Hain Celestial Reports Fiscal First Quarter 2027 Financial Results
The International sale cleared its regulatory condition, but the missed credit-amendment deadline leaves completion unresolved.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
Hain Celestial (HAIN) reported fiscal first-quarter 2027 net sales of $260 million, down 29% from the prior-year quarter.
For the quarter ended September 30, 2026, divestitures and exits accounted for a 22% sales impact; organic sales fell 7%. Gross margin rose 330 basis points to 21.8%. Net loss narrowed to $11 million, or $0.12 per diluted share, from $21 million, or $0.23. Adjusted EBITDA fell to $18 million from $20 million. Operating cash use increased to $19 million from $8 million, and total debt reached $586 million versus $558 million at fiscal year-start.
The sale of the International business to AURELIUS received final required regulatory approvals in early November. However, the credit-agreement amendment condition was not satisfied by October 12, 2026. Hain remains in discussions with AURELIUS and its lenders; the sale is not complete.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointNet loss narrowed to $11 million from $21 million; diluted loss improved to $0.12 from $0.23 year-over-year.
- Moderate pointGross margin increased 330 basis points year-over-year to 21.8%.
- Minor pointAdjusted gross margin rose 320 basis points year-over-year to 22.8%.
- Minor pointFinal required regulatory approvals for the International sale to AURELIUS were received in early November 2026.
- Minor pointNorth America gross margin reached 31.1%, up 1,030 basis points year-over-year.
6 minor points
- Minor pointNorth America adjusted gross margin reached 33.5%, up 1,080 basis points year-over-year.
- Minor pointNorth America adjusted EBITDA held at $17 million; margin increased to 15.6% from 8.3% year-over-year.
- Minor pointSelling, general and administrative expenses declined to $61.873 million from $65.512 million year-over-year.
- Minor pointProductivity and transformation costs fell to $4.666 million from $8.219 million year-over-year.
- Minor pointInterest and financing expense, net, declined to $12.302 million from $15.499 million year-over-year.
- Minor pointCash increased to $63.015 million at September 30, 2026, from $58.078 million at June 30, 2026.
Negative
- Moderate pointNet sales fell 29% year-over-year to $260 million, including a 22% impact from divestitures and exits.
- Moderate pointCredit-agreement amendment condition was not satisfied by October 12, 2026, leaving the International sale unresolved.
- Moderate pointAdjusted EBITDA declined to $18 million from $20 million in the prior-year quarter.
- Moderate pointOperating loss widened to $14.976 million from $6.865 million in the prior-year quarter.
- Moderate pointOperating cash use increased to $19 million from $8 million in the prior-year quarter.
- Moderate pointTotal debt increased to $586 million from $558 million at fiscal year-start; net debt reached $523 million versus $500 million.
14 minor points
- Minor pointOrganic net sales declined 7% year-over-year, with volume/mix down seven points and pricing up one point.
- Minor pointFree cash flow deteriorated to negative $23 million from negative $14 million in the prior-year quarter.
- Minor pointNet secured leverage was 5.3x at quarter-end under the credit agreement.
- Minor pointNorth America sales fell 45.7% year-over-year to $110.815 million; organic sales declined 6%.
- Minor pointNorth America gross profit fell 18.8% year-over-year to $34.459 million; adjusted gross profit declined 20% to $37 million.
- Minor pointInternational sales fell 8.8% year-over-year to $149.459 million; organic sales declined 7%.
- Minor pointInternational gross profit fell 13.5% year-over-year to $22.201 million; gross and adjusted gross margins declined 80 basis points to 14.9%.
- Minor pointInternational adjusted EBITDA declined 29% year-over-year to $9 million; margin fell to 6.0% from 7.7%.
- Minor pointMeal Prep sales fell 16% year-over-year to $134 million; organic sales declined 10%.
- Minor pointSnacks sales fell 92% year-over-year to $7 million; organic sales declined 16%.
- Minor pointBaby & Kids sales fell 6% year-over-year to $53 million; organic sales declined 1%.
