Post Holdings — Q3 2026 Earnings Summary

Financial Performance

• Third quarter net sales were $1.948 billion, a 1.8% decrease year-over-year (YoY).
• Operating profit was $189.3 million, a 19.3% decrease YoY.
• Net earnings were $63.4 million, a 41.7% decrease YoY.
• Diluted earnings per share (EPS) were $1.29, down from $1.79 in the prior year period.
• Adjusted net earnings were $91.1 million, down 27.9% YoY.
• Adjusted diluted EPS was $1.78, down 12.3% YoY.
• Adjusted EBITDA was $377.3 million, a 5.0% decrease YoY.
• Gross profit was $566.3 million (29.1% of sales), a 5.0% decrease YoY.
• SG&A expenses were $326.1 million (16.7% of sales), a 4.5% increase YoY.
• For the nine months ended June 30, 2026, net sales were $6.166 billion, an increase of $254.4 million YoY.
• Nine-month operating profit was $639.6 million, a 1.4% increase YoY.
• Nine-month net earnings were $242.1 million, a 15.0% decrease YoY.
• Nine-month diluted EPS was $4.59, compared to $4.60 in the prior year.
• Nine-month Adjusted EBITDA was $1,190.5 million, a 6.9% increase YoY.
• Interest expense, net was $108.2 million for the quarter and $317.3 million for the nine months.
• A $17.5 million loss on extinguishment of debt was recorded in the nine-month period.

Guidance and Future Outlook

• Fiscal year 2026 Adjusted EBITDA guidance was narrowed to $1,560-$1,570 million from the previous range of $1,550-$1,580 million.
• Preliminary fiscal year 2027 outlook is generally flat versus an implied Adjusted EBITDA level of approximately $1.48 billion (excluding $60 million in Foodservice earnings above run rate and $20 million in divestiture contributions).
• Fiscal year 2026 capital expenditures are expected to range between $370-$390 million.
• Capital expenditures include $80-$90 million for Foodservice cage-free egg facility expansion and the Norwalk, Iowa precooked egg facility expansion.
• Management expects growth in Foodservice off its $500 million run rate, pricing actions, and productivity initiatives to offset inflationary pressures and volume softness in certain categories.

Business Segments and Product Lines

• Post Consumer Brands: Q3 net sales were $974.2 million (up 6.6% YoY), including $141.8 million from 8th Avenue. Excluding acquisitions, volumes declined 7.1% due to pet food (-7.8%) and cereal/granola (-5.5%) volume declines. Segment profit was $127.3 million (up 5.6% YoY); Adjusted EBITDA was $197.3 million (up 11.2% YoY).
• Foodservice: Q3 net sales were $652.9 million (down 6.5% YoY), driven by the lapping of avian influenza pricing. Volumes increased 4.3%. Segment profit was $100.8 million (down 18.6% YoY); Adjusted EBITDA was $140.8 million (down 11.4% YoY).
• Refrigerated Retail: Q3 net sales were $184.5 million (down 21.1% YoY), including $10.3 million from Crystal Farms Business (vs. $37.1 million in prior year). Excluding divestiture, volumes decreased 4.9%. Segment profit was $9.5 million (down 61.2% YoY); Adjusted EBITDA was $26.6 million (down 41.3% YoY).
• Weetabix: Q3 net sales were $137.1 million (down 0.6% YoY), with a 40 basis point foreign currency tailwind. Volumes decreased 3.8%. Segment profit was $26.1 million (up 35.2% YoY); Adjusted EBITDA was $37.3 million (up 13.7% YoY).

Market and Competitive Landscape

• Post Consumer Brands volume declines were driven by category declines, distribution losses in value cereal, and pack size changes.
• Foodservice and Refrigerated Retail performance was impacted by the lapping of avian influenza-driven pricing and demand in the prior year.
• Weetabix volume declines were primarily driven by declines in private label products.
• Refrigerated Retail volume declines included the shifting of Easter demand out of the quarter and normalization of egg demand.

Risks and Challenges

• Risks include volatility in input costs (raw materials, energy, freight), supply chain disruptions, tariffs, inflation, and agricultural diseases (avian influenza).
• Potential risks include labor shortages, strikes, unionization, and changes in economic conditions or interest rates.
• High leverage and debt service obligations remain a concern, along with potential credit rating downgrades.
• Risks associated with acquisitions, divestitures, and integration costs are noted.
• Product liability claims, recalls, and litigation risks are identified.
• Cybersecurity incidents and IT failures pose potential business disruption risks.

Management Commentary and Tone

• Management narrowed the fiscal 2026 Adjusted EBITDA outlook, citing the need to adjust for comparability items in the Foodservice segment and divestitures.
• The tone regarding fiscal 2027 is cautious but stable, expecting flat performance against a normalized run rate while offsetting inflation and volume softness.
• Robert V. Vitale (Chairman, President, and CEO), Nicolas Catoggio (COO), and Matthew J. Mainer (CFO) participated in the conference call.

Other Key Points

• Acquisitions and Divestitures: Post completed the sale of Crystal Farms Dairy Company assets on May 1, 2026. It acquired 8th Avenue Food & Provisions on July 1, 2025, and sold the 8th Avenue pasta business on December 1, 2025.
• Share Repurchases: Post repurchased 2.1 million shares for $198.9 million in Q3 2026 (avg price $98.86). For the nine months, 9.1 million shares were repurchased for $908.8 million (avg price $100.34). Subsequent to quarter-end, 0.4 million shares were repurchased for $39.3 million. $490.7 million remained under the authorization as of August 5, 2026.
• Debt: A $17.5 million loss on extinguishment of debt was recorded in the nine-month period related to the redemption of 5.50% senior notes due December 2029.
• Conference Call: A conference call was scheduled for August 7, 2026, at 9:00 a.m. ET.