of 1 (Strong Buy) or 2 (Buy) [3][10] Company Profiles - **Ameren Corporation (AEE)**: A utility company serving nearly 2.4 million electric and over 900,000 natural gas customers, with an expected earnings growth rate of 8.2% for the current year and a dividend yield of 2.75% [9][11] - **Fortis, Inc. (FTS)**: Engaged in electric and gas utility business, with an expected earnings growth rate of 5.4% for the current year and a dividend yield of 3.42% [12][13] - **Cardinal Health, Inc. (CAH)**: A major healthcare services provider serving nearly 90% of U.S. hospitals, with an expected earnings growth rate of 21.5% for the current year and a dividend yield of 0.95% [14][15] - **J&J Snack Foods Corp. (JJSF)**: Manufacturer and distributor of branded snack foods, with an expected earnings growth rate of 4.5% for the current year and a dividend yield of 3.37% [16][17]

Core Insights - The article discusses the impact of ongoing inflation on the Federal Reserve's monetary policy and suggests focusing on low-beta defensive stocks to navigate market volatility [2][3][10] Economic Context - Inflation has risen, with the personal consumption expenditure (PCE) index increasing by 2.8% year-over-year in November, moving further away from the Federal Reserve's 2% target [6][8] - Personal income growth has slowed, with increases of 0.1% in October and 0.3% in November, below analysts' expectations [9] Investment Recommendations - Investors are advised to consider low-beta defensive stocks, particularly in the utility and consumer staples sectors, to mitigate market fluctuations [4][5] - Featured stocks include: - **Ameren Corp. (AEE)**: Expected earnings growth rate of 8.2%, Zacks Rank 2, beta of 0.58, dividend yield of 2.78% [12][13] - **Fortis, Inc. (FTS)**: Expected earnings growth rate of 4.2%, Zacks Rank 2, beta of 0.50, dividend yield of 3.46% [14][15] - **ONE Gas, Inc. (OGS)**: Expected earnings growth rate of 11.8%, Zacks Rank 2, beta of 0.81, dividend yield of 3.47% [16] - **Hormel Foods Corp. (HRL)**: Expected earnings growth rate of 6.6%, Zacks Rank 2, beta of 0.33, dividend yield of 4.76% [17] - **J&J Snack Foods Corp. (JJSF)**: Expected earnings growth rate of 4.5%, Zacks Rank 2, beta of 0.34, dividend yield of 3.43% [18][19]

Exec Edge hosted a fireside chat at the ICR Conference 2026 with Dan Fachner, Chief Executive Officer, President and Chairman at J&J Snack Foods Corp. (Nasdaq: JJSF). The in-person interview was joined by Editor-at-Large Jarrett Banks, and they discussed the company’s more than 30 strategic acquisitions including the Dippin’ Dots acquisition, how J&J is positioning itself for improved margins and long-term growth, among other topics. About Dan Fachner Dan Fachner has been President and Chief Executive Off ...

Group 1 - J & J Snack Foods Corp. will release its financial results for the fiscal first quarter ended December 27, 2025, on February 3, 2026, before the stock market opens [1] - A conference call and webcast to discuss the results will take place at 10:00 a.m. Eastern Time on the same day [1] - Investors can pre-register for the live call to receive the necessary dial-in number and personal PIN [2] Group 2 - J & J Snack Foods Corp. is a leader and innovator in the snack food and frozen beverage industry, with over fifty years of experience [3] - The company specializes in various snack and beverage brands, including SUPERPRETZEL, ICEE, SLUSH PUPPIE, and Dippin' Dots [3] - The brand portfolio also features LUIGI'S Real Italian Ice, MINUTE MAID frozen ices, WHOLE FRUIT frozen fruit bars, and other products [3]

Core Viewpoint - J&J Snack Foods Corp. (JJSF) is highlighted as a strong investment opportunity with a Zacks Rank 1 and a notable increase in earnings estimates, making it attractive for investors [1] Financial Performance - The Zacks Consensus Estimate for J&J Snack Foods' current year earnings has increased by 6.5% over the last 60 days [1] - The company's price-to-earnings ratio (P/E) stands at 20.38, which is lower than the S&P's P/E of 25.45, indicating a potentially undervalued stock [1] Value Characteristics - J&J Snack Foods possesses a Value Score of A, reflecting its strong value characteristics that may appeal to investors [1]

