Lifeway Foods Q4 net sales rise, reiterates adjusted EBITDA long-term target

Lifeway Foods

17/03/2026 13:15

Overview

U.S. kefir supplier's Q4 net sales rose 18% yr/yr, driven by volume-led growth

Company reported Q4 net income of $2.5 mln, reversing prior-year loss

Q4 gross margin expanded by 250 basis points, reflecting operational execution

Outlook

Company reiterates long-term target of $45–$50 mln Adjusted EBITDA for FY 2027

Lifeway expects to deliver strongest annual sales in company history in FY 2026

Company says investments in capacity, marketing and innovation to drive future growth

Result Drivers

MARKETING INVESTMENT - Co said continued investment in marketing and brand awareness contributed to sales growth and increased consumer engagement

PRODUCT INNOVATION - New product launches, including Lifeway Kefir Butter and Muscle Mates, expanded the portfolio and addressed evolving consumer tastes

OPERATIONAL EXECUTION - Disciplined execution drove significant gross margin expansion and net income growth, per CEO Julie Smolyansky

Company press release: ID:nPn4qlNVfa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Slight Beat*
$55.36 mln
$55 mln (2 Analysts)
Q4 Net Income
$2.54 mln
Q4 Gross Profit
$15.36 mln
Q4 Income From Operations
$3.76 mln
Q4 Operating Expenses
$11.60 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "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 Lifeway Foods Inc is $34.00, about 64.2% above its March 16 closing price of $20.71

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 20 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.)