Financial Data and Key Metrics Changes - Revenue for Q3 fiscal 2026 increased by 50% to $47.3 million compared to $31.5 million in the same quarter last year, driven by the acquisition of Crown One and robust growth in the legacy business [21][22]. - Gross profit rose by 56.6% to $11.1 million, representing 23.6% of total revenues, up from 22.6% in the prior year [21][22]. - Net income increased by 31.7% to $0.5 million, or $0.01 per diluted share, compared to $0.4 million in the same year-ago quarter [24]. - Adjusted EBITDA surged by 118% to $3.8 million for Q3 fiscal 2026, compared to $1.7 million in the same year-ago quarter [24]. Business Line Data and Key Metrics Changes - The acquisition of the Bayshore facility is expected to enhance production capabilities and operational efficiency, contributing to the overall growth strategy [6][9]. - The company has successfully centralized 100% of Bayshore's procurement, leading to significant cost reductions in beef and improved gross margins [9][11]. Market Data and Key Metrics Changes - The grocery deli segment is becoming increasingly competitive, with a noted shift of consumers opting for deli-prepared foods over restaurant meals, which has more than doubled since 2017 [10]. - The overall retail food service segment has grown to over $52 billion, indicating a favorable market environment for the company's offerings [10]. Company Strategy and Development Direction - The company aims to elevate Bayshore's margin profile and integrate workflows across its facilities to unlock synergy opportunities [28]. - The focus remains on executing the Bayshore integration while exploring additional acquisition opportunities that align with the company's strategic framework [20]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's operational model and consumer demand for deli-prepared foods, highlighting a strong pipeline with tier-one retailers [29]. - The company is optimistic about its growth trajectory, supported by recent acquisitions and strategic partnerships [20][29]. Other Important Information - The company has been recognized by Forbes and TIME as one of the most successful small-cap companies and growth leaders in 2026, respectively [29]. - The transition to a make-to-stock organization is expected to improve service levels and operational efficiency [66]. Q&A Session Summary Question: Progress on AIC front - Management highlighted ongoing efforts to drive AIC (Average Item Count) with new items being introduced at existing customers, emphasizing the importance of increasing velocities [32][33]. Question: Sell-through and visibility initiatives for Costco - Management confirmed that products are already shipping and discussed various marketing initiatives to enhance visibility and awareness, including partnerships with Instacart and Walmart [36][39]. Question: Locking in chicken prices for 2026 - Management indicated that the acquisition has significantly increased chicken needs, allowing for better pricing negotiations and improved visibility in the supply chain [40][42]. Question: SKU rationalization of Crown products - Management confirmed that SKU rationalization is underway, focusing on gross margin optimization and customer relationships before making decisions [50][53]. Question: Trade promotion levels and Crown integration impact - Management noted that Crown's products have low trade rates, which may lower overall trade promotion levels, but emphasized the importance of high ROI in trade spending [55][56].

