NASDAQ$JJSF

J&J Snack Foods Corp · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported record fiscal second quarter revenue driven by growth across all three business segments, leading to net earnings and EPS, with adjusted EPS also reported.

J&J Snack Foods Corp. reported a strong second quarter with record revenue of $337.9 million, driven by strong demand across all three business segments. Net earnings were $6.9 million, with an EPS of $0.36 and an adjusted EPS of $0.43. The company benefited from improved unit volumes and price increases, leading to a 20.0% increase in net sales.

  • Net sales increased 20.0% to $337.9 million in Q2 2023 compared to Q2 2022, with growth across all three business segments.
  • Food Service sales exceeded Q2 2022 by 23.8%, Retail segment sales exceeded Q2 2022 by 13.7%, and Frozen Beverage segment sales exceeded Q2 2022 sales by 13.7%.
  • Gross profit as a percentage of sales was 26.8% in Q2 2023, compared to 23.2% in Q2 2022.
  • Adjusted operating income was $12.1 million in the second quarter of fiscal 2023, compared to $4.7 million in the prior year period, leading to net earnings of $6.9 million, compared to $3.3 million in the prior year period.

Headline financials

Total Revenue

$338M

Previous: $282M+20.0%
EPS (adj)

$0.43

Previous: $0.17+152.9%
Capital Expenditures

-$18.2M

Previous: -$19.2M+5.2%
Free Cash Flow

-$11.3M

Previous: -$15.9M+28.8%
Net Income

$6.87M

Previous: $3.27M+110.1%
Operating Income

$10.2M

Previous: $4.09M+149.3%
Gross Profit

$90.4M

Previous: $65.3M+38.3%
Cash & Equivalents

$43.3M

Previous: $221M-80.4%
Total Assets

$1.22B

Previous: $1.12B+9.0%
Stock-Based Comp

$1.31M

Previous: $1.27M+3.6%

Revenue & EPS history

J&J Snack Foods · Revenue · Quarterly

$338M

Q2 2023+20%vs Q2 2022
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

J&J Snack Foods · $292M total across 2 segments · Q2 2023

  • Food Service
    $218M+19.3%
  • Frozen Beverages
    $73.2M+84.8%

Forward guidance

The company is excited about future opportunities with a strong sales pipeline and a strategy to improve operating efficiency, supported by a talented team. They will continue to strategically invest in growth opportunities using their robust balance sheet.

Tailwinds

  • Strong sales pipeline.
  • Strategy to improve operating efficiency.
  • Talented team aligned against key priorities.
  • Robust balance sheet.
  • Strategic investments in attractive growth opportunities.

Headwinds

  • Continued year-over-year pressures on key commodity inputs such as flour, oils, eggs, mixes and sugar.
  • Inflationary impacts of approximately 9% compared to a year ago as commodity prices gradually improve.
  • Ongoing inflationary pressures across distribution and administrative costs.
  • Addition of Dippin’ Dots to the expense base.
  • Gross margin challenges due to higher promotions and allowances.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

-0.2%

Avg return

Earnings day

-0.8%

Avg return

5 days after

+1.0%

Avg return

30 days after

52%

34 / 65 earnings

Positive

+16.1%

Q2 2024

Best reaction

-15.4%

Q1 2026

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+0.2%-16.9%-10.9%
Q1 2026-15.4%-13.3%-10.1%
Q4 2025+1.1%+9.3%+13.9%
Q2 2025-11.8%-11.8%-13.8%
Q1 2025-6.5%-7.8%+4.0%
Q4 2024-4.8%-5.5%-4.0%
Q3 2024+1.7%+1.5%+2.4%
Q2 2024+16.1%+18.2%+18.0%
Q1 2024-9.6%-7.5%-10.1%
Q4 2023+2.9%+3.7%+4.1%
Q3 2023+7.8%+9.3%+3.2%
Q2 2023+3.2%+6.3%+0.5%
Q1 2023-4.2%-5.6%-6.1%
Q4 2022+7.8%+11.2%+11.0%
Q3 2022+0.0%+3.5%+7.9%
Q2 2022-11.4%-17.4%-15.9%
Q1 2022-1.0%-0.3%+8.8%
Q4 2021-1.8%-6.7%-2.3%
Q3 2021-0.0%-1.4%-2.9%
Q2 2021-2.5%-1.1%+4.1%
Q1 2021+7.7%-0.3%+2.1%
Q4 2020-1.5%+14.8%+3.2%
Q3 2020-1.9%-4.2%+3.1%
Q2 2020+7.3%+4.8%+17.0%
Q1 2020-11.5%-11.0%-7.9%
Q4 2019-4.9%-4.5%-0.8%
Q3 2019+13.0%+11.1%+15.4%
Q2 2019+0.8%+3.5%+2.7%
Q1 2019+8.5%+7.1%+5.7%
Q4 2018-1.3%-2.6%-2.2%
Q3 2018-5.5%-7.8%-6.4%
Q2 2018-5.0%-4.6%+3.3%
Q1 2018-6.5%-7.9%-9.7%
Q4 2017+4.2%+8.5%+14.6%
Q3 2017-5.3%-4.6%-7.3%
Q2 2017+1.3%+0.1%-1.3%
Q1 2017+0.6%+1.4%+2.5%
Q4 2016-3.4%-1.7%+2.0%
Q3 2016+0.4%+0.4%+0.2%
Q2 2016-0.1%
Q1 2016-1.2%
Q4 2015-7.3%
Q3 2015+5.4%
Q2 2015+2.9%
Q1 2015-14.0%
Q4 2014+0.2%
Q3 2014+2.5%
Q2 2014-2.1%
Q1 2014+8.4%
Q4 2013-2.8%
Q3 2013-1.4%
Q2 2013+2.4%
Q1 2013+3.5%
Q4 2012+2.1%
Q3 2012-1.1%
Q2 2012+10.3%
Q1 2011-4.9%
Q1 2012-4.9%
Q4 2009+2.7%
Q2 2011+2.7%
Q4 2011+2.7%
Q3 2011+3.8%
Q3 2010+3.8%
Q4 2010+3.8%
Q2 2010+1.6%

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