- Minor pointBeverages sales fell 2% year-over-year to $58 million; organic sales declined 1%.
- Minor pointPersonal Care sales fell 32% year-over-year to $9 million.
- Minor pointAcquired intangible amortization increased to $5.097 million from $1.212 million in the prior-year quarter.
News Explained
The company describes debt reduction and a more focused North America business as possible outcomes if the International sale is completed; neither is presented as an already-realized change.
Key Figures
- Net sales
- $260 million, down 29%
- Fiscal Q1 2027 year over year
- Organic net sales
- Down 7%
- Fiscal Q1 2027 year over year
- Gross profit margin
- 21.8%, up 330 basis points
- Fiscal Q1 2027 versus prior-year period
- Net loss
- $11 million versus $21 million
- Fiscal Q1 2027 versus prior-year period
- Adjusted EBITDA
- $18 million versus $20 million
- Fiscal Q1 2027 versus prior-year period
- Net cash used in operating activities
- $19 million versus $8 million
- Fiscal Q1 2027 versus prior-year period
- Total debt
- $586 million, up from $558 million
- Quarter-end versus beginning of fiscal year
- Credit agreement amendment deadline
- October 12, 2026
- Sale condition was not satisfied by the deadline
Previous Earnings Reports
-
Q1 FY26 sales fell 7% and gross margin declined 220 basis points year over year.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Final required regulatory approvals received for the sale of the Company’s International business
HOBOKEN, N.J., Nov. 09, 2026 (GLOBE NEWSWIRE) -- The Hain Celestial Group, Inc. (Nasdaq: HAIN) ("Hain" or the "Company"), a leading global health and wellness company whose purpose is to inspire healthier living through better-for-you brands, today reported financial results for its fiscal first quarter ended September 30, 2026.
"During the first quarter, we made progress on our strategic actions to realign our cost structure, drive productivity, and improve our commercial and innovation capabilities. We saw our gross margin improve meaningfully year over year, reflecting progress on both our commercial and portfolio actions. We remain focused on simplifying our operating model and creating a stronger go-forward Hain,” said Alison Lewis, President and CEO.
The Company also announced that, in early November 2026, the final required regulatory approvals were received for the sale of its International business to global private equity firm AURELIUS, satisfying the regulatory approval condition to closing. The separate condition that the Company enter into an amendment to its credit agreement with its lenders by October 12, 2026, was not satisfied. The Company remains in discussions with AURELIUS and continues to pursue a path forward to complete the transaction.
Lewis continued, “Receiving the final required regulatory approvals is an important step toward completing the sale of our International business. We remain in discussions with our lenders regarding our capital structure and with AURELIUS regarding a path forward for the transaction. If completed, the International sale would allow us to reduce debt and create a more focused North America business with strong brands in attractive categories. We will provide updates as material developments occur.”
FINANCIAL HIGHLIGHTS*
Summary of Fiscal First Quarter Results Compared to the Prior Year Period
- Net sales were
$260 million , down29% year-over-year.- The decrease in net sales includes an impact of
22% related to divestitures, discontinued brands and exited product categories. - Organic net sales decreased by
7% compared to the prior year period.- The decrease in organic net sales was comprised of a 7-point decrease in volume/mix, partially offset by a 1-point increase in pricing.
- The decrease in net sales includes an impact of
- Gross profit margin was
21.8% , a 330-basis point increase from the prior year period.- Adjusted gross profit margin was
22.8% , a 320-basis point increase from the prior year period.
- Adjusted gross profit margin was
- Net loss was
$11 million compared to a net loss of$21 million in the prior year period.- Adjusted net loss was
$7 million , compared to an adjusted net loss of$7 million in the prior year period.
- Adjusted net loss was
- Adjusted EBITDA was
$18 million compared to$20 million in the prior year period. - Loss per diluted share was
$0.12 compared to a loss per diluted share of$0.23 in the prior year period.- Adjusted loss per diluted share was
$0.07 compared to adjusted loss per diluted share of$0.08 in the prior year period.