Financial Data and Key Metrics Changes - Revenue for Q3 fiscal 2026 increased 50% to $47.3 million compared to $31.5 million in the same year-ago quarter, driven by the acquisition of Crown One and robust growth in the legacy business [22] - Gross profit increased 56.6% to $11.1 million, representing 23.6% of total revenues, up from 22.6% in the prior year [22][23] - Net income rose 31.7% to $0.5 million, or $0.01 per diluted share, compared to $0.4 million in the same year-ago quarter [25] - Adjusted EBITDA increased 118% to $3.8 million for Q3 fiscal 2026, compared to $1.7 million in the same year-ago quarter [25] Business Line Data and Key Metrics Changes - The acquisition of the Bayshore facility is expected to enhance production capabilities and operational efficiency, contributing to the company's long-term revenue goals [5][9] - The grocery deli segment is highlighted as a key growth area, with fully cooked meats growing 4.8% over the past year, indicating strong demand for deli-prepared foods [10] Market Data and Key Metrics Changes - The overall retail food service segment has grown to over $52 billion, with consumers increasingly opting for deli-prepared foods over restaurant meals [10] - Industry data shows that the share of shoppers replacing restaurant meals with deli-prepared foods has more than doubled since 2017 [10] Company Strategy and Development Direction - The company is focused on integrating the Bayshore facility and optimizing its operations across three locations to enhance efficiency and reduce costs [27] - The strategic pillars include Cost, Controls, Culture, and Catapult, aimed at driving profitable growth and market share gains [11][16] - The company is actively pursuing additional acquisition opportunities that align with its disciplined framework [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of consumer demand for deli-prepared foods and the company's ability to capitalize on this trend [20][28] - The integration of the Bayshore facility is progressing well, with expectations to enhance gross margins and operational synergies [27][55] Other Important Information - The company has centralized procurement across its facilities, leading to significant cost reductions, particularly in beef and chicken [9][11] - Marketing efforts have resulted in over 24 million impressions in Q3, with a double-digit return on advertising spend [19] Q&A Session Summary Question: Progress on AIC front - Management highlighted ongoing efforts to increase item offerings at existing customers, with new products being introduced at Publix and Fresh Market [30][31] Question: Sell-through and visibility initiatives for Costco - The product is already shipping, and marketing initiatives on platforms like Instacart are driving awareness and sales [33][34] Question: Locking in chicken pricing for 2026 - Management noted that the acquisition has doubled chicken needs, allowing for better pricing negotiations and visibility in the supply chain [36][38] Question: SKU rationalization of Crown products - The team is in the early stages of identifying SKUs for rationalization, focusing on gross margin optimization [40][41] Question: Trade promotion levels moving forward - Management aims to maintain high ROI on trade promotions, with a focus on efficiency rather than just increasing spend [43][44] Question: Breakdown of organic growth between volume and pricing - Approximately 80% of organic growth was volume-driven, with 20% attributed to pricing adjustments [46][47] Question: Transition to a make-to-stock organization - The transition is progressing well, with improved service levels and inventory management [48][49] Question: Crown's gross margin expectations - Management expects Crown's gross margin to improve to the mid-20% range over the next year, with ongoing improvements in the legacy business as well [52][53]

Financial Performance - Revenues for Q3 FY2026 increased 50.0% to $47.3 million, compared to $31.5 million in Q3 FY2025[2] - Gross profit rose 56.6% to $11.1 million, representing 23.6% of total revenues, up from 22.6% in the prior year[10] - Net income increased 31.7% to $0.5 million, or $0.01 per diluted share, compared to $0.4 million in the same quarter last year[12] - Adjusted EBITDA surged 118.0% to $3.8 million, compared to $1.7 million in Q3 FY2025[12] - Net sales for the three months ended October 31, 2025, were $47,269,000, a 50% increase from $31,523,000 in the same period of 2024[27] - Gross profit for the nine months ended October 31, 2025, was $29,091,000, representing a 35.5% increase compared to $21,455,000 in 2024[27] - Net income for the nine months ended October 31, 2025, was $3,054,000, a 44.8% increase from $2,111,000 in 2024[29] - The company reported a basic net income per share of $0.08 for the nine months ended October 31, 2025, compared to $0.06 in 2024[27] Cash and Assets - Cash and cash equivalents grew to $18.1 million as of October 31, 2025, up from $7.2 million as of January 31, 2025[13] - Cash and cash equivalents increased to $18,068,000 as of October 31, 2025, from $7,150,000 at the beginning of the period[29] - Total assets as of October 31, 2025, were $84,034,000, compared to $47,062,000 as of January 31, 2025[24] - Total liabilities increased to $34,436,000 as of October 31, 2025, from $22,166,000 as of January 31, 2025[24] Operating Expenses - Operating expenses totaled $10.3 million, with a percentage of revenue increasing to 21.8% from 20.8% in the prior year[11] - Operating expenses for the three months ended October 31, 2025, totaled $10,313,000, up from $6,550,000 in 2024, reflecting a 57% increase[27] - Research and development expenses for the nine months ended October 31, 2025, were $208,000, down from $352,000 in 2024[27] Strategic Goals and Acquisitions - The acquisition of Crown 1 added $56.8 million in revenue based on the 12 months ended June 28, 2025[4] - The company incurred $17,500,000 for the acquisition of Crown I Enterprises, Inc.[29] - The strategic goal is to become a $1 billion deli prepared foods company, focusing on integration and capital allocation[8] Market Expansion and Product Development - The company secured new placements at Target and Food Lion, with shipments expected to begin in February and later this month, respectively[4] - New product launches are expected to contribute an additional $10 billion in revenue next fiscal year[30] - The company plans to expand its market presence in Asia, targeting a 15% growth in that region[30] - The company is investing $1 billion in research and development for new technologies[30] Customer and Operational Insights - Customer satisfaction ratings improved by 10% due to recent service enhancements[30] - The company aims to reduce operational costs by 5% through efficiency measures[30] - Management aims to lift consolidated corporate gross margins from the low-20% range to the mid-20% range over the next year[6] Future Guidance - Future guidance estimates revenue growth of 8% for the next quarter[30] - The company achieved a year-over-year growth of 5% in total revenue[30] - User data indicates an increase in active devices, reaching 1.5 billion globally[30] - The company has completed two strategic acquisitions to enhance its product offerings[30]

