Canada's Lassonde Q1 sales fall and miss estimates on private label product weakness

Lassonde Industries

07/05/2026 22:19

Overview

Canada beverage and food maker's Q1 sales fell and missed analyst expectations

Q1 adjusted EPS beat analyst expectations, driven by pricing actions and lower input-cost pressures

Adjusted EBITDA for Q1 missed analyst expectations

Outlook

Lassonde expects 2026 sales to reach $3 bln, excluding foreign exchange impacts

Company sees some relief in orange concentrate costs in 2026, but higher costs for other inputs and transportation

Lassonde projects 2026 capital expenditures up to 7% of sales, including about US$96 mln for New Jersey plant

Result Drivers

LOWER VOLUMES - Co said sales fell mainly due to lower volumes, especially for private label products, as macroeconomic uncertainty weighed on consumer demand, with additional impact from portfolio adjustments and supply constraints

PRICING AND MIX - Profit growth was driven by disciplined pricing actions and a favourable change in the Canadian sales mix, partly offsetting lower volumes

INPUT COSTS - Lower orange concentrate costs supported margins, though higher apple and pineapple concentrate costs and increased conversion costs in Canada partly offset gains

Company press release: ID:nGNX3sb7pk

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Miss
C$664 mln
C$715.76 mln (3 Analysts)
Q1 Adjusted EPS
Beat
C$5.36
C$5.06 (3 Analysts)
Q1 EPS
C$5.38
Q1 Adjusted EBITDA
Miss
C$79.90 mln
C$80.92 mln (3 Analysts)
Q1 EBITDA
C$79.70 mln
Q1 Gross Profit
C$188.30 mln
Q1 Operating Income
C$52 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the food processing peer group is "buy"

Wall Street's median 12-month price target for Lassonde Industries Inc is C$277.50, about 25.6% above its May 6 closing price of C$221.00

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)