Financial Data and Key Metrics Changes - The company is experiencing a transition due to a challenging economic environment and shifting consumer trends, which have pressured end markets and hampered recent results [6][7] - Management expects benefits from executing their portfolio strategy and developing a pipeline of innovation, indicating confidence in long-term growth [7] Business Line Data and Key Metrics Changes - The competitive environment has intensified, particularly in the traditional loaf area, with lower-priced entrants affecting results [12][13] - The company is addressing the value shopper segment with new product lines and has seen good performance in premium differentiated products [12][13] - The foodservice business has been refilled with higher-margin products, significantly improving profitability [58] Market Data and Key Metrics Changes - The market remains bifurcated, with strong performance in both premium differentiated products and value offerings, particularly in mass and club channels [12][13] - The company has noted continued weakness in the away-from-home foodservice business [14] Company Strategy and Development Direction - The company is committed to innovation to navigate the transition in consumer preferences, particularly moving away from traditional loaf products [30][31] - Management emphasizes the importance of maintaining brand strength and innovation as key strategies to address competitive pressures [36][72] Management's Comments on Operating Environment and Future Outlook - Management acknowledges that the transition will take time and requires patience, viewing it as a generational shift in the category [51][53] - There is optimism that the category will eventually stabilize, although the timeline is uncertain [52][53] Other Important Information - The company is focused on debt paydown and is cautious about M&A activities in the near term, although it remains a strategic priority [61] - The company has plans to address the weakness in large brands like Nature's Own while continuing to invest in its leading brands [55] Q&A Session Summary Question: Competitive intensity and pricing pressures - Management noted that the promotional environment is elevated but stable, with a focus on differentiated products to drive trial and awareness [12][13] Question: Tariff outlook and capital allocation - Management expects tariffs to decrease significantly and will continue to evaluate capital allocation based on performance and cash flow [18][19] Question: Nature's Own brand performance - Management confirmed that they are committed to investing in Nature's Own and other mainstream loaf products, using a mix of promotional support and marketing [65][66] Question: Innovation and Simple Mills - Management indicated that Simple Mills will continue to innovate aggressively and is performing well despite challenges [43][48] Question: Transition timeline and gross margin management - Management stated that the transition will take time, but there are levers to maintain gross margins despite volume pressures [57] Question: M&A appetite - Management indicated a cautious approach to M&A in the near term, focusing on debt reduction while monitoring market opportunities [61] Question: Retailer changes and shelf space allocation - Management observed that retailers are increasingly focusing on organic products and small loaf segments, reflecting changing consumer trends [73][74]

Financial Data and Key Metrics Changes - The company is experiencing a transition due to a challenging economic environment and shifting consumer trends, which have pressured end markets and hampered recent results [4] - Management expects further benefits from executing their portfolio strategy and developing a pipeline of innovation, indicating confidence in long-term growth [5] Business Line Data and Key Metrics Changes - The branded side is facing greater competitive intensity, particularly from lower-priced bread products, affecting results in the traditional loaf area [10][11] - The company is seeing good performance in premium differentiated products, while value offerings are also performing well in mass and club channels [11] - The keto product segment grew by 37% in the quarter, highlighting success in innovative product offerings [30] Market Data and Key Metrics Changes - The competitive environment remains elevated but stable, with promotional activities increasing around differentiated products to drive trial and awareness [10] - The private label business is experiencing fluctuations, driven by lost business that is eventually replaced [12] Company Strategy and Development Direction - The company is committed to aggressively innovating to navigate the transition in consumer preferences, particularly moving away from traditional loaf products [28] - Management emphasizes the importance of innovation and brand strength to maintain competitiveness in a challenging market [34] Management's Comments on Operating Environment and Future Outlook - Management acknowledges that the transition will take time and requires patience, viewing it as a generational shift in the category [53][56] - There is optimism that the category will eventually stabilize, although the timeline for this is uncertain [54] - The company plans to continue investing in brands like Nature's Own to ensure performance despite market challenges [57] Other Important Information - The company is focused on debt paydown and is monitoring the market for potential M&A opportunities, although immediate acquisitions are not prioritized [63] Q&A Session Summary Question: Competitive intensity and pricing strategies - Management noted that the promotional environment is elevated but stable, with increased promotions around differentiated products [10][11] Question: Tariff outlook and capital allocation - Management expects tariffs to decrease based on current observations and will continue to evaluate capital allocation decisions based on performance and cash flow [16][17] Question: Transition timeline for traditional loaf products - Management indicated that the transition will take time and is viewed as a significant shift, with no specific timeline provided [53][56] Question: Innovation contributions from Simple Mills - Management confirmed that Simple Mills will continue to innovate aggressively, with plans to speed up their innovation cycle [43] Question: Retailer changes in response to competitive pressures - Management observed that retailers are focusing on smaller loaf segments and organic products, indicating a shift in consumer preferences [76]

