Simply Good Foods Raises Full-Year Sales Outlook Following Third-Quarter Beat

Simply Good Foods (SMPL) lifted its full-year sales outlook on Thursday as the nutritional snacking company recorded better-than-expected fiscal third-quarter results. The company now anticipates sales between $1.345 billion and $1.355 billion for fiscal 2026, up from its prior guidance of $1.31 billion to $1.35 billion. The current consensus on FactSet is for $1.34 billion. For the quarter ended May 30, Simply Good Foods' sales declined 6.3% year on year to $357 million, but came in ahead of the Street's view for $333 million. The topline decrease was driven by a nearly 25% drop in the Atkins brand amid distribution-related weakness, partially offset by gains in Quest and OWYN. Simply Good Foods markets protein bars, ready-to-drink shakes and confectionery products under the Quest, Atkins, and OWYN brands. Adjusted earnings fell to $0.42 per share from $0.51 in the year-ago period, but topped the average analyst estimate of $0.36. "Our third-quarter results reflect initial steps against the turnaround priorities we outlined last quarter," Chief Executive Joe Scalzo said in a statement. "While we are still in the early stages of this work, we are beginning to see some signs.