Mama's Creations Q3 Earnings Beat Estimates, Sales Rise 50% Y/Y

Mama's Creations, Inc. (MAMA) reported third-quarter fiscal 2026 results, wherein both top and bottom lines beat the Zacks Consensus Estimate and increased year over year. The company saw strong third-quarter growth and began integrating Crown 1, which expands retail access but temporarily lowers margins. Efficiency improvements are expected to lift margins to the mid-20% range. The company remains focused on disciplined integration as it advances toward $1 billion goal.Mama's Creations, Inc. Price, Consensus and EPS Surprise Mama's Creations, Inc. price-consensus-eps-surprise-chart | Mama's Creations, Inc. QuoteMAMA’s Quarterly Performance: Key Metrics and InsightsMama’s Creations, a leading national marketer and manufacturer of fresh deli-prepared foods, posted quarterly earnings of 1 cent per share in contrast to the Zacks Consensus Estimate of a loss of 1 cent and increased 24.1% from the prior-year period.Total revenues of the company rose 50% year over year to $47.3 million and beat the Zacks Consensus Estimate of $44 million. This growth was driven by the acquisition of the Crown 1 business and strong double-digit organic growth in the core business on a pre-acquisition basis.Gross profit increased 56.6% to $11.1 million from $7.1 million in the year-ago quarter. The gross margin expanded 100 basis points (bps) to 23.6% compared with 22.6% in the third quarter of fiscal 2025. The improvement was driven by operational efficiency gains and stabilized chicken commodity prices, partially offset by elevated beef commodity prices and the addition of lower-margin Crown 1 sales.Operating expenses were $10.3 million, up from $6.6 million in the year-ago quarter. As a percentage of sales, operating expenses increased 100 bps to 21.8% in the third quarter of fiscal 2026. The increase reflected $1 million in non-recurring professional fees and transaction costs related to the Crown 1 acquisition. Excluding these acquisition-related costs, operating expenses remained below 20% of revenues.Adjusted EBITDA totaled $3.8 million in the third quarter of fiscal 2026. The figure was up from $1.7 million in the prior-year quarter.MAMA’s Financial SnapshotMama’s Creations ended the fiscal third quarter with cash and cash equivalents of $18.1 million and total shareholders’ equity of $49.6 million. As of Oct. 31, 2025, total debt was $6.4 million. During the nine months ended Oct. 31, 2025, the net cash flow provided by operations was $8.2 million.This Zacks Rank #4 (Sell) stock has risen 18.3% in the past three months against the industry’s decline of 9.6%.Image Source: Zacks Investment ResearchStocks to ConsiderUnited Natural Foods, Inc. (UNFI) distributes natural, organic, specialty, produce and conventional grocery and non-food products in the United States and Canada. At present, United Natural flaunts a Zacks Rank of 1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.The consensus estimate for United Natural’s current fiscal-year sales and earnings implies growth of 1% and 187.3%, respectively, from the year-ago figures. UNFI delivered a trailing four-quarter earnings surprise of 52.1%, on average.Lamb Weston Holdings, Inc. (LW) engages in the production, distribution and marketing of frozen potato products in the United States, Canada, Mexico and internationally. It carries a Zacks Rank #2 (Buy) at present. Lamb Weston delivered a trailing four-quarter earnings surprise of 16%, on average. The Zacks Consensus Estimate for Lamb Weston's current fiscal-year sales indicates growth of 2.4% from the prior-year levels.Village Farms International, Inc. (VFF) produces, markets and distributes greenhouse-grown tomatoes, bell peppers, cucumbers and mini-cukes in North America. It holds a Zacks Rank #2. VFF delivered a trailing four-quarter earnings surprise of 155.6%, on average. The Zacks Consensus Estimate for Village Farms’ current fiscal-year earnings indicates growth of 165.6% from the prior-year levels.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report United Natural Foods, Inc. (UNFI): Free Stock Analysis Report Lamb Weston (LW): Free Stock Analysis Report Village Farms International, Inc. (VFF): Free Stock Analysis Report Mama's Creations, Inc. (MAMA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks