NYSE$UTZ

Utz Brands Inc · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Reported strong start to the year with increased market share and Adjusted EPS growth.

Utz Brands reported net sales of $346.5 million and a net income of $2.4 million for Q1 2024. The company experienced organic net sales growth of 1.5% and a significant increase in Adjusted Earnings per Share of 27.3%. They are reaffirming Organic Net Sales and Adjusted EBITDA outlook, while raising Adjusted Earnings per Share outlook.

  • Net sales reached $346.5 million.
  • Organic Net Sales increased by 1.5%.
  • Net income was $2.4 million, a significant improvement from the previous year's net loss of $(14.5) million.
  • Adjusted Earnings per share increased by 27.3% to $0.14.

Headline financials

Total Revenue

$347M

Previous: $351M-1.4%
EPS

-$0.05

Previous: $0.11-145.5%
Gross Profit Margin

34.5%

No prior period
Adjusted Gross Profit Margin

37.2%

Previous: 34.4%+8.1%
Adjusted SG&A Margin

24.6%

No prior period
Branded Salty Retail Sales Growth

-1.7%

No prior period
Adjusted EBITDA Margin

12.5%

No prior period
Capital Expenditures

-$13.6M

Previous: -$13.9M+2.0%
Free Cash Flow

-$17.6M

Previous: -$23M+23.5%
Net Income

-$3.99M

Previous: -$9.13M+56.3%
Operating Income

$9.66M

Previous: -$2.1M+560.2%
Gross Profit

$120M

Previous: $104M+14.4%
Cash & Equivalents

$47M

Previous: $57.9M-18.8%
Total Assets

$2.63B

Previous: $2.82B-6.8%
Stock-Based Comp

$3.91M

Previous: $4.63M-15.6%

Revenue & EPS history

Utz · Revenue · Quarterly

$347M

Q1 2024-1.4%vs Q1 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

The Company is reaffirming its outlook for Organic Net Sales and Adjusted EBITDA growth, and raising its outlook for Adjusted Earnings per Share growth.

Tailwinds

  • Organic Net Sales growth of ~3% or better driven by volume growth.
  • Adjusted EBITDA growth of 5% to 8%, offset by accelerated cost savings and the transition services agreement.
  • Adjusted EPS growth of 23% to 28%.
  • An effective tax rate in the range of 18% to 20%.
  • Net Leverage Ratio of ~3.6x at year-end fiscal 2024.

Headwinds

  • Net sales to be impacted by ~$45 million due to the sale of the Good Health® and R.W. Garcia® brands.
  • Assumes the estimated impact of the forgone contribution to Adjusted EBITDA from the brand dispositions.
  • Interest expense of ~$47 million.
  • Capital expenditures in the range of $80 to $90 million.
  • Quantitative reconciliation is not available without unreasonable efforts due to the high variability, complexity, and low visibility with respect to certain items.

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 Q1 2024

Historical avgQ1 2024

-0.2%

Avg return

Earnings day

+0.1%

Avg return

5 days after

-1.1%

Avg return

30 days after

55%

12 / 22 earnings

Positive

+15.2%

Q1 2022

Best reaction

-13.4%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.8%-6.2%-8.1%
Q4 2025-4.8%+2.9%-19.2%
Q3 2025-13.4%-15.4%-18.9%
Q1 2025-8.7%-8.8%-0.5%
Q4 2024+2.8%+5.0%+1.9%
Q3 2024+7.0%+6.3%+7.4%
Q2 2024+9.5%+12.5%+13.8%
Q1 2024+6.1%+4.6%+2.3%
Q4 2023-4.5%-4.0%+0.5%
Q3 2023+1.1%+6.6%+11.5%
Q2 2023+2.3%-1.3%-10.9%
Q1 2023-7.3%-5.4%-13.9%
Q4 2022+5.1%+6.6%+1.0%
Q3 2022+5.4%+8.2%+11.7%
Q2 2022-4.5%-4.3%-9.8%
Q1 2022+15.2%+14.2%+4.1%
Q4 2021-8.9%-3.0%+4.0%
Q3 2021+8.4%+7.2%+0.1%
Q2 2021-9.9%-13.6%-7.2%
Q1 2021-7.1%-8.2%-6.4%
Q3 2020-0.3%-2.1%+12.1%
Q4 2019+0.1%-0.1%+0.2%

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