Financial Performance - Net sales increased by approximately 50% to $47.3 million for the three months ended October 31, 2025, compared to $31.5 million for the same period in 2024, primarily due to the acquisition of Crown 1, which contributed approximately $10.0 million in net sales[129] - For the nine months ended October 31, 2025, net sales increased by approximately 31% to $117.7 million from $89.7 million in the same period in 2024, with the Crown 1 acquisition contributing approximately $10.0 million[135] - The company reported net income of approximately $3.1 million for the nine months ended October 31, 2025, compared to $2.1 million for the same period in 2024[134] Cost and Expenses - Costs of sales rose by approximately 48% to $36.1 million, or 76% of net sales, during the three months ended October 31, 2025, compared to $24.4 million, or 77% of net sales, in the prior year[130] - Operating expenses increased by approximately $6.5 million for the nine months ended October 31, 2025, primarily due to payroll, professional fees, and advertising expenses[139] - Gross profit margin improved to 24% for the three months ended October 31, 2025, compared to 23% for the same period in 2024, driven by operational efficiencies[131] Cash Flow and Working Capital - Net cash provided by operating activities for the nine months ended October 31, 2025, was approximately $8.2 million, up from $6.0 million in the same period in 2024[143] - Net cash used in investing activities for the nine months ended October 31, 2025, was approximately $18.7 million, primarily for the purchase of Crown 1 and fixed assets[145] - Net cash provided by financing activities for the nine months ended October 31, 2025, was approximately $21.5 million, consisting of net proceeds from the sale of common stock and proceeds from the Crown Note[147] - Working capital increased to approximately $18.8 million as of October 31, 2025, compared to $4.9 million as of January 31, 2025, primarily due to an increase in cash and cash equivalents[141] Debt and Financing - As of October 31, 2025, the company had approximately $5.9 million outstanding under its Term Loan Agreement with M&T Bank, with a maturity date of October 1, 2030[149] - The outstanding balance of the T&L Note was approximately $0 as of October 31, 2025, compared to $2.9 million as of January 31, 2025[154] - The company believes its cash resources will be sufficient to meet cash requirements for at least the next twelve months, but may require additional funding for growth or strategic objectives[150] Sensitivity Analysis - A 1% change in the effective interest rate applied to the T&L Note would result in a pre-tax interest expense fluctuation of approximately $59 thousand on an annualized basis[154] - A 1.0% increase in commodity prices would negatively impact costs of sales by approximately $945 thousand on an annualized basis[156]

Core Insights - Mama's Creations, Inc. reported a 50% year-over-year revenue growth to $47.3 million for the third quarter ended October 31, 2025, driven by strong organic sales and the integration of the Crown 1 asset acquisition [1][9]. Financial Performance - Revenues increased to $47.3 million in Q3 2025 from $31.5 million in Q3 2024, marking a 50% increase [2][9]. - Gross profit rose by 56.6% to $11.1 million, representing 23.6% of total revenues, compared to 22.6% in the previous year [2][10]. - Operating expenses increased to $10.3 million, up 57.5% from $6.6 million, with operating expenses as a percentage of revenue rising to 21.8% from 20.8% [2][11]. - Net income for the quarter was $0.5 million, a 31.7% increase from $0.4 million, with earnings per share remaining at $0.01 [2][12]. - Adjusted EBITDA surged 118.0% to $3.8 million compared to $1.7 million in the same quarter last year [2][12]. Acquisition and Integration - The company acquired Crown I Enterprises for $17.5 million, funded through a $20 million private placement and a $27.4 million credit facility [5]. - The acquisition is expected to add $56.8 million in revenue based on the 12 months ended June 28, 2025, and provides new operational capabilities and cross-selling opportunities [5][6]. - Management anticipates improving the gross margins of the acquired Crown 1 business from the low-20% range to the mid-20% range over the next year [6]. Strategic Developments - The company secured new placements at major retailers such as Target and Food Lion, with shipments expected to begin in February and later this month, respectively [5][7]. - The company aims to become a $1 billion deli prepared foods company, focusing on integration and capital allocation discipline [8]. Cash Position - Cash and cash equivalents increased to $18.1 million as of October 31, 2025, up from $7.2 million as of January 31, 2025, due to improved profitability and working capital optimization [13].

