MOUNT LAUREL, N.J., Jan. 16, 2026 (GLOBE NEWSWIRE) --  J & J Snack Foods Corp. (Nasdaq: JJSF) today announced that it will release financial results for its fiscal first quarter ended December 27, 2025, before the stock market opens on Tuesday, February 3, 2026. The Company will hold a conference call and webcast to discuss the results at 10:00 a.m. Eastern Time that same day. Investors interested in participating in the live call can pre-register by clicking on this Registration Link to receive the dial-in ...

This story was originally published on Supply Chain Dive. To receive daily news and insights, subscribe to our free daily Supply Chain Dive newsletter. Dive Brief: J&J Snack Foods is initiating a business transformation with an initial focus on consolidating its manufacturing network, according to its Q4 2025 earnings call last month. As part of the plan, the company said it is closing three production facilities by the end of Q1 2026, including sites in Atlanta; Holly Ridge, North Carolina; and Colto ...

Core Insights - J&J Snack Foods is implementing a transformation program called Project Apollo aimed at cost savings, factory consolidation, and profit enhancement [1][3] - The program is expected to generate $20 million in annualized operating income by fiscal year 2026, which began on September 28 [1] - The first phase involves closing three production plants in North Carolina, Georgia, and California, with production being consolidated or discontinued [2][3] Financial Performance - In the fourth quarter ending September 27, the company reported a 28% decrease in operating income to $84.3 million [2] - Net sales fell 4% to $410.2 million, attributed to a strong prior year performance in frozen beverages linked to a movie release [6] - Operating expenses increased by 24% to $118.8 million, representing 29% of group sales, due to site closures and included $24.8 million in non-recurring charges [5] Cost Savings and Future Plans - The factory changes are expected to yield $15 million in annualized cost savings, with an additional $3 million from various distribution initiatives [3][4] - A second phase of Project Apollo will focus on improving efficiencies in the remaining plant network and modernizing technology systems [4] - The company anticipates further expenses of $3-5 million in the new financial year related to the ongoing transformation [5]

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q4 was $57.4 million on sales of $410.2 million, a 3.9% decline in sales compared to the previous year [5][18] - For the full year, adjusted EBITDA was $180.9 million, with net sales increasing by 0.5% to $1.58 billion [5][19] - Operating expenses increased by 24% to $118.8 million, which is 29% of sales, including $24.8 million of non-recurring charges related to Project Apollo [17] Business Line Data and Key Metrics Changes - Food service segment net sales declined by 1.1% to $259.3 million, while soft pretzel sales increased by 3.6% [14] - Retail segment net sales declined by 8.1%, primarily due to lower frozen novelty volumes, partially offset by higher pretzel volume [15] - Frozen beverage segment sales declined by 8.3%, attributed to lower beverage volume in the quarter [15] Market Data and Key Metrics Changes - Box office sales for the period aligned with fiscal 2025 were up 10% compared to the prior year, with projections for a 9% increase in North America box office sales for fiscal 2026 [12] - The theater industry is expected to continue its rebound in 2026, supported by a strong lineup of movies [12] Company Strategy and Development Direction - The company initiated Project Apollo, aimed at generating sustainable efficiencies and cost savings, with expected annualized operating income of at least $20 million once fully implemented [7][8] - The company is focusing on consolidating its manufacturing network and optimizing its distribution system to reduce expenses [8][9] - A robust innovation pipeline is planned for fiscal 2026, including new product launches and commercial activities [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding consumer sentiment and operational execution as they move into fiscal 2026 [31] - The company anticipates benefits from Project Apollo and expects to see improvements in both top-line growth and margins [32][66] - Management highlighted the importance of addressing challenges faced in fiscal 2025, including commodity cost inflation and foreign exchange impacts [32] Other Important Information - The company has approximately $106 million in cash and no long-term debt, maintaining a strong financial position [12][18] - Share repurchases totaled $3 million in the quarter, with plans to accelerate buybacks in the current quarter [13][38] Q&A Session Summary Question: Impact of portfolio optimization on sales - Management indicated that portfolio optimization could lead to a 1%-1.5% impact on overall sales growth, with expectations of mid-single-digit growth year over year [25][26] Question: Macro environment and 2026 outlook - Management noted cautious consumer sentiment but expressed positive momentum entering 2026, with expectations for improved performance [31][32] Question: Timeline for Project Apollo and automation - The second phase of Project Apollo focusing on automation and efficiencies is expected to be implemented in 2027, with initial benefits seen in 2026 [46] Question: Challenges in the frozen novelty business - Management acknowledged challenges in the frozen novelty segment but is optimistic about recovery through increased marketing and trade spend [49][51] Question: Gross margin potential post-Apollo - Management aims to improve gross margins above 30% toward the mid-30s, leveraging savings from Project Apollo [65][66]

