Westrock Coffee (NASDAQ:WEST) Posts Quarterly Earnings Results, Misses Expectations By $0.07 EPS

Westrock Coffee (NASDAQ:WEST) announced its earnings results on Thursday. The company reported ($0.14) earnings per share for the quarter, missing the consensus estimate of ($0.07) by ($0.07), FiscalAI reports. The firm had revenue of $305.66 million during the quarter, compared to analysts’ expectations of $318.80 million. Westrock Coffee had a negative net margin of 5.59% and a negative return on equity of 2,145.68%.

Here are the key takeaways from Westrock Coffee’s conference call:

• Adjusted EBITDA reached a second-quarter record of $21.3 million, up nearly 39% year over year, while first-half EBITDA more than doubled to $47.3 million. Management reaffirmed its 2026 EBITDA outlook of $90 million to $100 million.
• Beverage Solutions net sales increased nearly 17% year over year, supported by rising RTD can, glass, bottle, and single-serve volumes. Management said it is winning share across product categories, with a strong pipeline and additional customer volume expected to build over the next several quarters.
• Westrock generated $20.2 million of second-quarter free cash flow and became free-cash-flow positive for the first half, a quarter ahead of schedule. Capital expenditures are expected to fall to approximately $30 million in 2026 from $89 million in 2025, reflecting the completion of the major Conway investment phase.
• The company continued to reduce leverage, ending the quarter with a secured net leverage ratio of 3.36 times, and extended most of its Beverage Solutions credit facility maturities to November 2028. Management said the improved cash generation could support high-return incremental investments and future shareholder value creation.
• Second-quarter consolidated gross profit declined by $3.6 million year over year, partly due to higher depreciation from Conway and unfavorable non-cash mark-to-market adjustments. SS&T adjusted EBITDA also fell to $2 million from $3.3 million, although management attributed the decline primarily to shipment timing.

Westrock Coffee Trading Down 1.2%

Shares of WEST traded down $0.10 during trading hours on Thursday, reaching $8.09. 369,869 shares of the company traded hands, compared to its average volume of 407,329. The firm has a market cap of $783.76 million, a price-to-earnings ratio of -10.79 and a beta of 0.90. Westrock Coffee has a 12-month low of $3.59 and a 12-month high of $10.19. The stock’s fifty day moving average price is $8.09 and its 200 day moving average price is $6.31.

Insider Buying and Selling

In related news, Director Joe T. Ford purchased 15,000 shares of Westrock Coffee stock in a transaction that occurred on Thursday, May 14th. The shares were bought at an average price of $8.50 per share, with a total value of $127,500.00. Following the purchase, the director directly owned 273,000 shares of the company’s stock, valued at approximately $2,320,500. This represents a 5.81% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Over the last quarter, insiders have bought 34,500 shares of company stock valued at $290,715. Company insiders own 25.40% of the company’s stock.

Hedge Funds Weigh In On Westrock Coffee

A number of hedge funds have recently added to or reduced their stakes in the stock. AQR Capital Management LLC purchased a new position in shares of Westrock Coffee during the first quarter worth approximately $166,000. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its holdings in shares of Westrock Coffee by 10.4% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 21,292 shares of the company’s stock valued at $154,000 after purchasing an additional 2,003 shares during the period. Rhumbline Advisers boosted its holdings in shares of Westrock Coffee by 8.1% in the second quarter. Rhumbline Advisers now owns 49,510 shares of the company’s stock valued at $284,000 after purchasing an additional 3,723 shares during the period. EverSource Wealth Advisors LLC grew its stake in Westrock Coffee by 199.0% in the second quarter. EverSource Wealth Advisors LLC now owns 6,214 shares of the company’s stock worth $36,000 after purchasing an additional 4,136 shares in the last quarter. Finally, Marshall Wace LLP bought a new position in Westrock Coffee in the second quarter worth approximately $104,000. 45.08% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of research firms recently commented on WEST. Benchmark lifted their price target on shares of Westrock Coffee from $8.00 to $10.00 and gave the stock a “buy” rating in a research note on Monday, May 11th. Weiss Ratings reissued a “sell (d-)” rating on shares of Westrock Coffee in a research report on Tuesday. Zacks Research raised shares of Westrock Coffee from a “strong sell” rating to a “hold” rating in a research note on Monday, May 11th. Telsey Advisory Group boosted their target price on Westrock Coffee from $7.00 to $9.00 and gave the company an “outperform” rating in a research report on Friday, May 8th. Finally, Stifel Nicolaus set a $8.00 target price on Westrock Coffee in a research note on Friday, May 8th. Three equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $9.00.

About Westrock Coffee

Westrock Coffee Company is a global integrated coffee roaster and manufacturer that delivers end-to-end solutions across the coffee and tea supply chain. The company sources, roasts, blends, packages and distributes a diverse range of products, including hot and cold brew coffee, single-serve pods, instant and soluble coffee, tea, and specialty coffee extracts. Serving retail, convenience, foodservice and industrial customers, Westrock Coffee offers both private-label and co-packed branded products to meet the needs of supermarkets, quick-service restaurants, office coffee services and other channels.

Since its founding in 2008, Westrock Coffee has grown through a combination of organic expansion and strategic acquisitions to establish manufacturing facilities across North America, Latin America and Europe.