Core Insights - Mama's Creations, Inc. specializes in manufacturing and marketing prepared refrigerated foods in the United States, offering products like meatballs, meat loaf, and pasta entrees [1] - The consensus price target for Mama's Creations has increased from $14.67 to $18 over the past year, indicating growing analyst confidence, although one analyst has a more conservative target of $10 [2] - Recent acquisitions, particularly the purchase of Crown I Enterprises, are expected to enhance production capabilities and expand the customer base, contributing to increased revenue and operational efficiencies [3] - The company reported a 24% increase in sales in the second quarter, driven by efficiency gains, and a 14.4% surge in share price reflects positive market sentiment [4][6] - The upcoming third-quarter earnings report on December 8 will be closely monitored for updates on financial performance and strategic direction [5]

Core Viewpoint - Mama's Creations, Inc. is expected to report a quarterly loss for Q3, contrasting with a profit from the previous year, while revenue is anticipated to increase significantly [1]. Financial Performance - The company is projected to report a loss of $0.01 per share for Q3, compared to a profit of $0.01 per share in the same quarter last year [1]. - The consensus estimate for quarterly revenue is $43.21 million, which represents a growth from $31.52 million a year earlier [1]. Stock Performance - Following the release of in-line earnings for Q2, shares of Mama's Creations rose by 0.1%, closing at $11.68 [2]. Analyst Ratings - DA Davidson analyst Brian Holland has maintained a Buy rating with a price target of $18, with an accuracy rate of 56% [4]. - Roth Capital analyst George Kelly also maintained a Buy rating, increasing the price target from $10 to $13, with an accuracy rate of 66% [4].

Core Insights - Mama's Creations, Inc. will release its financial results for the fiscal third quarter ended September 30, 2025, after market close on December 8, 2025 [1] - The company aims to become a $1 billion deli prepared foods company by 2030, with a current revenue run-rate approaching $200 million following the acquisition of Crown 1 [4] Financial Results Announcement - The financial results will be discussed in an investor conference call scheduled for December 8, 2025, at 4:30 p.m. Eastern time [2] - Participants can join the call using specific dial-in information provided [2] Business Performance and Strategy - The company has demonstrated its ability to profitably scale the business, outpacing its category significantly [3] - The acquisition of Crown 1 is seen as a strategic move to enhance operational capabilities, drive cost synergies, and create cross-selling opportunities [3][4] - Mama's Creations is focused on seamless integration of Crown and expanding its presence with tier-1 national retailers [4] Company Overview - Mama's Creations, Inc. is a leading marketer and manufacturer of fresh deli prepared foods, available in over 12,000 retail locations across the U.S. [5] - The company aims to leverage vertical integration and a diverse brand portfolio to meet modern consumer demands [5]

Core Insights - Mama's Creations, Inc. will release its financial results for the fiscal third quarter ended September 30, 2025, after market close on December 8, 2025 [1] - The company aims to become a $1 billion deli prepared foods company by 2030, with a current revenue run-rate approaching $200 million following the acquisition of Crown 1 [4] Financial Results Announcement - The financial results will be discussed in an investor conference call scheduled for December 8, 2025, at 4:30 p.m. Eastern time [2] - Participants can join the call using specific dial-in numbers and a conference ID [2] Business Performance and Strategy - The company has demonstrated its ability to profitably scale the business, outpacing its category significantly [3] - The acquisition of Crown 1 is seen as a strategic move to enhance operational capabilities, drive cost synergies, and create cross-selling opportunities [3][4] - Mama's Creations is focused on seamless integration of Crown and expanding its presence with tier-1 national retailers [4] Company Overview - Mama's Creations, Inc. is a leading marketer and manufacturer of fresh deli prepared foods, available in over 12,000 retail locations across the U.S. [5] - The company aims to leverage vertical integration and a diverse brand portfolio to meet modern consumer demands [5]

Group 1 - The investment thesis for Mama's Creations (MAMA) is based on its potential for rapid growth through acquisitions and expanding partnerships with grocery stores [1] - Mama's Creations specializes in private-label prepared foods, including frozen and refrigerated products [1]