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q4 was $57.4 million on sales of $410.2 million, a 3.9% decline in sales compared to the previous year [5][21] - For the full year, adjusted EBITDA was $180.9 million, while net sales increased by 0.5% to $1.58 billion [6][22] - Operating expenses increased by 24% to $118.8 million, which included $24.8 million of non-recurring charges related to Project Apollo [19] Business Line Data and Key Metrics Changes - Food service segment net sales declined by 1.1% to $259.3 million, with soft pretzel sales increasing by 3.6% [16] - Retail segment net sales declined by 8.1%, primarily due to lower frozen novelty volumes, although higher pretzel volume partially offset this [17] - Frozen beverage segment sales declined by 8.3%, attributed to lower beverage volume in the quarter [17] Market Data and Key Metrics Changes - Box office sales for the period aligned with fiscal 2025 were up 10% compared to the prior year, with projections for a 9% increase in North America box office sales for fiscal 2026 [14] - The theater industry is expected to continue its rebound in 2026, supported by a strong lineup of movies [14] Company Strategy and Development Direction - The company initiated a business transformation program called Project Apollo, expected to generate at least $20 million of annualized operating income once fully implemented in 2026 [8][9] - The focus of Project Apollo includes the consolidation of manufacturing facilities, with three facilities announced for closure [9][10] - The company plans to increase share repurchase activity, with $3 million in repurchases during the quarter and intentions to accelerate this in the current quarter [15][41] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for fiscal 2026, citing operational execution improvements and a strong innovation pipeline [7][34] - The macro environment remains cautious, particularly in retail, but management is encouraged by early results in Q1 of fiscal 2026 [34] - Challenges faced in 2025 included consumer sentiment, foreign exchange impacts, and commodity cost inflation, but management is bullish about overcoming these in 2026 [35] Other Important Information - The company has approximately $106 million in cash and no long-term debt, maintaining a strong financial position [14][21] - Adjusted earnings per diluted share were $1.58, down from $1.60 in the prior year, with a significantly lower effective tax rate of 4.8% compared to 26.8% [21] Q&A Session Summary Question: Impact of portfolio optimization on sales - Management indicated that portfolio optimization could lead to a 1-1.5% impact on overall sales growth, with expectations of mid-single-digit growth year over year [28][29] Question: Macro environment and 2026 outlook - Management noted cautious consumer sentiment but expressed positive momentum entering 2026, with expectations for benefits from plant closures and innovation [34][35] Question: Timeline for Project Apollo and automation - The second phase of Project Apollo focusing on automation and efficiencies is expected to be implemented in 2027, with initial benefits from plant closures anticipated by Q2 of fiscal 2026 [50][68] Question: Gross margin potential post-Apollo - Management aims to improve gross margin above 30% toward the mid-30s, with savings from Project Apollo contributing to this goal [68] Question: Capital allocation and share repurchase plans - Management plans to accelerate stock buybacks, with $42 million remaining on the authorization and intentions to buy back stock in the current quarter [41][42]

