McCormick's third quarter 2026 revenue beat expectations as Mexico acquisition offset consumer volume declines

McCormick reported third quarter 2026 revenue of $2.02 billion, significantly exceeding analyst estimates due to the consolidation of its Mexico acquisition. While the company reaffirmed its full-year outlook and expanded adjusted gross margins, organic volume in the consumer segment remains under pressure.

Key Highlights

• Net sales rose 17.4% to $2.02 billion, surpassing the $1.71 billion consensus, with a 14.6% contribution from the McCormick de Mexico acquisition.
• Adjusted EPS of $0.86 beat the $0.75 estimate, while GAAP EPS decreased to $0.36 primarily due to a $141.5 million special charge for acquisition integration and asset impairments.
• Adjusted gross profit margin expanded by 180 basis points to 39.3%, driven by the Mexico consolidation and the Comprehensive Continuous Improvement (CCI) program.