- Adjusted loss per diluted share was
Cash Flow and Balance Sheet Highlights
- Net cash used in operating activities in the fiscal first quarter was
$19 million compared to net cash used in operating activities of$8 million in the prior year period. - Free cash flow was negative
$23 million in the fiscal first quarter compared to free cash flow of negative$14 million in the prior year period. - Total debt at the end of the fiscal first quarter was
$586 million , up from$558 million at the beginning of the fiscal year. - Net debt at the end of the fiscal first quarter was
$523 million compared to$500 million at the beginning of the fiscal year. - The company ended the fiscal first quarter with a net secured leverage ratio of 5.3x as calculated under our credit agreement.
*This press release includes certain non-GAAP financial measures, which are intended to supplement, not substitute for, comparable GAAP financial measures. Reconciliations of non-GAAP financial measures to GAAP financial measures and other non-GAAP financial calculations are provided in the tables included in this press release.
SEGMENT HIGHLIGHTS
The company operates under two reportable segments: North America and International.
| Net Sales | |||||||||
| Q1 FY27 | |||||||||
| $ Millions | Reported Growth Y/Y | M&A/Exit Impact1 | FX Impact | Organic Growth Y/Y | |||||
| North America | 111 | -46 | % | -40 | % | 0 | % | -6 | % |
| International | 149 | -9 | % | -1 | % | -1 | % | -7 | % |
| Total | 260 | -29 | % | -22 | % | 0 | % | -7 | % |
* May not add due to rounding
1 Reflects the impact within reported net sales growth of the following items that are excluded from organic net sales growth: net sales from divested brands (Garden Veggie Snacks™, Terra® chips and Garden of Eatin'® snacks brands), discontinued brands, and exited product categories.
North America
Fiscal first quarter organic net sales decreased by
Segment gross profit was
Adjusted EBITDA in the fiscal first quarter was
International
Fiscal first quarter organic net sales decreased by
Segment gross profit and adjusted gross profit in the fiscal first quarter were each
Adjusted EBITDA in the fiscal first quarter was
CATEGORY HIGHLIGHTS
| Net Sales | |||||||||
| Q1 FY27 | |||||||||
| $ Millions | Reported Growth Y/Y | M&A/Exit Impact1 | FX Impact | Organic Growth Y/Y | |||||
| Baby & Kids | 53 | -6 | % | -5 | % | 0 | % | -1 | % |
| Beverages | 58 | -2 | % | 0 | % | -1 | % | -1 | % |
| Meal Prep | 134 | -16 | % | -6 | % | 0 | % | -10 | % |
| Snacks | 7 | -92 | % | -75 | % | 0 | % | -16 | % |
| Personal Care | 9 | -32 | % | n/a | n/a | n/a | |||
| Total | 260 | -29 | % | -22 | % | 0 | % | -7 | % |
* May not add due to rounding
1 Reflects the impact within reported net sales growth of the following items that are excluded from organic net sales growth: net sales from divested brands (Garden Veggie Snacks™, Terra® chips and Garden of Eatin'® snacks brands), discontinued brands, and exited product categories.
Baby & Kids
The fiscal first quarter organic net sales decline of
Beverages
The fiscal first quarter organic net sales decline of
Meal Prep
Fiscal first quarter organic net sales decreased by
Snacks
Following the disposition of the North American snacks business, the snacks category is comprised of jellies in the International segment. Organic net sales declined
Conference Call and Webcast Information
Hain Celestial will host a conference call and webcast today at 8:00 AM EST to discuss its results and business outlook. The live webcast and accompanying presentation are available under the Investors section of the company’s corporate website at www.hain.com. Investors and analysts can access the live call by dialing 833-461-5787 or 585-542-9983. The conference ID is 621428581. A webcast replay of the call will be available shortly after the conclusion of the live call and archived for one year.
About The Hain Celestial Group, Inc.
