2026-04-01 12:32:46
Lamb Weston Holdings Reports Q3 2026 Results with Decline in Net Income and Adjusted EBITDA
Expected Stock impact: Slightly Negative
Lamb Weston Holdings, Inc. (NYSE: LW) announced its financial results for the third quarter of fiscal 2026 on April 1, 2026. The company reported net sales of $1,564.8 million, reflecting a year-over-year increase of $44.3 million. However, net income declined significantly to $54.0 million, a decrease of $92.0 million compared to the prior year quarter. This decline was attributed to unfavorable global price/mix and increased manufacturing costs, including a $32.5 million pre-tax charge related to excess raw potatoes in the International segment. Adjusted EBITDA also fell to $271.7 million, down $101.3 million from the previous year. The company has updated its fiscal 2026 guidance, now expecting net sales between $6.45 billion and $6.55 billion, and adjusted EBITDA between $1.08 billion and $1.14 billion. Additionally, the Board of Directors declared a quarterly dividend of $0.38 per share, payable on June 5, 2026. Despite the challenges faced, Lamb Weston remains focused on operational efficiency and cost discipline, aiming to exceed its cost reduction target of at least $250 million by fiscal year-end 2028.