THOMASVILLE, Ga., Aug. 15, 2025 /PRNewswire/ -- Flowers Foods, Inc. (NYSE: FLO) today reported financial results for the company's 12-week second quarter ended July 12, 2025. Second Quarter Summary: Compared to the prior year second quarter where applicable Reconciliation of Earnings per Share to Adjusted Earnings per Share | | For the 12-Week | | For the 12-Week | | --- | --- | --- | --- | | | Period Ended | | Period Ended | | | July 12, 2025 | | July 13, 2024 | | Net income per diluted common share | $ 0. ...

THOMASVILLE, Ga., July 30, 2025 /PRNewswire/ -- Flowers Foods, Inc. (NYSE: FLO) will report its second quarter 2025 financial results on Friday, August 15, 2025, at 7:00 a.m. Eastern Time. The company will host a live question and answer webcast at 8:30 a.m. Eastern Time the same day. Access to the webcast, press release, pre-recorded remarks by management with accompanying transcript, and supporting slide presentation will be available and archived at investors.flowersfoods.com. About Flowers Foods Headqua ...

Company Overview - Flowers Foods is one of the largest producers of packaged bakery goods in the United States, with well-known brands such as Nature's Own, Dave's Killer Bread, and Wonder Bread [2] Earnings Performance - Over the last sixty days, five analysts have reduced their earnings estimates for Flowers Foods, leading to a decrease in the Zacks Consensus Estimate for the current year from $1.18 to $1.10, and next year's estimate from $1.27 to $1.14 [3] - This indicates a projected 14% contraction in earnings for the current year and a modest 3.6% growth for the next year [3] Industry Context - The Food – Miscellaneous industry, which includes Flowers Foods, is currently ranked in the Bottom 27% of the Zacks Industry Rank [4] - Despite the challenges faced by Flowers Foods, there are other stocks within the industry that are performing well, such as Nomad Foods (Zacks Rank 1) and Ingredion (Zacks Rank 2) [4]

