BellRing Brands (BRBR) Q2 2026 earnings summary

Executive summary

• Second quarter net sales increased 2% year-over-year to $598.7 million, driven by higher Premier Protein volumes but offset by lower average selling prices, increased promotional activity, and an $11.3 million inventory-related charge.

• Operating profit declined 31% year-over-year to $66.0 million, with net earnings down 42% to $33.9 million, reflecting higher costs, lower margins, and increased advertising expenses.

• Adjusted EBITDA for Q2 was $53.8 million (9% margin), down significantly from the prior year, due to margin pressures from input cost inflation, unfavorable price/mix, and higher freight.

• The company continues to invest in advertising and long-term growth despite a challenging promotional and inflationary environment.

• Premier Protein and Dymatize brands maintained leading market share and household penetration in the RTD category.

Financial highlights

• Q2 net sales were $598.7–$599 million, up 2% year-over-year; Premier Protein net sales grew 1.7%, Dymatize sales declined 2%.

• Gross profit for Q2 was $161.7 million (27.0% of net sales), down from $189.8 million (32.3%) year-over-year; adjusted gross profit was $136 million (22.7%).

• Adjusted EBITDA was $53.8–$54 million, with a margin of 9%, down 400 basis points from guidance.

• SG&A expenses were $91.5–$92 million (15.3% of sales), with advertising investment up 140 basis points as a percentage of sales.

• Net earnings per diluted share were $0.29 for Q2, compared to $0.45 last year; adjusted diluted EPS was $0.14, down from $0.53.

Outlook and guidance

• Fiscal year 2026 net sales outlook is $2.325–$2.365 billion, with adjusted EBITDA guidance of $315–$335 million (approx. 14% of net sales).

• Full-year 2026 net sales growth expected to be flat to up 2%, with adjusted EBITDA margin outlook at 14% (including 50 bps from the Q2 inventory charge).

• Second half net sales growth anticipated at 1%, with Q3 net sales expected to decline ~1% and Q3 adjusted EBITDA margin projected at 16%.

• Guidance incorporates ongoing promotional and consumer headwinds, incremental inflation, and continued investment in advertising.

• Management expects to generate positive cash flows from operations over the next twelve months and believes liquidity and borrowing capacity are sufficient.