MGP Ingredients Q4 revenue down 23%, beats estimates

MGP Ingredients

25/02/2026 12:38

Overview

Spirits and ingredients provider's Q4 revenue fell 23% but beat analyst expectations

Company reported a Q4 net loss due to a $152.6 mln non-cash impairment charge

Distilling Solutions segment sales fell 47% due to lower brown goods demand

Outlook

MGP Ingredients projects 2026 sales between $480 mln and $500 mln

Company expects 2026 adjusted EBITDA between $90 mln and $98 mln

MGP Ingredients anticipates 2026 adjusted basic EPS between $1.50 and $1.80

Result Drivers

BROWN GOODS PRESSURE - Distilling Solutions segment sales fell 47% due to lower demand for brown goods, impacting overall revenue

EQUIPMENT FAILURE - Ingredient Solutions segment sales decreased 10% due to the impact of equipment failure, affecting specialty fiber and protein sales

PREMIUM PLUS GROWTH - Premium plus brands in Branded Spirits segment grew 10%, led by Penelope Bourbon, despite overall segment sales decline

Company press release: ID:nBw8jMZDqa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Sales
Beat
$138.30 mln
$132.28 mln (4 Analysts)
Q4 Net Income
-$134.60 mln
Q4 Adjusted EBITDA
$26.10 mln
Q4 Operating Income
-$135.20 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the distillers & wineries peer group is "buy"

Wall Street's median 12-month price target for MGP Ingredients Inc is $35.00, about 35.6% above its February 24 closing price of $25.81

The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 9 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.)