NYSE$THS
TreeHouse Foods Inc. · Q2 2023 earnings
Q2 2023 earnings · · Investor relations
Briefing
TreeHouse Foods' financial performance improved with increased net sales and adjusted EBITDA.
TreeHouse Foods reported a 4.1% increase in net sales to $843.6 million and a significant rise in net income from continuing operations to $21.7 million, compared to a loss of $27.3 million in the prior year. Adjusted EBITDA from continuing operations also increased by $23.3 million to $76.4 million. The company raised its full year net sales outlook and narrowed its adjusted EBITDA outlook.
- Net sales increased by 4.1% year-over-year, exceeding guidance expectations.
- Net income from continuing operations was $21.7 million, a significant improvement from the prior year's net loss.
- Adjusted EBITDA from continuing operations rose by $23.3 million, reaching the high-end of the company's guidance.
- Full year net sales outlook raised to 7.5% to 9.5% growth, with adjusted EBITDA outlook narrowed to $360 to $370 million.
Headline financials
Revenue & EPS history
TreeHouse · Revenue · Quarterly
$844M
Forward guidance
TreeHouse updated its full year 2023 guidance, expecting net sales growth of 7.5% to 9.5% and adjusted EBITDA in the range of $360 to $370 million.
Tailwinds
- Net sales growth is now expected to be 7.5% to 9.5% year-over-year, representing a range of $3.71 to $3.78 billion.
- The increase primarily reflects the volume from the acquisition of the Northlake, Texas coffee facility that closed in June 2023.
- The Company narrowed its adjusted EBITDA range to $360 to $370 million, up approximately 27% year-over-year at the midpoint.
- Third quarter revenue is expected in the range of $950 to $970 million, representing approximately 10% year-over-year growth at the midpoint, primarily driven by volume/mix, including the volume from the coffee acquisition.
- Third quarter adjusted EBITDA is anticipated in the range of $81 to $89 million, representing approximately 11% year-over-year growth at the midpoint.
Headwinds
- Net interest expense is now expected to be $27 million to $32 million, due to increased usage of the Revolving Credit Facility to fund the aforementioned coffee acquisition and investment in inventory to service customers.
- Approximately $5 million to $7 million in temporary operating expenses in the fourth quarter resulting from the expected wind down of substantial portions of the transition services agreement related to the Meal Preparation divestiture.
- Unspecified risks related to the impact that the divestiture of a significant portion of our Meal Preparation Business or any such divestiture might have on the Company’s operations
- Unspecified disruptions or inefficiencies in our supply chain and/or operations
- Unspecified loss of key suppliers
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 15 quarterly earnings reports · overlaid with Q2 2023
-1.1%
Avg return
Earnings day
+0.5%
Avg return
5 days after
-1.9%
Avg return
30 days after
43%
29 / 67 earnings
Positive
+23.3%
Q3 2025
Best reaction
-36.5%
Q3 2017
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q4 2025 | — | — | — | |
| Q3 2025 | +23.3% | +25.9% | +25.4% | |
| Q2 2025 | -6.5% | -3.5% | -10.7% | |
| Q1 2025 | -5.5% | -3.5% | -6.6% | |
| Q4 2024 | -0.6% | -8.4% | -15.2% | |
| Q3 2024 | -15.1% | -12.9% | -8.5% | |
| Q2 2024 | -5.1% | +0.4% | +5.1% | |
| Q1 2024 | -4.7% | -5.2% | -0.9% | |
| Q4 2023 | -14.2% | -14.1% | -14.1% | |
| Q3 2023 | -9.0% | -8.8% | -2.8% | |
| Q2 2023 | -9.9% | -8.9% | -14.0% | |
| Q1 2023 | -1.4% | -4.1% | -10.4% | |
| Q4 2022 | -1.4% | +1.1% | -2.1% | |
| Q3 2022 | -2.5% | -2.6% | -2.1% | |
| Q2 2022 | +8.0% | +11.4% | +3.5% | |
| Q1 2022 | +22.7% | +27.0% | +28.1% | |
| Q4 2021 | +15.4% | +14.8% | -5.6% | |
| Q3 2021 | +3.9% | — | — | |
| Q2 2021 | -6.3% | — | — | |
| Q1 2021 | +0.8% | — | — | |
| Q4 2020 | -2.5% | — | — | |
| Q3 2020 | -6.0% | — | — | |
| Q2 2020 | -4.6% | — | — | |
| Q1 2020 | +5.2% | — | — | |
| Q4 2019 | -0.7% | — | — | |
| Q3 2019 | -11.0% | — | — | |
| Q2 2019 | -3.8% | — | — | |
| Q1 2019 | -13.0% | — | — | |
| Q4 2018 | +0.0% | — | — | |
| Q3 2018 | -1.9% | — | — | |
| Q2 2018 | +8.6% | — | — | |
| Q1 2018 | +20.6% | — | — | |
| Q4 2017 | -11.0% | — | — | |
| Q3 2017 | -36.5% | — | — | |
| Q2 2017 | -11.6% | — | — | |
| Q1 2017 | -12.1% | — | — | |
| Q4 2016 | +12.1% | — | — | |
| Q3 2016 | -20.5% | — | — | |
| Q2 2016 | -1.5% | — | — | |
| Q1 2016 | +8.1% | — | — | |
| Q4 2015 | +2.4% | — | — | |
| Q3 2015 | +1.3% | — | — | |
| Q2 2015 | -3.0% | — | — | |
| Q1 2015 | -10.4% | — | — | |
| Q4 2014 | -9.8% | — | — | |
| Q3 2014 | -5.8% | — | — | |
| Q2 2014 | +3.1% | — | — | |
| Q1 2014 | -4.0% | — | — | |
| Q4 2013 | +10.7% | — | — | |
| Q3 2013 | -2.1% | — | — | |
| Q2 2013 | +4.0% | — | — | |
| Q1 2013 | -0.0% | — | — | |
| Q4 2012 | +11.0% | — | — | |
| Q3 2012 | -1.8% | — | — | |
| Q2 2012 | -12.7% | — | — | |
| Q1 2012 | +0.1% | — | — | |
| Q4 2008 | +2.1% | — | — | |
| Q4 2011 | +2.1% | — | — | |
| Q3 2011 | -1.7% | — | — | |
| Q2 2011 | +2.8% | — | — | |
| Q1 2010 | +0.7% | — | — | |
| Q1 2011 | +2.2% | — | — | |
| Q4 2010 | -0.5% | — | — | |
| Q3 2009 | +5.9% | — | — | |
| Q3 2010 | +5.9% | — | — | |
| Q4 2009 | +4.4% | — | — | |
| Q2 2009 | +4.4% | — | — | |
| Q2 2010 | +4.4% | — | — |
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