- Premium Brands has adjusted its forecast for full-year adjusted EBITDA to a range of C$670 million to C$680 million, down from the previous range of C$680 million to C$700 million.
- The estimated adjusted EBITDA was C$682.9 million.
- Full-year sales are now expected to be between C$7.4 billion and C$7.5 billion, up from the prior range of C$7.2 billion to C$7.4 billion, with an estimate of C$7.37 billion.
- For the third quarter, adjusted EPS was C$1.27, an increase from C$1.11 year-over-year, but below the estimated C$1.40.
- Third-quarter revenue surged 20% year-over-year to C$2.0 billion, surpassing the estimated C$1.9 billion.
- Specialty Foods revenue increased 24% year-over-year to C$1.32 billion, exceeding the estimate of C$1.26 billion.
- Premium Food Distribution revenue rose by 11% year-over-year to C$663.8 million, beating the estimate of C$633.1 million.
- Specialty Foods gross profit climbed 17% year-over-year to C$273.0 million, above the estimated C$270.6 million.
- Premium Food Distribution gross profit was C$91.3 million, slightly up by 0.9% year-over-year, but below the estimate of C$95.5 million.
- Overall adjusted EBITDA for the third quarter increased by 12% year-over-year to C$179.1 million, though it missed the estimated C$182.1 million.
- Specialty Foods adjusted EBITDA grew by 16% year-over-year to C$130.0 million, just shy of the estimated C$131.3 million.
- Premium Food Distribution adjusted EBITDA fell by 0.5% year-over-year to C$41.3 million, under the estimated C$44.9 million.
- The company cited challenges due to beef raw material cost inflation, which are expected to continue into the fourth quarter.
- The Board of Directors has approved a cash dividend of C$0.85 per share for the fourth quarter of 2025.
- Analyst recommendations include 9 buys, 2 holds, and 1 sell.
A look at Premium Brands Holdings Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Premium Brands Holdings Corp. shows promising long-term potential. With above-average scores in Dividend and Momentum, the company demonstrates stability and strong market performance. Additionally, its respectable scores in Value, Growth, and Resilience indicate a well-rounded approach to business operations. As a food processing company catering to various sectors in North America, Premium Brands Holdings Corp. seems well-positioned for sustained growth in the future.
Premium Brands Holdings Corp., a leading player in the food processing industry, operates manufacturing facilities in both Canada and the United States. Specializing in branded specialty processed meats, pre-packaged sandwiches, burgers, and frozen foods, the company serves a diverse customer base ranging from food service to retail and wholesale in North America. With a balanced set of Smartkarma Smart Scores reflecting its financial health and market performance, Premium Brands Holdings Corp. appears to have a positive outlook for the long haul.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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