NASDAQ$SMPL

The Simply Good Foods Company · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported strong Q3 2021 financial results driven by increasing consumer mobility and improving shopper traffic.

The Simply Good Foods Company reported a 32.0% increase in net sales, driven by strong Atkins and Quest performance. Adjusted EBITDA increased by 55.6% to $67.5 million. The company has updated its full fiscal year 2021 outlook, expecting net sales to be in the $995-1,005 million range and Adjusted EBITDA to be in the $200-205 million range.

  • Net sales increased 32.0% driven by strong Atkins and Quest performance
  • Net income of $5.9 million versus $48.1 million
  • Adjusted Diluted EPS of $0.43 versus $0.26
  • Adjusted EBITDA increased 55.6% to $67.5 million

Headline financials

Total Revenue

$284M

Previous: $215M+32.0%
EPS (adj)

$0.43

Previous: $0.26+65.4%
Adjusted EBITDA

$67.5M

Previous: $43.4M+55.5%
Capital Expenditures

-$3.23M

Previous: -$766K-321.9%
Free Cash Flow

$2.66M

Previous: $15.6M-83.0%
Net Income

$5.9M

Previous: $16.4M-64.1%
Operating Income

$60.3M

Previous: $31.1M+93.9%
Gross Profit

$121M

Previous: $88.6M+36.5%
Cash & Equivalents

$90.2M

Previous: $111M-18.9%
Total Assets

$2.04B

Previous: $2.04B-0.1%
Stock-Based Comp

$2.17M

Previous: $2.15M+1.0%

Revenue & EPS history

Simply Good Foods · Revenue · Quarterly

$284M

Q3 2021+32%vs Q3 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Simply Good Foods · $231M total across 2 segments · Q1 2021

  • Atkins
    $135M
  • Quest
    $95.8M

Forward guidance

Assuming no significant COVID-19 related disruptions, the Company anticipates full year fiscal 2021 net sales of $995-1,005 million and Adjusted EBITDA of $200-205 million. Adjusted Diluted EPS is expected to be in the range of $1.20 to $1.25.

Tailwinds

  • Full year fiscal 2021 net sales expected to be $995-1,005 million.
  • Adjusted EBITDA expected to be $200-205 million.
  • Full year gross margin expected to be about the same as fiscal 2020.
  • Anticipate Adjusted EBITDA margin expansion in fiscal 2021.
  • Adjusted Diluted EPS to be in the range of $1.20 to $1.25.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+0.5%

Avg return

Earnings day

-0.3%

Avg return

5 days after

+1.6%

Avg return

30 days after

51%

18 / 35 earnings

Positive

+16.8%

Q4 2022

Best reaction

-17.5%

Q4 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026
Q2 2026-0.3%-21.0%-14.9%
Q1 2026+6.7%+9.8%-10.5%
Q4 2025-17.5%-20.8%-19.2%
Q3 2025-2.9%-3.9%-14.7%
Q2 2025+9.2%+13.2%+7.9%
Q1 2025-6.5%-6.2%+0.3%
Q4 2024+3.8%+4.7%+21.0%
Q3 2024-0.1%-1.0%-6.6%
Q2 2024-1.2%+0.6%+14.6%
Q1 2024+3.8%+4.4%-4.3%
Q4 2023+11.3%+11.6%+21.7%
Q3 2023+5.8%+6.0%+10.1%
Q2 2023-5.9%-4.5%-2.2%
Q1 2023-7.2%-5.4%-5.6%
Q4 2022+16.8%+15.8%+17.8%
Q3 2022-5.8%-8.9%-20.8%
Q2 2022+10.1%+6.3%-0.2%
Q1 2022-8.0%-11.1%-16.1%
Q4 2021+13.1%+13.3%+13.7%
Q3 2021+2.7%+1.5%+2.7%
Q2 2021+1.9%+4.6%+12.0%
Q1 2021-1.2%-3.3%-6.0%
Q4 2020-4.3%-11.1%+6.2%
Q3 2020+0.6%+2.0%+15.1%
Q2 2020-9.3%-15.9%-3.1%
Q1 2020-13.7%-12.4%-16.9%
Q4 2019+1.7%+1.5%+17.0%
Q3 2019+7.2%+11.5%+7.3%
Q2 2019+3.8%+1.5%+2.1%
Q1 2019+1.0%+0.1%+2.5%
Q4 2018-8.7%-11.0%+1.2%
Q3 2018+12.5%+13.7%+14.5%
Q2 2018-0.2%+1.2%+6.5%
Q1 2018+0.2%+4.5%+7.4%
Q4 2017-0.3%-0.3%-6.0%
Q3 2017
Q2 2016
Q1 2016
Q4 2016
Q3 2016

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