NYSE$UTZ

Utz Brands Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Reported strong momentum with dollar, pound, and unit share gains in the Salty Snack category for the third consecutive quarter, delivered sixth consecutive quarter of year-over-year Adjusted EBITDA Margin expansion, and increased Adjusted Earnings per Share.

Utz Brands reported second quarter net sales of $356.2 million. Organic Net Sales increased 1.6%. Net income was $25.4 million, with earnings per share of $0.23. Adjusted Earnings per share increased 46.2% to $0.19.

  • Net Sales of $356.2 million.
  • Organic Net Sales increased 1.6%.
  • Gross Profit Margin expansion of 260bps.
  • Adjusted Earnings per share increased 46.2% to $0.19.

Headline financials

Total Revenue

$356M

Previous: $363M-1.8%
EPS

$0.23

Previous: $0.13+76.9%
Gross Profit Margin

35.0%

Previous: 32.4%+8.0%
Adjusted Gross Profit Margin

37.6%

Previous: 35.0%+7.4%
Adjusted SG&A Margin

23.7%

No prior period
Adjusted EBITDA Margin

14.0%

No prior period
Capital Expenditures

-$37.8M

Previous: -$30.2M-25.3%
Free Cash Flow

-$17.9M

Previous: -$34.3M+47.7%
Net Income

$19.8M

Previous: -$4.12M+581.3%
Operating Income

$22.5M

Previous: $2.66M+746.8%
Gross Profit

$125M

Previous: $117M+6.3%
Cash & Equivalents

$66.6M

Previous: $73.7M-9.6%
Total Assets

$2.65B

Previous: $2.84B-6.7%
Stock-Based Comp

$5.26M

Previous: $4.31M+22.2%

Revenue & EPS history

Utz · Revenue · Quarterly

$356M

Q2 2024-1.8%vs Q2 2023
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

The Company is modestly revising its outlook for Organic Net Sales growth from ~3% or better to now ~3%, reaffirming its outlook for Adjusted EBITDA growth of 5%-8%, and raising its outlook for Adjusted Earnings per Share growth from 23%-28%, to 28%-32%.

Tailwinds

  • Organic Net Sales growth driven by volume growth.
  • Increased marketing investments.
  • Product innovation.
  • Already achieved distribution gains.
  • Easier second half growth comparison.

Headwinds

  • Revised outlook due to a more moderate growth outlook for the Salty Snack Category.
  • Net sales will be impacted by ~$45 million due to the sale of the Good Health® and R.W. Garcia® brands.
  • Effective tax rate in the range of 17%-19%.
  • Interest expense of ~$47 million.
  • Capital expenditures in the range of $80-$90 million.

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 2024

Historical avgQ2 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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