Lamb Weston beat Q1 sales estimates on North America volume growth, raises FY outlook
LW•Lamb Weston reported fiscal first-quarter net sales of $1.67 billion and adjusted EPS of $0.75, beating analyst estimates of $1.65 billion and $0.59. The company raised its full-year outlook, including fiscal 2027 adjusted EPS guidance to $3.05-$3.35 and adjusted EBITDA guidance to $1.125 billion-$1.215 billion.
1. Quarterly results
Fiscal first-quarter net sales rose 1% to $1.67 billion, while adjusted EPS was $0.75. Both exceeded analyst estimates. Adjusted EBITDA was $286 million, compared with an estimate of $261.89 million.
2. Volume and outlook
North America sales volume increased 7%, driven by higher demand from existing customers and new customer wins. Lamb Weston raised its full-year net sales growth outlook to low single digits and increased fiscal 2027 adjusted EPS guidance to $3.05-$3.35 and adjusted EBITDA guidance to $1.125 billion-$1.215 billion.
3. Segment pressures
The company said cost savings and capacity optimization in North America contributed to improved segment profitability. Lower sales volume and higher manufacturing costs, especially in EMEA, weighed on its international segment.
