The Marzetti Company reported fourth quarter 2026 revenue of $465.0 million, falling short of analyst expectations as volume softness in the foodservice segment offset gains from new acquisitions. Adjusted diluted EPS reached $1.46, representing a 9.0% year-over-year increase and exceeding the $1.40 consensus estimate due to record gross profits and successful cost-efficiency initiatives.
Key Highlights
- Gross profit margin expanded 220 basis points to 24.5%, driven by ongoing operational optimization and cost-saving programs.
- The newly acquired Bachan's brand contributed $15.4 million in net sales, adding 520 basis points to retail segment volume growth.
- Operating income was significantly impacted by an $18.5 million non-recurring gain from the sale of a property in Milpitas, California.
- Retail segment net sales grew 0.9% to $243.6 million, despite a total segment volume decline of 1.7% in pounds shipped.