BRBR BellRing Brands, Inc.
Price Chart
Executive Summary
BellRing Brands reported Q2 2026 EPS of $0.37, beating consensus of $0.31 by 18.1%, but revenue of $598.7M missed the $608.8M estimate. However, the headline beat masks a sharp decline in profitability: GAAP net earnings fell 42% YoY to $33.9M, operating profit dropped 31% to $66.0M, and adjusted EBITDA plunged 55% to $53.8M due to an $11.3M inventory charge, input cost inflation, and unfavorable price/mix. Management lowered FY2026 net sales guidance to $2.325-$2.365B (0-2% growth) and adjusted EBITDA to $315-$335M, signaling persistent headwinds from consumer price sensitivity and promotional pressure.
Key Financial Metrics
Actionable Insight
The EPS beat is noise — the underlying business is deteriorating with collapsing margins, negative price/mix, and lowered guidance. Watch for further margin pressure from tariffs and protein/freight inflation. The $516.9M buyback authorization provides a floor but does not offset fundamental weakness. Monitor Q3 for whether promotional investment stabilizes market share or further erodes profitability.
Key Facts
- Q2 2026 EPS $0.37 vs consensus $0.31 (18.1% beat), but GAAP diluted EPS fell to $0.29 from $0.45 YoY
- Revenue $598.7M missed consensus $608.8M; up only 1.8% YoY with volume +10.8% offset by price/mix -9.0%
- Gross profit margin collapsed to 27.0% from 32.3% YoY; adjusted gross margin fell to 22.7% from 34.5%
- Adjusted EBITDA $53.8M, down 55% from $118.6M YoY; net earnings $33.9M, down 42% from $58.7M
- FY2026 guidance lowered: net sales $2.325-$2.365B (0-2% growth), adjusted EBITDA $315-$335M (~14% margin)
- Inventory-related charge of $11.3M from third-party ingredient quality issue; none of finished goods released
- Premier Protein RTD shake volume +11.7% but price/mix -9.4%; Dymatize net sales -1.9% on volume decline
- Share repurchases: 1.2M shares for $26.2M in Q2; $516.9M remaining under authorization
- CEO external search progressing; no update on appointment timing
Financial Impact
Adjusted EBITDA guidance cut to $315-$335M from prior range; Q2 adjusted EBITDA down $64.8M YoY; $11.3M inventory charge; gross margin compression of 530bps
Risk Factors
- Sustained consumer price sensitivity and promotional environment pressuring margins further
- Tariff and input cost inflation (protein, freight) not fully passed through
- Dependence on single contract manufacturer for ~50% of RTD shake production
- CEO transition uncertainty could delay strategic decisions
Market Snapshot
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3287478 |
Track record builds as more directional reports settle.
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
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May 5, 2026
5w ago
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8-K
| $10.63 $9.04 | ▲ +14.96% | ▲ +19.91% | $8.81 (+17.12%) |
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May 5, 2026
5w ago
|
Press Release
| $10.63 $9.04 | ▲ +14.96% | ▲ +19.91% | $8.81 (+17.12%) |
US Market Status
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