Hain Celestial is a leading global health and wellness company whose purpose is to inspire healthier living for people, communities and the planet through better-for-you brands. For more than 30 years, Hain Celestial has intentionally focused on delivering nutrition and well-being that positively impacts today and tomorrow. Headquartered in Hoboken, N.J., Hain Celestial’s products across beverages, yogurt, baby/kids and meal preparation are marketed and sold around the world. Our leading brands include Celestial Seasonings® teas, The Greek Gods® yogurt, Earth’s Best® Organic and Ella’s Kitchen® baby and kids foods, Joya® and Natumi® plant-based beverages, Hartley’s® jelly, as well as Cully & Sully®, Yorkshire Provender®, New Covent Garden® soups, among others. For more information, visit www.hain.com and LinkedIn.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks, uncertainties and assumptions. If the risks or uncertainties ever materialize or the assumptions prove incorrect, our results may differ materially from those expressed or implied by such forward-looking statements. The words “believe,” “expect,” “anticipate,” “may,” “should,” “plan,” “intend,” “potential,” “will” and similar expressions are intended to identify such forward-looking statements. Forward-looking statements include, among other things, our beliefs or expectations relating to our future performance, results of operations and financial condition; and our strategic initiatives and business strategy, including the pending sale of our International business, our ability to amend our credit agreement and our resulting plans in the event the sale is completed.
Risks and uncertainties that may cause actual results to differ materially from forward-looking statements include: compliance with our credit agreement and our ability to refinance and/or extend the maturity of our existing debt; our ability to execute our business strategy; our ability to complete the pending sale of our International business and manage the challenges and uncertainty facing our remaining business following the sale; challenges and uncertainty resulting from the impact of competition; changes to consumer preferences; our ability to manage our supply chain effectively; input cost inflation, including as a result of tariffs; reliance on independent contract manufacturers; disruption of operations at our manufacturing facilities; customer concentration; reliance on independent distributors; risks associated with operating internationally; risks associated with outsourcing arrangements; risks associated with geopolitical conflicts or events; our reliance on independent certification for a number of our products; our ability to attract and retain highly skilled people; risks related to tax matters; foreign currency exchange risk; general economic conditions; impairments in the carrying value of goodwill or other intangible assets; the reputation of our company and our brands; our ability to use and protect trademarks; cybersecurity incidents; disruptions to information technology systems; pending and future litigation, including litigation relating to Earth’s Best® baby food products; potential liability if our products cause illness or physical harm; the highly regulated environment in which we operate; compliance with data privacy laws; the adequacy of our insurance coverage; climate impacts; liabilities, claims or regulatory change with respect to environmental matters; the potential cessation of our common stock’s listing on The Nasdaq Stock Market LLC; and other risks and matters described in our most recent Annual Report on Form 10-K and our other filings from time to time with the U.S. Securities and Exchange Commission.
We undertake no obligation to update forward-looking statements to reflect actual results or changes in assumptions or circumstances, except as required by applicable law.
Non-GAAP Financial Measures
This press release and the accompanying tables include non-GAAP financial measures, including, among others, organic net sales; adjusted gross profit and its related margin; adjusted operating income and its related margin; adjusted net loss and its related margin; diluted net loss per common share, as adjusted; adjusted EBITDA and its related margin; free cash flow; and net debt. The reconciliations of historic non-GAAP financial measures to the comparable GAAP financial measures are provided in the tables below. These non-GAAP financial measures should not be considered in isolation or as a substitute for the comparable GAAP measures. In addition, these non-GAAP measures may not be the same as similar measures provided by other companies due to potential differences in methods of calculation and items being excluded. They should be read only in connection with the company’s consolidated financial statements presented in accordance with GAAP.
We define our non-GAAP financial measures as follows:
- Organic net sales: net sales excluding the impact of acquisitions, divestitures, discontinued brands, exited product categories and foreign exchange. To adjust organic net sales for the impact of acquisitions, the net sales of an acquired business are excluded from fiscal quarters constituting or falling within the current period and prior period where the applicable fiscal quarter in the prior period did not include the acquired business for the entire quarter. To adjust organic net sales for the impact of divestitures, discontinued brands and exited product categories, the net sales of a divested business, discontinued brand or exited product category are excluded from all periods. To adjust organic net sales for the impact of foreign exchange, current period net sales for entities reporting in currencies other than the U.S. dollar are translated into U.S. dollars at the average monthly exchange rates in effect during the corresponding period of the prior fiscal year, rather than at the actual average monthly exchange rate in effect during the current period of the current fiscal year.
