John B. Sanfilippo & Son, Inc. (JBSS) reported Q2 2025 net sales of $301.1 million, up 3.4% year over year, marking the company’s largest quarterly sales volume and highest net sales in its history as disclosed by management. The quarter benefited from a 7.1% increase in sales volume across distribution channels, though the weighted average selling price per pound declined 3.4% due to higher volume of lower-priced bars and strategic pricing decisions. Gross profit declined 9.8% to $52.3 million (gross margin 17.4%) as commodity costs for key tree nuts rose and competitive pricing pressures compressed margins; however, profitability was partially offset by stronger performance in bars. Operating income fell 29.8% year over year to $19.4 million, with net income of $13.6 million and diluted EPS of $1.16. Management emphasized pricing actions, cost optimization, and the relocation and expansion of production capabilities as levers to restore margins in the back half of fiscal 2025 and beyond.
Year-to-date, net sales for the first two quarters reached $577.3 million, up 9.9% versus the prior year, with net income of $25.3 million ($2.16 per diluted share). Absent the Lakeville acquisition’s first-quarter effect, net sales rose 2.2% to $536.8 million, underscoring that volume growth across channels is a meaningful driver of top-line progression while price competition and higher input costs continue to weigh on margin. The company also announced a major operational shift, relocating warehouse distribution to Huntley, IL, expanding Elgin production, and planning 18 months of additional capacity expansion to support growth.
Looking ahead, JBSS is guiding incremental price increases across all brands and private-label customers, effective mainly in January–February 2025 (Q3), to help restore gross margins toward historical norms. Management also highlighted ongoing cost optimization across operations, supply chain, freight, SG&A, and trade spend as well as continued investment in new product platforms and productivity improvements to drive long-term shareholder value. The near-term risk remains commodity cost volatility and the pace of price realization, but the company is positioned to leverage its scale, brand portfolio, and manufacturing capabilities to improve margins over the coming quarters.