Core Insights - The Simply Good Foods Company reported a net sales increase of 10.6% to $341.3 million for the first quarter ended November 30, 2024, primarily driven by the acquisition of OWYN [3][7] - The company reaffirmed its fiscal year 2025 outlook, expecting net sales growth of 8.5% to 10.5% and adjusted EBITDA growth of 4% to 6% [14][15] Financial Performance - Net income for the first quarter was $38.1 million, up from $35.6 million in the same period last year [6][7] - Adjusted EBITDA increased by 13.1% to $70.1 million compared to $62.0 million in the prior year [10][7] - Gross profit rose to $130.5 million, reflecting a gross margin of 38.2%, a 90 basis points increase year-over-year [5][7] Sales and Market Trends - Retail takeaway for Simply Good Foods increased by approximately 8%, with Quest and OWYN brands showing growth rates of about 10% and 67%, respectively [4][2] - Legacy Simply Good Foods' net sales remained stable compared to the previous year, impacted by shipment timing [3] Operating Expenses - Operating expenses totaled $75.9 million, an increase of $12.6 million from the previous year, largely due to the inclusion of OWYN and higher employee-related costs [8][7] - Selling and marketing expenses rose to $33.0 million, while general and administrative expenses increased to $38.1 million [8] Balance Sheet and Cash Flow - As of November 30, 2024, the company had cash of $121.8 million and a net debt to adjusted EBITDA ratio of 0.8x [12][13] - Cash flow from operations was approximately $32.0 million, down from $47.5 million in the prior year, primarily due to higher working capital needs related to the OWYN acquisition [12] Outlook - The company anticipates continued organic sales growth driven by volume and has strong marketing plans in place for the upcoming year [14] - Input cost inflation is expected, but the company aims to offset these costs through productivity and cost-saving initiatives [14]

Core Insights - Simply Good Foods (SMPL) is positioned to continue its earnings-beat streak, having consistently surpassed earnings estimates in recent quarters [1][2] - The company reported earnings of $0.50 per share for the most recent quarter, exceeding the expected $0.48 per share, resulting in a surprise of 4.17% [2] - Analysts have become increasingly optimistic about Simply Good Foods' earnings prospects, as indicated by a positive Earnings ESP of +5.50% [6] Earnings Performance - The average surprise for Simply Good Foods over the last two quarters was 4.17%, with both quarters reporting earnings of $0.50 per share against an estimate of $0.48 [2][3] - The company's positive earnings surprise history has led to higher earnings estimates from analysts [3] Earnings ESP and Zacks Rank - Simply Good Foods has a Zacks Rank of 3 (Hold), which, when combined with a positive Earnings ESP, suggests a high likelihood of another earnings beat [6] - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 or better have a nearly 70% chance of producing a positive surprise [4] Future Outlook - The next earnings report for Simply Good Foods is expected to be released on January 9, 2025 [6] - The Earnings ESP metric is crucial for predicting earnings performance, as it compares the Most Accurate Estimate to the Zacks Consensus Estimate [5][7]

Group 1 - The Simply Good Foods Company (SMPL) has recently experienced a "golden cross" event, indicating a potential bullish breakout as its 50-day simple moving average has crossed above its 200-day simple moving average [1] - A successful golden cross event consists of three stages: the stock price bottoms out, the shorter moving average crosses above the longer moving average, and the stock maintains upward momentum [1] - SMPL has moved 17.7% higher over the last four weeks, suggesting it may be on the verge of a breakout [1] Group 2 - The earnings outlook for SMPL is positive, with one upward revision in earnings estimates over the past 60 days and no downward revisions [2] - The Zacks Consensus Estimate for SMPL has also increased, reinforcing the bullish case for the stock [2] - Given the positive technical factors and earnings estimate movements, investors may want to monitor SMPL for potential gains in the near future [2]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION ___________________________________________________________________________________________________________ Washington, D.C. 20549 _______________________________________________________ FORM 10-K _______________________________________________________ (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended August 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITI ...

"Sweet on Protein" introduces Quest's latest creative campaign, showcasing the brand's new protein-packed baked goods lineup. DENVER, Oct. 29, 2024 /PRNewswire/ -- Quest, a leading brand under Simply Good Foods and innovator in the active nutrition category, announced the launch of its new "Sweet on Protein" campaign, an extension of the successful "It's Basically Cheating" campaign. This new initiative introduces Quest's Bake Shop line of proteinrich baked goods, designed to satisfy sweet cravings without ...

I am an avid investor with a major focus on small cap companies with experience in investing in US, Canadian, and European markets. My investment philosophy to generating great returns on the stock market revolves around identifying mispriced securities by understanding the drivers behind a company's financials, and ultimately, most often revealed by a DCF model valuation. This methodology doesn't limit an investor into rigid traditional value, dividend, or growth investing, but rather accounts for all of a ...

