The Simply Good Foods Company (NASDAQ:SMPL) Q3 2024 Earnings Conference Call June 27, 2024 9:00 AM ET Company Participants Mark Pogharian - Vice President of Investor Relations Geoff Tanner - President, Chief Executive Officer and Director Shaun Mara - Chief Financial Officer Conference Call Participants Matthew Smith - Stifel Alexia Howard - AllianceBernstein John Baumgartner - Mizuho Securities Jon Andersen - William Blair Stephen Powers - Deutsche Bank Brian Holland - D.A. Davidson Kaumil Gajrawala - Jef ...

Core Insights - Simply Good Foods reported an earnings surprise of 4.17% for the recent quarter, with actual earnings of $0.40 per share compared to an expected $0.37 per share, marking an 8.11% surprise from the previous quarter [1] - The company posted revenues of $334.76 million for the quarter ended May 2024, which was 0.96% below the Zacks Consensus Estimate, but an increase from $324.79 million year-over-year [2] - Simply Good Foods shares have declined approximately 8.7% year-to-date, contrasting with the S&P 500's gain of 14.9% [3] Earnings Performance - The company achieved quarterly earnings of $0.50 per share, surpassing the Zacks Consensus Estimate of $0.48 per share, and up from $0.44 per share a year ago [8] - Over the last four quarters, Simply Good Foods has exceeded consensus EPS estimates four times [9] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.51 on revenues of $355.31 million, and for the current fiscal year, it is $1.82 on revenues of $1.31 billion [5] - The estimate revisions trend for Simply Good Foods is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [12] Industry Context - The Food - Confectionery industry, to which Simply Good Foods belongs, is currently ranked in the bottom 11% of over 250 Zacks industries, suggesting a challenging environment [13] - Another company in the same industry, Hershey, is expected to report quarterly earnings of $1.47 per share, reflecting a year-over-year decline of 26.9% [14]

DENVER, June 27, 2024 (GLOBE NEWSWIRE) -- 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 thirteen and thirty-nine weeks ended May 25, 2024. The Company completed the acquisition of Only What You Need, Inc. ("OWYN") on June 13, 2024, therefore, fiscal third quarter 2024 results exclude the performance of this brand. The reference to "legacy" Simpl ...

CharlieAJA Back in early April of 2023, I wrote an article discussing the investment worthiness of The Simply Good Foods Company (NASDAQ:SMPL). For those not familiar with the company, it is a consumer packaged food and beverage business that's focused on what it calls the nutritious snacking market. It sells a variety of offerings such as protein bars, ready to drink shakes, sweet and salty snacks, confectionery products, and more. At that time, I found the company interesting. The firm had a history of gr ...

While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This nutritional foods company is expected to post quarterly earnings of $0.48 per share in its upcoming report, which represents a year-over-year change of +9.1%. The consensus EPS estimate for the quarter has been revised 0.41% lower over the last 30 days to the ...

Core Viewpoint - The Simply Good Foods Company has completed the acquisition of Only What You Need (OWYN), a leading plant-based ready-to-drink protein shake brand, enhancing its portfolio and market presence in the nutritious snacking category [1][2][3] Acquisition Details - The acquisition price for OWYN was $280 million, funded through cash and borrowings from a credit facility [3] - OWYN is projected to achieve net sales of approximately $120 million in the calendar year 2024 [3] Strategic Implications - The acquisition introduces a third complementary brand, allowing Simply Good Foods to tap into a new consumer segment and strengthen its position in the rapidly expanding RTD shake market [2][3] - The company aims to leverage combined R&D expertise to improve product performance and explore new innovation areas [3] Financial Outlook - Simply Good Foods expects to pay down a portion of its total term loan debt of $490 million during fiscal year 2024, targeting a net debt to Adjusted EBITDA ratio of around 1.25x by the end of August 2024 [3] - The base business, excluding OWYN, is tracking to the fiscal year 2024 outlook provided earlier, with updates expected in the third quarter earnings report [4]

Simply Good Foods funded the purchase price of $280 million, subject to certain customary post-closing purchase price adjustments and before transaction related fees, through a combination of cash on its balance sheet and incremental borrowings under its outstanding credit facility. The incremental $250 million term loan and the outstanding $240 million term loan balance will have an interest rate of SOFR plus a credit spread adjustment equal to 0.10% for one-month SOFR, 0.15% for up to three-month SOFR and ...

DENVER, June 11, 2024 (GLOBE NEWSWIRE) -- 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 announced it will report financial results for the 13 week fiscal third quarter ended May 25, 2024, on Thursday, June 27, 2024, before market open. The Company will host a conference call to discuss these results with additional comments and details provided at that time. Participating on the c ...

DENVER, May 06, 2024 (GLOBE NEWSWIRE) -- 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 announced that members of the executive management team will participate in a fireside chat at the Goldman Sachs Global Staples Forum on Tuesday, May 14, 2024 at 8:55 a.m. ET. The live audio webcast will be available at www.thesimplygoodfoodscompany.com within the Events and Presentations sectio ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _______________________________________________________ FORM 10-Q _______________________________________________________ (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended February 24, 2024 OR o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________ to ________ Commission File Number ...