- Adjusted gross profit and its related margin: gross profit, before plant closure related costs, net.
- Adjusted operating income and its related margin: operating loss before costs associated with acquisitions, divestitures and other transactions, productivity and transformation costs, certain litigation expenses, net, plant closure related costs, net.
- Adjusted net loss and its related margin and diluted net loss per common share, as adjusted: net loss, adjusted to exclude costs associated with acquisitions, divestitures and other transactions, productivity and transformation costs, certain litigation expenses, net, plant closure related costs, net, gain on sale of assets, gain on remeasurement of assets reclassified to held and used, unrealized currency (gains) losses, and the related tax effects of such adjustments.
- Adjusted EBITDA and its related margin: net loss before depreciation and amortization, equity in net loss of equity-method investees, net interest expense, income taxes, stock-based compensation, net, unrealized currency (gains) losses, certain litigation expenses, net, productivity and transformation costs, plant closure related costs, net, costs associated with acquisitions, divestitures and other transactions, gain on sale of assets, and gain on remeasurement of assets reclassified to held and used.
- Free cash flow: net cash used in operating activities less purchases of property, plant and equipment.
- Net debt: total debt less cash and cash equivalents.
We believe that the non-GAAP financial measures presented provide useful additional information to investors about current trends in the company’s operations and are useful for period-over-period comparisons of operations. We provide:
- Organic net sales to demonstrate the growth rate of net sales excluding the impact of acquisitions, divestitures, discontinued brands, and exited product categories and foreign exchange, and believe organic net sales is useful to investors because it enables them to better understand the growth of our business from period to period.
- Adjusted results as important supplemental measures of our performance and believe they are frequently used by securities analysts, investors and other interested parties in the evaluation of our Company and companies in our industry.
- Free cash flow as one factor in evaluating the amount of cash available for discretionary investments.
- Net debt as a useful measure to monitor leverage and evaluate the balance sheet.
We discuss the Company’s net secured leverage ratio as calculated under our credit agreement as a measure of our financial condition, liquidity and compliance with our credit agreement. For a description of the material terms of our credit agreement and risks of non-compliance with our credit agreement, see “Liquidity and Capital Resources” under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” in our most recent Annual Report on Form 10-K and our subsequent Quarterly Reports on Form 10-Q filed with the U.S. Securities and Exchange Commission.
Investor Relations Contact:
Investor.Relations@hain.com
Media Contact:
Justin Godley
Justin.Godley@hain.com
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||
| Consolidated Statements of Operations | |||||||
| (unaudited and in thousands, except per share amounts) | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| Net sales | |||||||
| Cost of sales | 203,614 | 299,805 | |||||
| Gross profit | 56,660 | 68,078 | |||||
| Selling, general and administrative expenses | 61,873 | 65,512 | |||||
| Amortization of acquired intangible assets | 5,097 | 1,212 | |||||
| Productivity and transformation costs | 4,666 | 8,219 | |||||