Financial Data and Key Metrics Changes - Adjusted EBITDA for Q4 2025 was $57.4 million on sales of $410.2 million, a 3.9% decline in sales compared to the previous year [5][18] - For the full year, adjusted EBITDA was $180.9 million, while net sales increased by 0.5% to $1.58 billion [5][19] - Consolidated gross profit was $130.2 million, with a gross margin of 31.7%, slightly down from 31.8% the previous year [16] - Adjusted earnings per diluted share were $1.58, compared to $1.60 in the prior year [18] Business Line Data and Key Metrics Changes - Food service segment net sales declined by 1.1% to $259.3 million, while soft pretzel sales increased by 3.6% [14] - Retail segment net sales fell by 8.1%, primarily due to lower frozen novelty volumes, although higher pretzel volume partially offset this decline [15] - Frozen beverage segment sales decreased by 8.3%, attributed to lower beverage volume in the quarter [15] Market Data and Key Metrics Changes - Box office sales for the period aligned with fiscal 2025 were up 10% compared to the prior year, with industry projections for a 9% increase in North America box office sales for fiscal 2026 [12] - The theater industry is expected to continue its rebound, supported by a strong lineup of movies [12][28] Company Strategy and Development Direction - The company initiated a business transformation program called Project Apollo, expected to generate at least $20 million in annualized operating income once fully implemented [7][8] - The focus of Project Apollo includes the consolidation of manufacturing facilities, with three facilities announced for closure [7][8] - The company plans to increase share repurchase activity, with $3 million in repurchases during the quarter and intentions to accelerate this in the current quarter [13][33] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for fiscal 2026, citing operational execution improvements and a strong innovation pipeline [6][27] - The macro environment remains cautious, particularly in the retail sector, but management is encouraged by early results in Q1 2026 [27][28] - Challenges faced in 2025 included a significant LTO for churros and unfavorable foreign exchange impacts, but management is bullish about 2026 [29] Other Important Information - The company has a strong financial position with approximately $106 million in cash and no long-term debt [12][18] - Marketing expenses increased by 4.8% year-over-year, driven by new sponsorships and promotional activities [17] Q&A Session Summary Question: Impact of portfolio optimization on sales - Management indicated that portfolio optimization could lead to a 1-1.5% impact on overall sales growth, with expectations of mid-single-digit growth year over year [22][24] Question: Macro environment and its impact on 2026 - Management noted cautious consumer sentiment but expressed positive momentum entering 2026, with expectations for theater industry recovery [27][28] Question: Timeline for Project Apollo and expected benefits - The full run rate for plant closure benefits is expected to be reached by Q2 2026, with additional savings anticipated in the latter half of the year [31] Question: Details on commercial opportunities for fiscal 2026 - Key opportunities include a churro LTO with a major customer and a frozen beverage rollout with a large convenience store operator [54] Question: Gross margin potential post-Apollo - Management aims to improve gross margins above 30% toward the mid-30s, with savings from Project Apollo contributing to this goal [56]

Core Insights - J & J Snack Foods Corp. will release its financial results for the fourth quarter and full fiscal year on November 17, 2025, before the market opens [1] - A conference call and webcast will be held at 10:00 a.m. Eastern Time on the same day to discuss the results [1] Company Overview - J & J Snack Foods Corp. is a leader and innovator in the snack food and frozen beverage industry, with over fifty years of experience [3] - The company specializes in a variety of snack and beverage brands, including SUPERPRETZEL, ICEE, SLUSH PUPPIE, and Dippin' Dots [3] - The brand portfolio also features LUIGI'S Real Italian Ice, MINUTE MAID frozen ices, WHOLE FRUIT frozen fruit bars, DOGSTERS, ¡Hola! Churros, THE FUNNEL CAKE FACTORY products, and various bakery brands [3]

Company Overview - Dippin' Dots is the exclusive frozen treat provider at Urban Air Adventure Park, enhancing the family entertainment experience across all participating locations nationwide [1][2]. - Dippin' Dots has been producing and distributing its unique frozen products since 1988, with a production facility located in Paducah, Kentucky [6]. Partnership Details - The partnership between Dippin' Dots and Urban Air Adventure Park aims to create a fun and memorable experience for families, combining both brands' strengths in family entertainment [3][4]. - Urban Air Adventure Park operates more than 350 locations, making it an ideal partner for Dippin' Dots to expand its presence in the family entertainment sector [4][8]. Brand Positioning - Dippin' Dots is recognized as an iconic brand that complements the action-packed environment of Urban Air, providing a craveable treat that enhances the overall experience [4]. - J&J Snack Foods Corp., the parent company of Dippin' Dots, is a leader in the snack food and frozen beverage industry, with a diverse portfolio of brands [7].

