Utz Brands is scheduled to announce its second-quarter earnings on Thursday before the market opens. Here are the key details:
Sales:
According to FactSet, the snack maker is projected to report sales of $360.6 million, which is an increase from $350.1 million in the same period last year.
Adjusted Earnings:
FactSet predicts that the company, based in Hanover, Pa., will post adjusted earnings of 12 cents per share, slightly down from 13 cents per share in the previous year.
Net Income:
Utz is expected to report net income of $18.6 million, significantly higher than the $2.5 million reported in the same period last year.
What to Watch:
Marketing:
Investors should pay attention to Utz's marketing efforts and how they are progressing. CEO Howard Friedman revealed in May that the company intends to increase its working media in order to drive consumer demand, enhance digital marketing initiatives, and introduce new products to align with current trends.
Innovation:
The market will closely monitor Utz's strategy to expand into new areas such as flavored pretzels and hot and spicy flavors. Additionally, consumer response to these offerings will be of interest. Friedman previously highlighted the growth potential of multipacks, variety packs, and the company's plans to expand its assortment of power brands.
Production:
Utz may provide updates on its production shift. In April, the company announced the permanent closure of its manufacturing facility in Birmingham, Ala., effective July. Chief Financial Officer Ajay Kataria stated in May that Utz would relocate production to its facilities in Kings Mountain, N.C., and Hanover, Pa., citing challenges and costs associated with retrofitting the Alabama facility.
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