| Operating loss | (14,976 | ) | (6,865 | ) | |||
| Interest and other financing expense, net | 12,302 | 15,499 | |||||
| Other income, net | (16,876 | ) | (656 | ) | |||
| Loss before income taxes and equity in net loss of equity-method investees | (10,402 | ) | (21,708 | ) | |||
| Provision (benefit) for income taxes | 877 | (1,256 | ) | ||||
| Equity in net loss of equity-method investees | 24 | 173 | |||||
| Net loss | ) | ) | |||||
| Net loss per common share: | |||||||
| Basic | ) | ) | |||||
| Diluted | ) | ) | |||||
| Shares used in the calculation of net loss per common share: | |||||||
| Basic | 91,002 | 90,309 | |||||
| Diluted | 91,002 | 90,309 | |||||
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||
| Consolidated Balance Sheets | |||||||
| (unaudited and in thousands) | |||||||
| September 30, 2026 | June 30, 2026 | ||||||
| ASSETS | |||||||
| Current assets: | |||||||
| Cash and cash equivalents | |||||||
| Accounts receivable, net | 127,056 | 121,022 | |||||
| Inventories | 166,736 | 149,275 | |||||
| Prepaid expenses and other current assets | 84,024 | 82,017 | |||||
| Assets held for sale | 2,546 | 5,882 | |||||
| Total current assets | 443,377 | 416,274 | |||||
| Property, plant and equipment, net | 180,474 | 184,665 | |||||
| Goodwill | 246,098 | 246,079 | |||||
| Trademarks and other intangible assets, net | 168,487 | 173,520 | |||||
| Operating lease right-of-use assets, net | 47,739 | 49,057 | |||||
| Other assets | 21,152 | 20,788 | |||||
| Total assets | |||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | |||||||
| Current liabilities: | |||||||
| Accounts payable | |||||||
| Accrued expenses and other current liabilities | 145,263 | 143,560 | |||||
| Current portion of long-term debt | 585,934 | 557,552 | |||||
| Liabilities related to assets held for sale | - | 4,153 | |||||
| Total current liabilities | 858,988 | 830,762 | |||||
| Long-term debt, less current portion | 271 | 292 | |||||
| Deferred income taxes | 33,932 | 32,930 | |||||
| Operating lease liabilities, noncurrent portion | 42,901 | 44,409 | |||||
| Other noncurrent liabilities | 27,643 | 27,195 | |||||
| Total liabilities | 963,735 | 935,588 | |||||
| Stockholders' equity: | |||||||
| Common stock | 1,135 | 1,135 | |||||
| Additional paid-in capital | 1,244,736 | 1,243,863 | |||||
| Retained deficit | (269,548 | ) | (258,245 | ) | |||
| Accumulated other comprehensive loss | (102,236 | ) | (101,463 | ) | |||
| 874,087 | 885,290 | ||||||
| Less: Treasury stock | (730,495 | ) | (730,495 | ) | |||
| Total stockholders' equity | 143,592 | 154,795 | |||||
| Total liabilities and stockholders' equity | |||||||
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||
| Consolidated Statements of Cash Flows | |||||||
| (unaudited and in thousands) | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
| Net loss | ) | ) | |||||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||
| Depreciation and amortization | 13,296 | 15,411 | |||||
| Deferred income taxes | 622 | 160 | |||||
| Equity in net loss of equity-method investees | 24 | 173 | |||||
| Stock-based compensation, net | 873 | 2,003 | |||||
| Gain on sale of assets | - | (886 | ) | ||||
| Gain on remeasurement of assets reclassified to held and used | (14,769 | ) | - | ||||
| Other non-cash items, net | 313 | 232 | |||||
| (Decrease) increase in cash attributable to changes in operating assets and liabilities: | |||||||
| Accounts receivable | (6,545 | ) | (15,707 | ) | |||
| Inventories | (5,268 | ) | 16,210 | ||||
| Other current assets | (2,430 | ) | (4,103 | ) | |||
| Other assets and liabilities | 2,406 | (2,858 | ) | ||||
| Accounts payable and accrued expenses | 3,864 | 1,510 | |||||
