Overview

* Highliner Foods Q2 sales rise 9.8%, meeting analyst expectations

* Adjusted EPS for Q2 misses estimates, coming in at $0.38

* Net income declines 56% due to higher finance costs and acquisition expenses

Outlook

* Highliner Foods expects tariffs to continue impacting operations in H2 2025

* Company pursuing strategies to support volume growth and preserve margins

* Highliner Foods anticipates long-term growth from Conagra Brands acquisition

Result Drivers

* SALES VOLUME - Increased by 6.0% due to higher demand in retail and foodservice sectors, supported by later Lent

* BRAND INTEGRATION - Integration of Mrs. Pauls and Van de Kamps brands expected to expand U.S. market presence

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Sales In-line $239.61 $239.60

mln mln (4

Analysts

)

Q2 Miss $0.38 $0.41 (4

Adjusted Analysts

EPS )

Q2 EPS $0.28

Q2 $11.50

Adjusted mln

Net

Income

Q2 Net $8.47

Income mln

Q2 $25.08

Adjusted mln

EBITDA

Q2 Gross $53.32

Profit mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the food processing peer group is "buy"

* Wall Street's median 12-month price target for High Liner Foods Inc ( HLNFF ) is C$21.00, about 18.8% above its August 6 closing price of C$17.05

* The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)