Simply Good Foods Q1 net income falls 33.7% to $25.3 million; outlook reaffirmed
Simply Good Foods reported fiscal first quarter 2026 results, with net sales of $340.2 million, down 0.3% year over year, and net income of $25.3 million, down 33.7%. Adjusted EBITDA fell 20.6% to $55.6 million, and gross margin declined 590 basis points to 32.3%, driven by input inflation and tariff costs. The company reaffirmed its full-year fiscal 2026 outlook and raised its share repurchase authorization by $200 million, which matters to shareholders because profit fell sharply while the company kept its guidance and returned cash through buybacks.
Key points
- Net sales of $340.2 million vs. $341.3 million; Quest grew 9.6% while Atkins fell 16.5% and OWYN fell 3.3%
- Net income of $25.3 million vs. $38.1 million; diluted EPS of $0.26 vs. $0.38; adjusted diluted EPS of $0.39 vs. $0.49
- Fiscal 2026 outlook reaffirmed: net sales -2% to +2%, gross margins down 100 to 150 basis points, adjusted EBITDA -4% to +1%
- Board approved a $200 million increase to the repurchase program on January 6, 2026; about $224 million is available
The filing
Written by AI (Anthropic Claude, claude-haiku-5-5) on Nov 8, 2026, 6:59 AM ET, from the text of the filing and its press-release exhibits only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on January 08, 2026.
Briefs are written by AI from the filing text (each brief's own page names the model) and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the model's reading of the filing for shareholders, not a price forecast. Not investment advice.