| Net cash used in operating activities | (18,917 | ) | (8,480 | ) | |||
| CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
| Purchases of property, plant and equipment | (3,918 | ) | (5,227 | ) | |||
| Proceeds from sale of assets, net | - | 13 | |||||
| Net cash used in investing activities | (3,918 | ) | (5,214 | ) | |||
| CASH FLOWS FROM FINANCING ACTIVITIES | |||||||
| Borrowings under bank revolving credit facility | 55,000 | 68,000 | |||||
| Repayments under bank revolving credit facility | (25,000 | ) | (54,500 | ) | |||
| Repayments under term loan | (1,875 | ) | (1,875 | ) | |||
| Payments of other debt, net | (13 | ) | (2,511 | ) | |||
| Employee shares withheld for taxes | - | (70 | ) | ||||
| Net cash provided by financing activities | 28,112 | 9,044 | |||||
| Effect of exchange rate changes on cash | (340 | ) | (1,819 | ) | |||
| Net increase (decrease) in cash and cash equivalents | 4,937 | (6,469 | ) | ||||
| Cash and cash equivalents at beginning of period | 58,078 | 54,355 | |||||
| Cash and cash equivalents at end of period | |||||||
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||||||||||
| Net Sales, Gross Profit and Adjusted EBITDA by Segment | |||||||||||||||
| (unaudited and in thousands) | |||||||||||||||
| North America | International | Corporate/ Other | Hain Consolidated | ||||||||||||
| Net Sales | |||||||||||||||
| Net sales - Q1 FY27 | $ | 110,815 | $ | 149,459 | $ | - | $ | 260,274 | |||||||
| Net sales - Q1 FY26 | $ | 203,920 | $ | 163,963 | $ | - | $ | 367,883 | |||||||
| % change - FY27 net sales vs. FY26 net sales | (45.7 | )% | (8.8 | )% | (29.3 | )% | |||||||||
| Gross Profit | |||||||||||||||
| Q1 FY27 | |||||||||||||||
| Gross profit | $ | 34,459 | $ | 22,201 | $ | - | $ | 56,660 | |||||||
| Non-GAAP adjustments(1) | 2,626 | - | - | 2,626 | |||||||||||
| Adjusted gross profit | $ | 37,085 | $ | 22,201 | $ | - | $ | 59,286 | |||||||
| % change - FY27 gross profit vs. FY26 gross profit | (18.8 | )% | (13.5 | )% | (16.8 | )% | |||||||||
| % change - FY27 adjusted gross profit vs. FY26 adjusted gross profit | (19.7 | )% | (13.5 | )% | (17.5 | )% | |||||||||
| Gross margin | 31.1 | % | 14.9 | % | 21.8 | % | |||||||||
| Adjusted gross margin | 33.5 | % | 14.9 | % | 22.8 | % | |||||||||
| Q1 FY26 | |||||||||||||||
| Gross profit | $ | 42,414 | $ | 25,664 | $ | - | $ | 68,078 | |||||||
| Non-GAAP adjustments(1) | 3,789 | - | - | 3,789 | |||||||||||
| Adjusted gross profit | $ | 46,203 | $ | 25,664 | $ | - | $ | 71,867 | |||||||
| Gross margin | 20.8 | % | 15.7 | % | 18.5 | % | |||||||||
| Adjusted gross margin | 22.7 | % | 15.7 | % | 19.5 | % | |||||||||
| Adjusted EBITDA | |||||||||||||||
| Q1 FY27 | |||||||||||||||
| Adjusted EBITDA | $ | 17,314 | $ | 8,959 | $ | (8,691 | ) | $ | 17,582 | ||||||
| % change - FY27 Adjusted EBITDA vs. FY26 Adjusted EBITDA | 1.8 | % | (28.6 | )% | 11.6 | % | (10.9 | )% | |||||||
| Adjusted EBITDA margin | 15.6 | % | 6.0 | % | 6.8 | % | |||||||||
| Q1 FY26 | |||||||||||||||
| Adjusted EBITDA | $ | 17,009 | $ | 12,555 | $ | (9,832 | ) | $ | 19,732 | ||||||
| Adjusted EBITDA margin | 8.3 | % | 7.7 | % | 5.4 | % | |||||||||
(1) See accompanying table "Adjusted Gross Profit, Adjusted Operating Income, Adjusted Net Loss and Adjusted Net Loss per Diluted Share"
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||
| Adjusted Gross Profit, Adjusted Operating Income, Adjusted Net Loss and Adjusted Net Loss per Diluted Share | |||||||
| (unaudited and in thousands, except per share amounts) | |||||||
| Reconciliation of Gross Profit, GAAP to Gross Profit, as Adjusted: | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| Gross profit, GAAP | |||||||
| Adjustments to Cost of sales: | |||||||