Company Announcement - J & J Snack Foods Corp. has scheduled a conference call and webcast to discuss its fiscal 2025 third quarter financial results on August 5, 2025, at 10:00 am Eastern time [1] - The company expects to release its fiscal third quarter results for the period ended June 28, 2025, in the morning on the same day [2] Conference Call Details - Participants must pre-register to receive the dial-in number and personal PIN required for accessing the conference call [2] - A live webcast of the call will be available on the company's investor relations website, with a recommendation to allow 15 minutes for registration and software installation [3] Company Overview - J & J Snack Foods Corp. is a leader and innovator in the snack food and frozen beverage industry, with over fifty years of experience [4] - The company specializes in various snack and beverage brands, including SUPERPRETZEL, ICEE, SLUSH PUPPIE, and Dippin' Dots, among others [4] - The brand portfolio also features LUIGI'S Real Italian Ice, MINUTE MAID frozen ices, WHOLE FRUIT frozen fruit bars, and several bakery brands [4]

Financial Data and Key Metrics Changes - The company reported a revenue increase of 4.1% to $362.6 million, driven by volume increases and pricing [5][19] - Gross margin declined to 25.9% from 27.2% year-over-year, reflecting input cost inflation not fully offset by price increases [6][19] - Operating income decreased to $6.2 million from $9.7 million, with adjusted operating income at $8.2 million compared to $13.5 million last year [22][24] - Net earnings fell to $5.1 million from $7.3 million, with earnings per diluted share decreasing to $0.26 from $0.37 [23][24] Business Line Data and Key Metrics Changes - Foodservice revenue increased by 4.5%, with soft pretzel sales up 4.8% due to convenience store recovery [11] - Frozen novelties saw a significant increase of 9.8%, driven by Zippin' Dots growth [11] - Bakery sales grew by 6.6%, primarily due to price increases [12] - Retail sales increased by 2.2%, with frozen novelty sales rising significantly, while soft pretzel sales declined by 7.4% due to an ordering system issue [12] Market Data and Key Metrics Changes - Frozen beverage sales increased by 4%, with a notable 10% volume increase attributed to a 45% growth in theater channels [13] - The North American box office is projected to grow over 10% year-over-year, indicating a strong recovery in the entertainment sector [13][14] - Consumer spending on leisure and entertainment is outpacing traditional retail channels, providing a favorable environment for the company [14] Company Strategy and Development Direction - The company is focused on driving volume growth and mix improvement across its portfolio, with a disciplined approach to capital deployment [10][17] - A new $50 million stock repurchase authorization reflects confidence in long-term value and financial flexibility [10] - The rollout of Dippin' Dots to theaters is progressing well, with plans for further growth in retail channels [16][70] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in Q1 but expressed confidence in overcoming them, citing strong underlying business fundamentals [9][17] - The company is optimistic about the recovery trajectory in theater traffic and overall consumer spending trends [14][25] - Management expects gross margins to improve in the second half of the year, targeting a return to low 30% levels [66][67] Other Important Information - The company experienced significant inflation in chocolates, eggs, and proteins, which impacted profitability [7][20] - The effective tax rate for the quarter was 27.2%, up from 26.6% in the prior year [23] Q&A Session Summary Question: Can you provide a gross margin bridge for the decline year over year? - Management indicated that about 80 basis points of the decline were due to pricing gaps relative to input costs, with the remainder attributed to mix changes in the bakery business [30][31] Question: How does the pricing lag occur? - The delay in implementing price increases was primarily due to the time taken to push these through to customers, not a lack of visibility [46][47] Question: What is the impact of the peso on profitability? - The peso's depreciation had a nearly $1 million impact on profitability for the frozen beverage segment [54] Question: What is the outlook for gross margins in the second half of the year? - Management expects gross margins to improve, aiming for low 30% levels, with seasonal factors contributing positively [66][67] Question: Can you elaborate on the Dippin' Dots rollout? - The Dippin' Dots product has been well received, launching with a major nationwide retailer, and is expected to see significant growth [70] Question: Will stock repurchases occur alongside potential acquisitions? - The company plans to be opportunistic with stock repurchases while also actively seeking attractive acquisition opportunities [75]