Turning Point Brands tops Q2 sales estimates on modern oral product growth

Turning Point Brands

04/08/2026 12:53

Overview
U.S. tobacco products maker's Q2 sales rose 23%, beating analyst expectations
Adjusted EPS for Q2 missed consensus, falling from prior year
Company raised full-year Modern Oral sales guidance after segment's strong growth

Outlook
Turning Point Brands raises FY 2026 Modern Oral Gross Sales guidance to $330-$350 mln
Company lifts FY 2026 Modern Oral Net Sales forecast to $260-$270 mln
Turning Point Brands expects FY 2026 Adjusted EBITDA of $70-90 mln

Result Drivers
MODERN ORAL GROWTH - Co said strong Modern Oral sales, driven by investments in distribution and brand development, accounted for nearly half of total net sales
HIGHER SALES AND MARKETING SPEND - SG&A expenses rose 91% due to Modern Oral-related sales and marketing investments and increased outbound freight costs
TARIFF REFUND IMPACT - Gross profit was boosted by a one-time tariff refund; adjusted for this, gross profit was $81.5 mln

Company press release: ID:nBwXl1v8a

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Sales
Beat
$142.96 mln
$129.22 mln (6 Analysts)
Q2 Adjusted EPS
Miss
$0.23
$0.43 (4 Analysts)
Q2 Gross Profit
 
$93.70 mln
 
Q2 Operating Income
 
$16.71 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", no "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 $125.00, about 55.4% above its August 3 closing price of $80.42
The stock recently traded at 32 times the next 12-month earnings vs. a P/E of 24 three months ago

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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.)