Smoking accessories maker Turning Point beats Q3 sales estimates, raises FY forecast

Turning Point Brands

05/11/2025 12:39

Corrects adjusted EPS to $1.05 from $1.27 in Key Details table

Overview

Turning Point Q3 net sales rise 31.2% yr/yr, beating analyst expectations

Adjusted EPS for Q3 beats consensus, reflecting robust performance

Company raises full-year 2025 Adjusted EBITDA and Modern Oral sales guidance

Outlook

Turning Point raises 2025 Adjusted EBITDA guidance to $115.0 – 120.0 mln

Company increases full-year Modern Oral sales guidance to $125.0 – 130.0 mln

Result Drivers

MODERN ORAL GROWTH - Modern Oral sales surged 628% yr/yr to $36.7 mln, now 30.8% of total sales

STOKER'S SEGMENT - Stoker's segment net sales rose 80.8% yr/yr, driven by Modern Oral and MST growth

ZIG-ZAG DECLINE - Zig-Zag segment net sales fell 10.5% yr/yr, but excluding Clipper, rose mid-single-digits sequentially

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$118.97 mln
$111.40 mln (5 Analysts)
Q3 Adjusted EPS
Beat
$1.05
$0.87 (3 Analysts)
Q3 Net Income
$23.75 mln
Q3 Gross Profit
$70.42 mln
Q3 Operating income
$25.88 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 tobacco peer group is "buy"

Wall Street's median 12-month price target for Turning Point Brands Inc is $109.00, about 12.7% above its November 4 closing price of $95.18

The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 22 three months ago

Press Release: ID:nBwbxnjPVa

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(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.)