Hain Celestial(HAIN) - 2026 Q1 - Quarterly Results

Financial Performance - Net sales for the fiscal first quarter were $368 million, a decrease of 7% year-over-year, with organic net sales down 6%[6] - The net loss for the quarter was $21 million, compared to a net loss of $20 million in the prior year, with an adjusted net loss of $7 million versus $4 million in the prior year[6] - Net sales for Q1 FY26 were $367,883, a decrease of 6.8% compared to $394,596 in Q1 FY25[35] - The company reported a net loss of $20,625 in Q1 FY26, compared to a net loss of $19,663 in Q1 FY25[39] - The adjusted net loss for Q1 FY26 was $7,242, compared to an adjusted net loss of $3,808 in Q1 FY25[45] - North America net sales decreased by 11.8% to $203,920 in Q1 FY26, while international sales increased slightly by 0.3% to $163,963[48] Profitability Metrics - The gross profit margin was 18.5%, reflecting a 220-basis point decrease from the prior year, while adjusted gross profit margin was 19.5%, a 120-basis point decrease[6] - Adjusted EBITDA was $20 million, down from $22 million in the prior year, with an adjusted EBITDA margin of 8.3% compared to 5.4% in the prior year[11] - Adjusted EBITDA for Q1 FY26 was $19,732, reflecting an 11.8% decrease compared to $22,375 in Q1 FY25[41] - The company experienced a decrease in gross margin to 18.5% in Q1 FY26 from 20.7% in Q1 FY25[41] - Adjusted EBITDA in the North America segment increased by 37% to $17 million, driven by productivity savings and reduced SG&A expenses[11] Cash Flow and Debt - Free cash flow was negative $14 million, an improvement from negative $17 million in the prior year[13] - Cash and cash equivalents at the end of Q1 FY26 were $47,886, down from $56,853 at the end of Q1 FY25[39] - Free cash flow for Q1 FY26 was $(13,707), an improvement from $(16,544) in Q1 FY25[54] - Total debt at the end of the quarter was $716 million, up from $705 million at the beginning of the fiscal year[13] - Total debt as of September 30, 2025, was $716,210, with net debt at $668,324[56] - Long-term debt, less current portion, increased to $708,563 as of September 30, 2025, from $697,168 as of June 30, 2025[37] Sales Performance by Segment - North America segment net sales were $204 million, down 12% year-over-year, while International segment net sales were $164 million, flat year-over-year[8] - Organic net sales in North America decreased by 7%, primarily due to volume softness in snacks, while International organic net sales decreased by 4% driven by lower sales in baby & kids[9][12] - Organic net sales for Q1 FY26 were $341,495, down 5.8% from $362,517 in Q1 FY25[50] - The company reported a decline in organic net sales across all categories, with snacks down 17.2% and baby & kids down 9.5% in Q1 FY26[50] Other Key Metrics - The impact of divestitures and discontinued brands reduced consolidated net sales by $19,828 in Q1 FY26[48] - The impact of foreign currency exchange on consolidated net sales was a gain of $6,560 in Q1 FY26[48] - Total assets decreased to $1,582,899 as of September 30, 2025, from $1,603,278 as of June 30, 2025[37]