Flowers Foods Inc

Latest Results (17.05.2026):

Flowers Foods Inc – Fourth Quarter 2025 (13-week quarter ended January 3, 2026): net sales rose 11.0% to $1.233 billion, but GAAP results swung to a net loss of $67.1 million largely driven by a $136.0 million non‑cash impairment of intangible assets; on an adjusted basis the company delivered $117.4 million of adjusted EBITDA and adjusted diluted EPS of $0.22 in the quarter. The full fiscal 2025 year (53 weeks) produced $5.256 billion in sales, $83.8 million of net income, and management provided guidance for fiscal 2026 with adjusted EBITDA of $465–495 million and adjusted diluted EPS of $0.80–0.90.

Sales

Q4 net sales increased 11.0% to $1.233 billion (extra week, Simple Mills acquisition and higher price/mix more than offset volume declines). For fiscal 2025, net sales were $5.256 billion, a 3.0% increase vs. prior year (53rd week and acquisition contributions).

Profitability & impairment

GAAP net income for Q4 fell $110.2 million to a net loss of $67.1 million, primarily because of a $136.0 million non‑cash impairment of finite‑lived intangible assets; fiscal 2025 net income declined 66.2% to $83.8 million for the year.

Adjusted performance

Q4 adjusted EBITDA rose 14.7% to $117.4 million (9.5% of sales, +30 bps). Adjusted net income was $45.8 million (down 1.5%); adjusted diluted EPS was $0.22 (flat year‑over‑year). Fiscal 2025 adjusted EBITDA was $535.2 million (down 0.6%, 10.2% margin) and adjusted diluted EPS was $1.09 (down $0.19).

Simple Mills & extra week impact

Simple Mills added $57.5 million of Q4 net sales, contributed $6.3 million to adjusted EBITDA and produced a $6.2 million net loss (≈($0.03) to diluted EPS). For the year Simple Mills contributed $213.9 million in sales and $32.0 million to adjusted EBITDA. The extra (53rd) week added meaningfully to sales and contributed roughly $0.02 to EPS in both Q4 and the full year comparisons.

Costs, margins & interest

Materials, supplies, labor and other production costs were 51.5% of net sales in Q4 (up 30 bps), driven partly by increased outside product purchases. SD&A was 39.9% of sales (down 10 bps); adjusted SD&A was 39.0% (down 60 bps). Depreciation & amortization was $38.5 million (3.1% of sales). Net interest expense rose by $11.4 million due to debt issued for the Simple Mills acquisition.

Cash flow & capital allocation

Fiscal 2025 operating cash flow increased to $446.2 million (+$33.5M), capital expenditures were $127.1 million, dividends paid rose to $209.3 million, and year‑end cash and cash equivalents were $12.1 million.

Outlook for fiscal 2026

For the 52‑week fiscal 2026 the company expects net sales of approximately $5.163–$5.267 billion (-1.8% to +0.2% vs. prior year), adjusted EBITDA of ~$465–$495 million, and adjusted diluted EPS of ~$0.80–$0.90. Guidance assumes D&A of $165–$170 million, net interest of $65–$70 million, an effective tax rate of ~26%, and ~213.5 million diluted shares.

Management commentary

CEO Ryals McMullian said 2025 closed on a positive note with efficiency initiatives performing well; however, management expects category headwinds and one fewer week to weigh on 2026 and is conducting a comprehensive operational review of brands, supply chain and financial strategy to drive improved results and long‑term value.