Lamb Weston Holdings, Inc. (NYSE: LW) announced today its first‑quarter fiscal 2026 results, reporting net sales of $1,659.3 million, a 26% year‑over‑year decline in income from operations to $156.5 million, and net income of $64.3 million, down 50% from the same quarter last year. Diluted earnings per share fell to $0.46, a 48% drop, while adjusted income from operations rose 5% to $206.5 million and adjusted net income fell 9% to $103.0 million. Adjusted diluted EPS was $0.74, a 5% decline, and adjusted EBITDA increased 1% to $302.2 million.
The company reaffirmed its fiscal 2026 outlook, maintaining a full‑year revenue guidance of $6.45 billion at the midpoint—slightly below analyst estimates—and an adjusted EBITDA range of $1.0 billion to $1.2 billion. The effective tax rate was reported at 28.5%, and capital expenditures were capped at $750 million for the year.
Capital returned to shareholders totaled $62.1 million, comprising a $0.37 per share dividend (declared September 25, 2025, payable November 28, 2025) and a $10.4 million share repurchase program. Cash flow from operations for the quarter was $352.0 million, supporting the company’s ability to fund dividends and buybacks while maintaining liquidity.
Lamb Weston highlighted that its “Focus to Win” cost‑saving program continues to deliver incremental efficiencies, with the company targeting $100 million in annualized savings by the end of fiscal 2026 and an additional $60 million in working‑capital improvements. The company also noted that the completion of its major capacity expansions in Argentina, the Netherlands, and the United States has positioned it for improved free cash flow starting in fiscal 2026.
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