Total Revenue

+15% (from $312.20M to $359.66M)

Strong overall revenue growth was driven by robust performance in Quest (+16.7%) and the introduction of OWYN contributing $33.81M, which more than offset the 11.4% decline in Atkins revenue; additionally, a 16.4% increase in North America revenue supported the overall growth. " " "

Atkins Revenue

–11.4% (from $122.76M to $108.65M)

Atkins experienced a significant decline due to factors evident in the previous period such as potential category challenges and competitive pressures, reducing its contribution despite the overall revenue growth across the portfolio. " "

Quest Revenue

+16.7% (from $180.87M to $210.77M)

Quest’s strong performance is attributable to continued product innovation and growing consumer demand for high-protein, low-sugar options, building on its momentum from the prior period. " "

OWYN Revenue

Newly Reported – $33.81M contributed

OWYN's entry and strong market positioning in the plant-based category added a significant revenue stream in Q2 2025, highlighting the success of its recent launch and its potential to drive future growth. "

North America Revenue

+16.4% (from $303.63M to $353.227M)

North America revenue increased robustly, supported by strong performances from Quest and OWYN while offsetting declines in Atkins; this regional strength underpinned the total revenue expansion. " "

International Revenue

–25% (from $8.57M to $6.428M)

International revenue declined sharply, possibly due to subdued demand or strategic focus shifts away from these markets compared to the previous period, thus affecting the overall geographic balance. " "

Net Income

+10.9% (from $33,123K to $36,747K)

Net income improved as a result of higher gross profit and operating leverage from strong Quest and OWYN performance, even as the portfolio faced cost pressures; this indicates better profit conversion than in the prior period. " "

Operating Cash Flow

–32.7% (from $46,468K to $31,246K)

Operating cash flow declined significantly due to increased working capital requirements—particularly in inventory buildup associated with the OWYN integration—resulting in reduced cash efficiency compared to the previous period. " "

Total Reported Net Sales

FY 2025

8.5% to 10.5% "

8.5% to 10.5% "

no change

OWYN Net Sales

FY 2025

$135 million to $145 million "

$140 million to $150 million "

raised

Total Company Adjusted EBITDA

FY 2025

4% to 6% "

4% to 6% "

no change

Gross Margins

FY 2025

no prior guidance

down approximately 200 basis points "

no prior guidance

Net Interest Expense

FY 2025

$23 million to $25 million "

$21 million to $23 million "

lowered

Effective Tax Rate

FY 2025

25% "

24% "

lowered

Capital Expenditures

FY 2025

$10 million to $15 million "

$10 million to $15 million "

no change

Net Leverage

FY 2025

no prior guidance

around 0.5x "

no prior guidance

OWYN Growth & Integration

Q1 2025, Q4 2024, and Q3 2024 emphasized robust double-digit growth, improving repeat rates, ongoing integration with increasing distribution, and a phased independence strategy for OWYN. " " " "

Q2 2025 highlighted strong revenue growth (10.8% increase, robust retail takeaway and velocity gains), accelerating distribution expansion, and clear progress in integration with an optimistic long‐term outlook. " " "

Consistent high growth and integration success with increasing optimism as the focus sharpens on scaling distribution and innovation.

Quest Product Innovation & Performance

Across Q3, Q4 2024 and Q1 2025 calls there was detailed discussion on launching new product platforms (e.g. bake shop, new flavors, upgraded chips and bars), with supply constraints being addressed and innovative campaigns driving volume growth. " " " "

Q2 2025 continued the emphasis on innovation with new product launches (Overload Bar platform, new ready-to-drink shakes) and strong double-digit growth reported in retail takeaway, building on the momentum from prior quarters. " " "

Consistent focus on innovation with momentum building; new product initiatives remain central to overcoming competitive challenges and sustaining growth.

Atkins Brand Performance

Q3 2024, Q1 2025 and Q4 2024 highlighted short-term declines in net sales and distribution with revitalization efforts underway through new innovation, improved packaging, and early repositioning. " " " "

Q2 2025 reported an 11.5% decline in net sales driven by lower consumption, but also emphasized a reinvigorated focus on innovation and repositioning (e.g. targeting GLP-1 users) to turn around performance. " " "

Continued short-term decline offset by revitalization efforts and strategic repositioning—the baseline challenge remains, but a stronger focus on emerging trends (GLP-1) is evident.

