Utz Brands Inc.
UTZ,
set long-term financial goals on Friday and backed its 2023 guidance in a statement released ahead of an investor day. The salty snacks maker said it still expects sales to growth 2% to 3% in fiscal 2023 and set a goal of 4% to 5% organic sales growth for the period from fiscal 2023 to fiscal 2026. The company expects double-digit annual adjusted per-share earnings in the three-year period. “As we look to the future, we will lean into the strength of our Power Brands, which include Utz, Zapp’s, Boulder Canyon, and On The Border, with increased marketing, cross-category innovation and market expansion across the U.S.,” CEO Howard Friedman said in a statement. The company plans to enlarge into new geographies and untapped channels, while working to retain market share in its core geographies. It will outline efforts to overhaul its supply chain and expects to deliver $135 million in cost savings through 2026. It’s also planning to reduce leverage by maintaining a disciplined capital allocation approach and to seek acquisitions opportunistically. The stock was slightly higher premarket but is down 9% in the year to date, while the S&P 500
SPX,
has gained 23%.
