J & J Snack Foods (NASDAQ:JJSF) Announces Quarterly Earnings Results

J & J Snack Foods (NASDAQ:JJSF) issued its quarterly earnings results on Wednesday. The company reported $1.96 earnings per share for the quarter, beating the consensus estimate of $1.70 by $0.26, FiscalAI reports. The company had revenue of $425.96 million during the quarter, compared to the consensus estimate of $427.65 million. J & J Snack Foods had a return on equity of 9.01% and a net margin of 3.75%.J & J Snack Foods’s revenue was down 6.3% on a year-over-year basis. During the same period in the previous year, the firm posted $2.00 EPS.

Here are the key takeaways from J & J Snack Foods’ conference call:

• Third-quarter sales declined 6.2% to $426 million, while adjusted EBITDA fell 6.4% to $67.4 million, primarily due to $4.7 million in net fuel and freight cost pressures. Foodservice and frozen beverage sales were pressured by bakery SKU reductions, weaker cookies and handhelds, and lower service and machine revenue.
• Transformation efforts continued to protect profitability, with gross margin expanding 240 basis points to 35.5%. Project Apollo’s plant-consolidation savings are now expected to reach at least $20 million annually, raising total program savings to at least $25 million.
• Retail sales increased 1.7%, with underlying growth estimated at 4.8% excluding higher slotting fees, while Dogsters retail units rose about 40% and tracked sales for Dippin’ Dots increased more than 100%. Management also cited strong early performance from new “Better For You” products and continued innovation-driven distribution gains.
• Management expects sales momentum to improve in the fourth quarter and a return to organic sales growth in fiscal 2027, supported by new churro, pretzel, and frozen novelty business, a stronger movie lineup, and a new service contract. However, management indicated the inflection is more likely in fiscal 2027 than in the fourth quarter, with fuel and freight pressures expected to persist near term.
• The company ended the quarter with approximately $35 million of net cash, $182 million of revolver capacity, and $48.8 million of operating cash flow. It returned $25 million to shareholders during the quarter and expects to receive approximately $17 million in insurance proceeds in August.

J & J Snack Foods Stock Up 7.7%

Shares of JJSF opened at $84.66 on Thursday. The firm has a market cap of $1.59 billion, a PE ratio of 28.41 and a beta of 0.38. The company’s fifty day moving average is $76.44 and its two-hundred day moving average is $80.40. J & J Snack Foods has a fifty-two week low of $68.87 and a fifty-two week high of $119.14.

J & J Snack Foods Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 7th. Shareholders of record on Tuesday, June 16th were paid a dividend of $0.80 per share. The ex-dividend date of this dividend was Tuesday, June 16th. This represents a $3.20 dividend on an annualized basis and a yield of 3.8%. J & J Snack Foods’s dividend payout ratio (DPR) is currently 107.38%.

Institutional Trading of J & J Snack Foods

Institutional investors and hedge funds have recently made changes to their positions in the company. Dimensional Fund Advisors LP boosted its holdings in J & J Snack Foods by 0.4% in the fourth quarter. Dimensional Fund Advisors LP now owns 544,928 shares of the company’s stock valued at $49,244,000 after acquiring an additional 2,143 shares during the last quarter. Geode Capital Management LLC increased its stake in J & J Snack Foods by 0.5% during the fourth quarter. Geode Capital Management LLC now owns 382,879 shares of the company’s stock worth $34,607,000 after acquiring an additional 1,909 shares during the last quarter. Bank of America Corp DE raised its holdings in shares of J & J Snack Foods by 2.9% in the 2nd quarter. Bank of America Corp DE now owns 354,253 shares of the company’s stock worth $40,176,000 after purchasing an additional 9,820 shares during the period. Charles Schwab Investment Management Inc. raised its holdings in shares of J & J Snack Foods by 14.0% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 217,164 shares of the company’s stock worth $19,625,000 after purchasing an additional 26,665 shares during the period. Finally, Goldman Sachs Group Inc. lifted its stake in shares of J & J Snack Foods by 295.5% in the 4th quarter. Goldman Sachs Group Inc. now owns 171,718 shares of the company’s stock valued at $15,518,000 after purchasing an additional 128,301 shares in the last quarter. 76.04% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on JJSF shares. Weiss Ratings restated a “sell (d+)” rating on shares of J & J Snack Foods in a report on Wednesday, June 24th. Benchmark dropped their target price on J & J Snack Foods from $130.00 to $120.00 and set a “buy” rating for the company in a research note on Monday, May 11th. Jefferies Financial Group upgraded J & J Snack Foods to a “buy” rating in a research report on Thursday. Finally, Zacks Research lowered J & J Snack Foods from a “hold” rating to a “strong sell” rating in a research note on Thursday, May 7th. Two analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $120.00.

J & J Snack Foods Company Profile

J & J Snack Foods (NASDAQ: JJSF) is a U.S.-based manufacturer and distributor of branded snack foods and frozen beverages. Headquartered in Pennsauken, New Jersey, the company develops, produces and markets a broad array of proprietary and licensed products for retail, concession and foodservice customers. Its offerings span soft pretzels, frozen novelties, real Italian ice, churros and packaged beverages under well-known names such as ICEE, SuperPretzel, Luigi’s and ChurroMan.

Founded in 1971 by Gerald B.