Brand Portfolio Rebalancing

Q1 2025 and Q3 2024 discussed reallocating investments away from lower ROI initiatives (especially in Atkins) and shifting focus toward higher growth brands like Quest and OWYN; Q4 2024 had indirect mentions via cost savings and product mix adjustments. " " "

Q2 2025 explicitly stressed rebalancing the portfolio by replacing lost Atkins SKUs with more productive Quest and OWYN items, aiming to improve margin mix and overall performance. " " "

Increased emphasis on portfolio rebalancing to boost margins, with a clearer and more proactive strategy emerging in the current period.

Commodity Inflation and Tariff Pressures

Q1 2025 noted that margins were better than expected due to favorable commodity inventory, and Q3 2024 focused on cocoa inflation impacts (with a notable spike) while Q4 2024 briefly mentioned input cost inflation. " " "

Q2 2025 provided detailed discussion of rising cocoa/CLI and whey inflation, along with the emergence of tariffs impacting 15–20% of COGS (a headwind of $5–10 million), highlighting growing cost pressures. " "

Growing cost pressures with tariffs emerging as a new concern, compared to earlier periods where only commodity inflation (particularly cocoa) was emphasized.

Execution and Timing Risks

Q1 2025 provided detailed coverage of shipment timing issues, Atkins adjustments, and integration timing risks, while Q4 2024 acknowledged integration and promotional timing challenges; Q3 2024 had limited mention. " " "

Q2 2025 mentioned timing issues such as delayed shipments for Quest and OWYN revenue acceleration targets, reflecting ongoing risks in coordinating distribution and integration, though not as extensively detailed. " " "

Ongoing execution risks with similar timing challenges observed; risks remain consistent with earlier discussions though the focus has shifted to slightly different operational milestones.

GLP-1 Nutritional Trends

Q4 2024 had initial mentions in new Atkins advertising and Q1 2025 provided detailed emphasis on GLP-1–tailored products and campaigns, positioning Atkins as supportive for GLP-1 users. " " "

Q2 2025 reinforced the narrative with strong mentions of GLP-1 opportunities, emphasizing consumer research, retailer collaboration, and a strategic focus on weight wellness trends as a key growth lever. " "

Increasing focus on GLP-1 trends from a nascent mention in Q4 2024 to a robust, integrated growth strategy in Q1 and Q2 2025, highlighting evolving consumer dynamics.

Supply Chain Disruptions

Q4 2024 and Q1 2025 discussed challenges such as capacity constraints for Quest chips and crackers, with production shifts (e.g. second production line) implemented to resolve issues; Q3 2024 mentioned supply challenges briefly. " " " "

Q2 2025 did not raise major supply chain issues, suggesting that earlier disruptions—primarily in chips and packaging—have been resolved, with the company highlighting an agile supply chain. " "

Improved supply chain execution with earlier disruptions largely resolved, indicating operational stabilization compared to prior periods.

Capital Allocation and Cash Generation Strategy

Q3 2024 and Q4 2024 provided detailed discussion on strong cash generation, debt reduction, and disciplined CapEx, with Q1 2025 sharing specific cash and debt figures; overall the theme was one of financial prudence and preparation for growth. " " " "

Q2 2025 shared updates on significant debt repayments (targeting near-zero leverage by year-end) and modest CapEx expectations, reinforcing the strategy of strong cash flow management and disciplined capital allocation. "

Consistent focus on strong cash generation and reducing leverage; a steady strategy maintained throughout, with Q2 2025 providing updated progress.

Retail and E-commerce Momentum

Q3 2024 and Q4 2024 reported solid retail takeaway growth (both physical and digital), with detailed channel performance for Quest, Atkins, and OWYN; Q1 2025 similarly touted robust retail and e-commerce gains. " " " " "

Q2 2025 continued to show robust retail and e-commerce momentum, with strong growth in key brands (e.g. Quest at 12%, OWYN surging 57%) and increased focus on expanded distribution, digital marketing, and product availability. " " "

Sustained and slightly accelerated retail and e-commerce momentum continues to drive overall growth, reflecting an enduring strength across channels.

Competitive Pressure on Quest Bars

Q3 2024 and Q4 2024 along with Q1 2025 detailed competitive pressures in the protein bar category, noting modest growth, aggressive competition from smaller brands, and the need for accelerated innovation (e.g. Quest Overload launch). " " " " "

In Q2 2025, while there was no explicit deep dive into competitive pressure on Quest Bars, the focus on innovation (such as new product launches and strategic messaging) implies that addressing competitive challenges remains a priority. "

Persistent competitive pressures continue to drive innovation; though less explicitly discussed in Q2 2025, the underlying strategy to differentiate the product remains consistent.