Financial Data and Key Metrics Changes - The company acknowledged that its absolute performance in the quarter was unsatisfactory, but it managed to hold unit share in a category that faced greater than expected declines [6][7] - The company is experiencing a dynamic and fluid environment, making it difficult to forecast improvements in unit share for the current year, with management suggesting a more realistic outlook towards 2026 [12][13] Business Line Data and Key Metrics Changes - The company is focusing on innovation and targeting faster-growing categories to mitigate weaknesses in traditional segments, particularly in the packaged bread category [6][7] - The Wondercake innovation is reportedly pacing ahead of expectations, contributing to unit share gains, although it is still early to determine its long-term impact on the legacy cake business [16][17] Market Data and Key Metrics Changes - The company noted a premiumization trend in consumer behavior, with traditional white bread segments facing challenges due to a shift towards healthier options [13][26] - The private label segment has shown marginal improvement in market share, with total units still down but not as significantly as the overall category [53] Company Strategy and Development Direction - The company is committed to aligning its portfolio with evolving consumer tastes and investing in brand innovation to drive sustainable growth [6][7] - Management emphasized the importance of differentiation in the traditional bread segment to reinvigorate sales and address competitive pressures [14][26] Management's Comments on Operating Environment and Future Outlook - Management expressed caution regarding the economic environment and consumer health, indicating that improvements may take longer than previously anticipated [12][31] - The company remains confident in its long-term financial targets despite current setbacks, with plans to address health and wellness trends through innovation [26][31] Other Important Information - The company is undergoing supply chain optimization, which includes the closure of an older bakery as part of its restructuring efforts [55] - Management highlighted the introduction of smaller product sizes to cater to changing consumer needs, particularly for smaller households [57] Q&A Session Summary Question: Insights on the core packaged bread category and stabilization - Management indicated that the current environment is challenging, and while there are new business wins, significant improvement in unit share is not expected this year [11][12] Question: Details on the Wondercake innovation's impact - Management noted that it is too early to determine the long-term impact of Wondercake on the legacy cake business, but initial results are promising [16][17] Question: Changes in promotional strategy and consumer behavior - Management acknowledged an increase in promotional activity for differentiated offerings, particularly towards the end of the quarter, while maintaining a cautious approach to avoid devaluing the brand [22][23] Question: Addressing structural headwinds in the bread category - Management confirmed plans to innovate and address health and wellness trends, positioning the company as a leader in the category [26][27] Question: Impact of tariffs on guidance and cost structure - Management explained that tariff impacts are primarily affecting gross margins, with ongoing efforts to mitigate costs in selling, general, and administrative expenses [30][43] Question: Performance of private label and away-from-home business - Management reported continued weakness in foodservice sales but noted improvements in profitability and margins due to restructuring efforts [52][53]

Financial Data and Key Metrics Changes - The company acknowledged that its absolute performance in the quarter was unsatisfactory, but it managed to hold unit share in a category that faced greater than expected declines [4] - The EBITDA margin guidance was down about 30 to 40 basis points from prior expectations, primarily due to category trends impacting gross margin and tariffs affecting input costs [28][29] Business Line Data and Key Metrics Changes - The company is focusing on innovation and targeting faster-growing categories to mitigate weaknesses in the core packaged bread category [4][5] - The Wondercake innovation is pacing ahead of expectations in distribution and has contributed to unit share gains, although it is still early to determine its overall impact on the legacy cake business [14][15] Market Data and Key Metrics Changes - The away-from-home segment continues to experience weakness in overall foodservice sales, but profitability and margins have improved due to restructuring efforts [50] - Private label market share has marginally reversed its downward trend, with a slight increase of about 10 basis points in the last quarter [51] Company Strategy and Development Direction - The company aims to align its portfolio with evolving consumer tastes and invest in on-trend innovation to drive sustainable growth over the long term [4][5] - The company plans to address the shift towards healthier eating by continuing to innovate and differentiate its offerings, particularly in the health and wellness segment [24][25] Management's Comments on Operating Environment and Future Outlook - Management expressed that the current economic environment is challenging, making it difficult to forecast improvements in the near term, with a focus shifting towards 2026 for potential recovery [10][12] - The company remains confident in its long-term financial targets and strategies, despite acknowledging that the current situation may delay achieving those targets [30] Other Important Information - The company is undergoing supply chain optimization, which includes closing an older bakery that produced fresh bread, buns, and rolls [53] - The introduction of smaller product sizes is aimed at addressing consumer needs for convenience and value, with early returns being positive [55] Q&A Session Summary Question: Insights on the core packaged bread category and stabilization - Management indicated that the environment remains dynamic and challenging, with expectations for stabilization possibly extending into 2026 [8][10] Question: Details on the Wondercake innovation's impact - Management noted that it is too early to determine the full impact of Wondercake on the legacy cake business, but initial results are promising [14][15] Question: Changes in promotional strategy and consumer behavior - Management confirmed an increase in promotional activity for differentiated offerings, particularly Dave's Killer Bread, while emphasizing a cautious approach to avoid devaluing the brand [20][22] Question: Addressing structural headwinds in the bread category - Management acknowledged the challenges posed by a shift towards healthier eating and indicated plans to innovate in response to these trends [24][25] Question: Insights on private label and away-from-home business performance - Management reported continued weakness in foodservice sales but noted improvements in profitability due to restructuring efforts, while private label market share has shown slight recovery [50][51]