Core Insights - Investors are gravitating towards safer, low-beta stocks due to anticipated market uncertainty [1] - Companies are increasingly utilizing complex borrowing methods for funding data center projects, contributing to market nervousness [1] Stock Recommendations - Suggested low-beta stocks include J & J Snack Foods Corp. (JJSF), USA Compression Partners, LP (USAC), Natural Gas Services Group, Inc. (NGS), and The Vita Coco Company, Inc. (COCO) [2] Stock Characteristics - Beta measures the volatility of a stock relative to the market, with a beta of less than 1 indicating lower volatility [3][4] - A beta range of 0 to 0.6 is used as a screening criterion for less volatile stocks [5] Screening Criteria - Stocks must have a positive price change over the last four weeks [5] - Average 20-day trading volume should exceed 50,000 [6] - Stock price must be at least $5 [6] - Zacks Rank of 1 indicates strong buy potential [6] Company Profiles - **J & J Snack Foods**: Strong balance sheet, negligible debt, focused on capital return to shareholders, and plans to accelerate stock repurchases [7] - **USA Compression Partners**: Positioned to benefit from rising demand for cleaner fuels and LNG exports, with plans to add new equipment by year-end [8][9] - **Natural Gas Services**: Benefits from increased LNG exports, leading to higher demand for compression equipment [10] - **The Vita Coco Company**: Leading producer of coconut water, experiencing strong demand growth across regions [11]

Core Viewpoint - J&J Snack Foods Corp. is identified as a strong dividend stock with a potential upside of 21% based on average price targets, and up to 43% according to the highest estimates from analysts [1][2]. Financial Performance - For Q4 FY25, J&J Snack Foods reported net sales of $410.2 million, reflecting a year-over-year decline of 3.9%. The Frozen Beverage segment experienced a significant drop, contributing to over 50% of the sales decrease [2]. - The company's operating income for Q4 was $11.5 million, down from $39.8 million in the same quarter of the previous year. Diluted EPS was reported at $0.58, compared to $1.52 in the same quarter last year [2]. Dividend Announcement - On November 20, J&J Snack Foods announced a quarterly dividend of $0.80 per share, payable on January 6, 2026, to shareholders recorded by December 16, 2025 [3]. Strategic Initiatives - The company is launching several major commercial programs in fiscal 2026 and has a robust innovation pipeline focused on healthier product attributes. A comprehensive business transformation program is expected to generate at least $20 million in annualized operating income once fully implemented [3]. - The ongoing plant consolidation has led to approximately $24 million in non-recurring charges in Q4. The company maintains a strong balance sheet with $106 million in cash and no debt, positioning it well for sustainable growth [3]. Product Range - J&J Snack Foods manufactures and sells a variety of snacks and frozen drinks across the United States, Mexico, and Canada, including soft pretzels, frozen treats, churros, baked goods, handheld snacks, and ICEE beverages [3].

Core Insights - J&J Snack Foods reported a mixed Q4 earnings report, beating adjusted EPS but missing on revenue and EPS [2][3] - The company announced cost-cutting measures, including the consolidation of factories under Project Apollo, which has led to job losses [5][6][7] - Despite softer sales in some segments, the company expressed optimism about future growth and new product launches [4][10] Financial Performance - The company experienced softer sales compared to the previous year, particularly due to strong comparisons from blockbuster movies in July [3] - The pretzel segment showed strong performance, with an 8% increase in sales for the Super Pretzel brand in the last quarter [9] Strategic Initiatives - Project Apollo is a key transformational initiative involving the consolidation of three plants to improve efficiency and reduce costs [5][7] - The company has invested in new production lines and distribution systems to support this consolidation [7] Product Development - J&J Snack Foods is focusing on health-conscious products, including a protein-enriched pretzel and innovations in the Luigi's Italian Ice brand [10][11] - The company is responding to consumer trends by developing products that cater to health and wellness, such as bite-sized snacks [20] Market Conditions - The retail sector is a concern for the company, as consumers are feeling the effects of inflation and "shrinkflation" [16][18] - Tariffs on key ingredients like chocolate and palm oil are being monitored, with potential relief expected from the government [19][20]