Financial Data and Key Metrics Changes - The company reported Q4 net sales of $375.7 million, a 17.2% increase year-over-year, driven by the OWYN acquisition and the additional week in the fiscal calendar [21][22] - Full-year net sales reached $1.33 billion, up 7.1% from the previous year, with OWYN contributing 2.4 percentage points to this growth [22] - Adjusted EBITDA for Q4 was $77.5 million, a 15% increase compared to the same period last year [6][23] - Gross margin improved to 38.8%, a 120 basis point increase year-over-year, despite a non-cash inventory purchase accounting step-up adjustment related to the OWYN acquisition [23][25] Business Line Data and Key Metrics Changes - North America Quest net sales increased about 5%, while Atkins sales declined about 5% on a like-for-like basis [6] - OWYN's retail takeaway in measured channels was strong, with significant growth across all major retail customers, making it the third largest sports nutrition multi-pack brand in the U.S. [17][18] - Quest snacks and bars retail takeaway in combined channels increased about 17%, with salty snacks showing a standout growth of 34% [10][12] Market Data and Key Metrics Changes - The nutritional snacking category grew by 7.3% in measured channels, driven primarily by volume [9] - OWYN's growth was attributed to increased distribution and velocity, with expectations of 20% to 30% growth in fiscal 2025 [18] - The e-commerce business continued to perform well, contributing nearly 2 percentage points to total retail takeaway [9] Company Strategy and Development Direction - The company aims to focus on innovation, marketing, and increased physical availability to drive trial and household penetration in fiscal 2025 [7][19] - The integration of OWYN is progressing as planned, with expectations of significant shareholder value creation through revenue growth and cost synergies [8][18] - The company plans to optimize ROI on Atkins brand investments, which may lead to a decline in sales growth in fiscal 2025 [29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the nutritional snacking category's growth trajectory, driven by health and wellness trends [7][19] - The company anticipates input cost inflation to impact gross margins in fiscal 2025, projecting a contraction of about 200 basis points [25][30] - Management expects fiscal 2025 net sales growth in the range of 8.5% to 10.5%, with adjusted EBITDA growth slightly greater than net sales [30][31] Other Important Information - The company repaid $135 million of its term loan in fiscal 2024, resulting in a net debt to adjusted EBITDA ratio of 1x [28] - Capital expenditures for fiscal 2025 are expected to be in the range of $10 million to $15 million [28] Q&A Session Summary Question: Insights on recent innovation performance - Management noted that the Bake Shop platform is performing well, with early distribution feedback being encouraging [32][33] Question: Competitive landscape for the upcoming New Year - Management is optimistic about their merchandising plans and believes they are well-positioned despite competitive pressures [37][38] Question: Growth outlook for legacy business - Management indicated that underlying growth for the legacy business is expected to be around 3% for fiscal 2025, with various moving parts affecting performance [39][43] Question: OWYN's growth assumptions - Management explained that OWYN's growth expectations are conservative due to the need to fill distribution voids and the impact of previous significant growth [45][47] Question: Marketing effectiveness and spending levels - Management highlighted the success of the "it's basically cheating" campaign for Quest and indicated a 20% increase in advertising spend for fiscal 2025 [50][53] Question: Expectations for Atkins brand performance - Management acknowledged that negative sales growth for Atkins is anticipated until fiscal 2026, due to strategic investment decisions [55][57] Question: Quest Bars competition and revenue expectations - Management recognized increased competition in the Quest Bars segment but remains focused on innovation and pricing strategies to maintain market leadership [61][63]

Simply Good Foods (SMPL) came out with quarterly earnings of $0.50 per share, beating the Zacks Consensus Estimate of $0.48 per share. This compares to earnings of $0.45 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 4.17%. A quarter ago, it was expected that this nutritional foods company would post earnings of $0.48 per share when it actually produced earnings of $0.50, delivering a surprise of 4.17%.Over the last four quar ...

| --- | --- | |---------------------------------------------------------|-------| | | | | Fourth Quarter & Full Fiscal Year 2024 | | | Conference Call & Webcast Presentation October 24, 2024 | | Disclaimer Forward Looking Statements Certain statements made herein are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by or include words such as "wil ...

1 The Simply Good Foods Company Reports Fiscal Fourth Quarter and Full Fiscal Year 2024 Financial Results and Provides Full Fiscal Year 2025 Outlook Denver, CO, October 24, 2024 - The Simply Good Foods Company (Nasdaq: SMPL) ("Simply Good Foods," or the "Company"), a developer, marketer and seller of branded nutritional foods and snacking products, today reported financial results for the fourteen and fifty-three weeks ended August 31, 2024. The acquisition of Only What You Need, Inc. ("OWYN") was completed ...