Fiscal 2026 Net Sales Guidance
Management provided consolidated net sales guidance for fiscal 2026 targeting growth of 4% at the midpoint (guidance range provided). The outlook reflects confidence in strategy execution and growth from venture brands (Rise Wellness and Hiya).
Retail Expansion and Distribution Wins
Notable retail gains: Hiya launching into Target in April and expanding into Canada and the U.K.; Rise Wellness secured distribution in Costco (now in all Costco stores) and Target (in-store rollout), with additional major U.S. retailers in discussions. These retail placements underpin expected revenue growth for the venture brands.
Inventory Build to Support Growth
Inventories increased $35 million, a 48% year-over-year rise to $107 million at fiscal year-end; ~80% of the increase driven by Rise Wellness (Protein Pop retailer support) and Hiya (channel expansion and raw materials buildup ahead of in-house manufacturing). Management expects elevated inventory levels throughout FY2026 to support expansion.
Leadership and Strategic Refocus
Kevin Guest returned as CEO (while remaining Chairman) with a clear strategic plan: omnichannel expansion, product innovation, technology modernization, operational efficiencies, and accountability — signaling experienced leadership and renewed strategic clarity.
Cost Realignment and Savings
Company implemented cost realignment impacting ~10% of workforce and expects approximately $10 million (plus) of net savings, primarily in SG&A, with some savings being repurposed to strategic initiatives.
Venture Brand Momentum and Product Pipeline
Management highlighted Hiya and Rise Wellness as primary growth drivers. Rise is expanding Protein Pop SKUs/flavors and retail footprint; Hiya benefits from prior brand awareness investments and early positive results in Canada and U.S. retail placements. Company also plans product innovation launches across 2026.