BellRing Brands reported a solid start to fiscal 2026 with net sales of $537 million, reflecting 1% growth driven by timing benefits and strong Dymatize performance. Adjusted EBITDA reached $90 million at a 16.8% margin, exceeding expectations. The company narrowed its full-year guidance to 4-6% net sales growth and $425-440 million in adjusted EBITDA, amid increased competition and input cost pressures. Premier Protein maintained leadership with 22% market share, while innovation and distribution expansions are set to accelerate momentum in the second half. CEO Darcy Davenport announced her retirement by fiscal year-end, with a smooth transition planned.
BellRing Brands Q1 2026 Earnings Call Highlights
BellRing Brands kicked off its fiscal 2026 with results that laid a firm groundwork for the year ahead, as outlined during the earnings conference call. The discussion emphasized the health of the ready-to-drink shake category, strategic investments in branding and innovation, and adaptations to a more competitive environment. Executives highlighted the company’s ability to sustain leadership positions while addressing near-term challenges like promotional pressures from emerging brands and fluctuating channel dynamics.
Financial Performance Overview
In the first quarter, BellRing Brands achieved net sales of $537 million, marking a 1% increase compared to the prior year. This growth was bolstered by favorable timing in customer orders, which pulled forward some revenue originally anticipated for the second quarter, alongside robust contributions from the Dymatize brand internationally. Adjusted EBITDA stood at $90 million, translating to a margin of 16.8%, which outperformed internal projections due to higher-than-expected sales and efficiencies in selling, general, and administrative expenses.
Gross profit for the period was $161 million, with a gross margin of 29.9%. Adjusting for mark-to-market impacts on commodity hedges, the margin contracted by 730 basis points year-over-year, primarily attributable to mid-single-digit input cost inflation, unfavorable product mix, and the absence of $5 million in non-recurring cost benefits from the previous year. SG&A expenses totaled $78 million, representing 14.5% of net sales, an improvement from 15% in the prior-year quarter, reflecting better leverage on the topline.
The company’s cash flow dynamics followed seasonal patterns, with a modest use of cash in the quarter. Net leverage ended at 2.5 times, maintaining a strong balance sheet position. BellRing continued its commitment to shareholder returns, repurchasing $97 million worth of shares during the period.
Brand Performance Breakdown
| KeyFinancialMetrics | Q1FY2026 | Q1FY2025 | %Change |
|---|---|---|---|
| NetSales | $537M | $532M | +1% |
| GrossProfit | $161M | N/A | N/A |
| GrossMargin(Adjusted) | 29.9% | 37.2% | -730bps |
| SG&AExpenses | $78M | N/A | N/A |
| AdjustedEBITDA | $90M | N/A | N/A |
| AdjustedEBITDAMargin | 16.8% | N/A | N/A |
Premier Protein, the flagship brand, saw net sales decline by 1% to approximately $430 million, with ready-to-drink shakes specifically down 2%. This performance was influenced by tough comparisons in the club channel, where the brand lapped a 23% consumption surge from the prior year amid fewer competitive entrants and non-repeated promotions. Excluding the club channel, Premier Protein ready-to-drink consumption rose 11%, demonstrating resilience in food, mass, e-commerce, and other retail segments.
Dymatize, the company’s performance nutrition brand, delivered net sales growth of 6%, fueled by strong international expansion and volume gains. Consumption for Dymatize increased 7%, with notable strength in e-commerce (up 9.9%) and club (up 34.5%), recovering from prior periods of softer performance.
The broader wellness category, redefined to encompass a $24 billion market (up from $21 billion under the previous convenient nutrition label), grew 7% in the quarter. Ready-to-drink products mirrored this growth rate, driven predominantly by volume increases. Premier Protein held a commanding 22% share in ready-to-drink shakes, supported by record household penetration of 21.7% and top-tier repeat rates.
Channel-specific consumption trends showed mixed results over a 13-week period:
Food: +16.7%
Mass: +7.1%
eCommerce: +20.0%
Club: -14.2% (though +10.2% over 52 weeks)
Total distribution points for Premier Protein reached an all-time high, up 26% year-over-year, underscoring successful expansion efforts across mass, food, drug, and e-commerce channels.
Strategic Initiatives and Innovation Pipeline
Executives detailed ongoing strategies to drive growth, including distribution expansion, heightened advertising investments, and a robust innovation slate. Distribution gains are progressing as planned, with total distribution points for Premier shakes increasing at double-digit rates in fiscal 2025 and expected to continue similarly in 2026. Single-bottle sales more than doubled in January, enhancing trial opportunities.
Advertising efforts ramped up with the launch of the “Go Get Them” campaign in late December, aimed at boosting household penetration and emotional connections with everyday consumers. This omnichannel initiative spans TV, streaming, podcasts, social media, retail media, and out-of-home placements like gyms, testing superior to previous campaigns.
Innovation remains a cornerstone, with launches designed to expand occasions and consumer segments. The Coffee House line, featuring 30 grams of protein and caffeine equivalent to one cup of coffee, debuted in late Q1 with promising early results—caramel macchiato ranked among the highest-velocity four-packs in January. An incremental variety pack in bottles is slated for a club retailer later in the month.
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