Turning Point Brands Reports Q3 Sales Up 27% to $151.1 Million
Third-quarter 2026 net income fell 81.4% to $3.9 million and adjusted EBITDA declined 41.3% to $18.4 million. Management reaffirmed fiscal 2026 guidance.
Turning Point Brands, Inc. announced its financial results for the third quarter of 2026, reporting total sales of $151.1 million, a 27.0% increase year-over-year that surpassed consensus estimates. The company's Stoker segment saw sales grow 52.0% to $113.8 million, while the Zig-Zag segment experienced a 15.5% decline to $37.3 million. Despite the revenue growth, net income fell 81.4% to $3.9 million and adjusted EBITDA decreased 41.3% to $18.4 million, primarily driven by a 69.1% increase in selling, general, and administrative expenses related to marketing and distribution investments.
Management reaffirmed the company's fiscal year 2026 guidance, emphasizing a focus on the nicotine pouch category to drive long-term value.