Core Viewpoint - Flowers Foods, Inc. is set to report its first quarter 2025 financial results on May 16, 2025, with a live Q&A webcast scheduled for the same day [1]. Group 1: Company Overview - Flowers Foods, Inc. is headquartered in Thomasville, Georgia, and is one of the largest producers of packaged bakery foods in the United States [2]. - The company reported sales of $5.1 billion in 2024 [2]. - Flowers Foods operates bakeries across the country, producing a wide range of bakery products [2]. - Notable brands under Flowers Foods include Nature's Own, Dave's Killer Bread, Canyon Bakehouse, Simple Mills, Wonder, and Tastykake [2].

Financial Data and Key Metrics Changes - The company experienced growth in both dollars and units across its branded bread portfolio, aided by innovation and strong market execution [5] - Financial guidance for 2025 is cautious due to a volatile environment, potential tariffs, commodity volatility, and weak consumer demand [6] Business Line Data and Key Metrics Changes - The Away From Home business saw improved sales and margins despite some deliberate business exits [5] - The sweet baked goods category faced significant weakness, impacting overall sales results [6][28] Market Data and Key Metrics Changes - The company noted a shift in consumer preferences away from soft variety and white breads, which has been a consistent trend [26][34] - The introduction of new products and significant space gains in retail channels are expected to help offset category weaknesses [15][30] Company Strategy and Development Direction - The company is focusing on innovation and expanding its portfolio to include healthier options, such as Simple Mills, to meet changing consumer demands [6][21] - The strategy includes addressing weaknesses in the sweet baked goods category by leveraging the strong brand recognition of Wonder [55][102] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the strength of their brands and successful history of innovation, despite a cautious outlook for 2025 [6][74] - The company is preparing for potential impacts from GLP-1 drugs on consumer behavior and is positioning its portfolio accordingly [20][105] Other Important Information - The company is transitioning to a company-owned distribution model in California, which is expected to improve control over operations and service [91] - There are ongoing pressures related to workforce costs and lease expenses, which are anticipated to impact SG&A expenses [88] Q&A Session Summary Question: Can you talk about the performance of Dave's Killer Bread? - Management acknowledged some recent negative consumption data but emphasized the brand's strength and upcoming product innovations [12][13] Question: What are the dynamics for the first half versus the second half of the year? - The first half is expected to see some softness due to lapping previous pricing and savings gains, while the second half may benefit from new product launches [17][19] Question: What is the outlook for the sweet baked goods category? - Management noted ongoing challenges in the category but expressed confidence in the new Wonder Snack lineup to stabilize performance [30][102] Question: How is the company addressing the shift in consumer preferences? - The company is focusing on differentiated premium items and has seen positive performance in its premium brands [34][45] Question: What are the expectations for Simple Mills post-acquisition? - Management indicated a cautious but optimistic outlook for Simple Mills, with expectations for modest growth in 2025 [75][78] Question: How does the company view the promotional landscape? - Management believes that deeper promotions are not delivering incremental sales and plans to maintain a more nuanced promotional strategy [82][84] Question: What are the implications of tariffs on the business? - Tariffs are primarily ingredient-driven, with most exposure from Canadian and Mexican sources, and have been factored into the company's guidance [67] Question: How is the company planning to innovate in the bread category? - The company is increasing its innovation goals for 2025 and expects new product launches to drive growth [73][74]