| Plant closure related costs, net | 2,626 | 3,789 | |||||
| Gross profit, as adjusted | |||||||
| Reconciliation of Operating Loss, GAAP to Operating Income, as Adjusted: | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| Operating loss, GAAP | ) | ) | |||||
| Adjustments to Cost of sales: | |||||||
| Plant closure related costs, net | 2,626 | 3,789 | |||||
| Adjustments to Operating expenses(a): | |||||||
| Transaction and integration costs, net | 8,419 | 2,173 | |||||
| Productivity and transformation costs | 4,666 | 8,219 | |||||
| Certain litigation expenses, net(b) | 2,014 | 827 | |||||
| Plant closure related costs, net | 270 | 47 | |||||
| Operating income, as adjusted | |||||||
| Reconciliation of Net Loss, GAAP to Net Loss, as Adjusted: | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| Net loss, GAAP | ) | ) | |||||
| Adjustments to Cost of sales: | |||||||
| Plant closure related costs, net | 2,626 | 3,789 | |||||
| Adjustments to Operating expenses(a): | |||||||
| Transaction and integration costs, net | 8,419 | 2,173 | |||||
| Productivity and transformation costs | 4,666 | 8,219 | |||||
| Certain litigation expenses, net(b) | 2,014 | 827 | |||||
| Plant closure related costs, net | 270 | 47 | |||||
| Adjustments to Interest and other income, net(c): | |||||||
| Gain on sale of assets | - | (886 | ) | ||||
| Gain on remeasurement of assets reclassified to held and used | (14,769 | ) | - | ||||
| Unrealized currency (gains) losses | (267 | ) | 265 | ||||
| Adjustments to Provision (benefit) for income taxes: | |||||||
| Net tax impact of non-GAAP adjustments | 1,716 | (1,051 | ) | ||||
| Net loss, as adjusted | ) | ) | |||||
| Net loss margin | (4.3)% | (5.6)% | |||||
| Adjusted net loss margin | (2.5)% | (2.0)% | |||||
| Diluted shares used in the calculation of net loss per common share: | 91,002 | 90,309 | |||||
| Diluted shares used in the calculation of adjusted net loss per common share: | 91,002 | 90,309 | |||||
| Diluted net loss per common share, GAAP | ) | ) | |||||
| Diluted net loss per common share, as adjusted | ) | ) | |||||
(a) Operating expenses include selling, general and administrative expenses, amortization of acquired intangible assets and productivity and transformation costs.
(b) Expenses and items relating to securities class action, baby food litigation and SEC investigation.
(c) Interest and other income, net includes interest and other financing expenses, net, gain on sale of assets, gain on remeasurement of assets reclassified to held and used, unrealized currency (gains) losses, and other income, net.
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||||||
| Organic Net Sales Growth by Segment | |||||||||||
| (unaudited and in thousands) | |||||||||||
| Q1 FY27 | North America | International | Hain Consolidated | ||||||||
| Net sales | $ | 110,815 | $ | 149,459 | $ | 260,274 | |||||
| Less: Impact of divestitures, discontinued brands and exited product categories | 13,832 | 511 | 14,343 | ||||||||
| Less: Impact of foreign currency exchange | (66 | ) | (999 | ) | (1,065 | ) | |||||
| Organic net sales | $ | 97,049 | $ | 149,947 | $ | 246,996 | |||||
| Q1 FY26 | |||||||||||
| Net sales | $ | 203,920 | $ | 163,963 | $ | 367,883 | |||||
| Less: Impact of divestitures, discontinued brands and exited product categories | 101,026 | 2,103 | 103,129 | ||||||||
| Organic net sales | $ | 102,894 | $ | 161,860 | $ | 264,754 | |||||
| Net sales decline | (45.7)% | (8.8)% | (29.3)% | ||||||||
| Less: Impact of divestitures, discontinued brands and exited product categories | (40.0)% | (0.8)% | (22.3)% | ||||||||
| Less: Impact of foreign currency exchange | (0.0)% | (0.6)% | (0.3)% | ||||||||
| