Quarterly ResultMay 14, 2026, 06:12 AM
Lifeway Foods Q1 Net Sales $63.0M, up 37%; Net Income +32%
AI Summary
Lifeway Foods announced record-breaking financial results for the first quarter ended March 31, 2026, with net sales reaching $63.0 million, a 36.7% increase year-over-year. The company achieved significant gross profit margin expansion of 360 basis points to 27.5% and a 32% rise in net income to $4.7 million. These results were driven by strong growth in its flagship Lifeway Kefir and Farmer Cheese, supported by increasing consumer focus on protein-rich, probiotic foods. Lifeway also introduced new products like Muscle Mates™ and Kefir Butter™, and partnered with Erewhon for a new smoothie. The company reiterated its long-term Adjusted EBITDA target for FY 2027 and expects record annual sales in FY 2026.
Key Highlights
- Net sales reached a record $63.0 million, a 36.7% increase year-over-year.
- Gross profit margin expanded by 360 basis points to 27.5%.
- Net income grew 32% to $4.7 million, compared to $3.5 million in prior year.
- Diluted earnings per share (EPS) was $0.30, up from $0.23 year-over-year.
- Selling, general and administrative expenses increased 16.8% to $10.9 million.
- Operating cash flow was $4.378 million, a significant improvement from Q1 2025.
- Launched new products: Muscle Mates™ with creatine and probiotic Kefir Butter™.
- Partnered with Erewhon to launch the Tropical Lifeway Smoothie.