Westrock Coffee (NASDAQ:WEST) Announces Quarterly Earnings Results, Misses Expectations By $0.02 EPS

Key Points

• Westrock Coffee reported quarterly EPS of -$0.10, missing estimates by $0.02, while revenue of $300.2 million also fell short of the $303.9 million consensus.
• Despite the misses, adjusted EBITDA reached a third-quarter record of $26.4 million, up about 14% year over year. The company maintained its 2026 EBITDA outlook of $90–$100 million and forecast about $130 million for 2027, with Conway utilization expected to rise from roughly 40% to 85%.
• Westrock generated positive free cash flow for a second straight quarter and refinanced $600 million of debt, extending maturities to 2031. Management cited choppy consumer conditions and expects leverage to rise temporarily before deleveraging resumes.

Westrock Coffee (NASDAQ:WEST - Get Free Report) posted its quarterly earnings results on Thursday. The company reported ($0.10) earnings per share for the quarter, missing analysts' consensus estimates of ($0.08) by ($0.02), FiscalAI reports. Westrock Coffee had a negative net margin of 4.88% and a negative return on equity of 2,145.68%. The company had revenue of $300.20 million during the quarter, compared to analyst estimates of $303.93 million.

Here are the key takeaways from Westrock Coffee's conference call:

• Westrock posted record third-quarter adjusted EBITDA of $26.4 million, up about 14% year over year; nine-month adjusted EBITDA rose 58% to $73.7 million. It was the company’s sixth consecutive quarter of year-over-year EBITDA growth.
• Management said Conway is operating at about 40% of current capacity, with committed programs expected to lift utilization to roughly 85% over the next 18 months. The company expects Conway to contribute more than $70 million of adjusted EBITDA at that level, and said new Conway customers are often adding other Westrock products as well.
• Westrock maintained its 2026 adjusted EBITDA outlook of $90 million to $100 million and introduced 2027 guidance of about $130 million, roughly 35% above the 2026 midpoint. Management noted that some customer programs are scheduled to launch later in 2027, so the year-end run rate could be higher than the full-year result suggests.
• The company reported positive free cash flow for a second consecutive quarter and expects 2026 capital expenditures of about $30 million, down from $89 million in 2025. It also completed a $600 million refinancing that extends maturities to 2031, reduces first-year required debt service by about $17 million, and increases available cash and revolver liquidity.
• Management said consumer conditions remain choppy, with fuel costs weighing on traffic, and expects leverage to temporarily rise in the fourth quarter and early 2027 before resuming meaningful deleveraging. Third-quarter net sales fell 15.4% year over year, though the company attributed much of the decline to tariff-refund accounting and lower green coffee prices, as well as a previously disclosed single-serve customer loss.

Westrock Coffee Stock Up 0.1%

Westrock Coffee stock traded up $0.01 during trading hours on Thursday, reaching $10.37. 754,945 shares of the company's stock were exchanged, compared to its average volume of 489,581. The firm's 50 day simple moving average is $8.42 and its 200 day simple moving average is $6.96. Westrock Coffee has a twelve month low of $3.59 and a twelve month high of $10.57. The firm has a market capitalization of $1.01 billion, a PE ratio of -15.71 and a beta of 0.84.

Wall Street Analysts Forecast Growth

A number of research firms have commented on WEST. Stifel Nicolaus set a $9.00 price target on Westrock Coffee in a research report on Friday, August 7th. Benchmark restated a "buy" rating on shares of Westrock Coffee in a research report on Monday, August 31st. Telsey Advisory Group lifted their price objective on Westrock Coffee from $10.00 to $11.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 19th. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of Westrock Coffee in a report on Monday. Three investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Westrock Coffee presently has a consensus rating of "Hold" and an average price target of $10.00.

About Westrock Coffee

Westrock Coffee Company is a global provider of integrated coffee, tea, flavors, extracts and ready-to-drink beverage solutions. The company sources raw materials from producing regions, then provides processing, roasting, blending, extraction, packaging and distribution services for beverage brands and other commercial customers.

Its products and services support a range of beverage formats, including roasted and ground coffee, single-serve coffee, tea, liquid coffee and tea extracts, ready-to-drink beverages, and customized flavor systems.

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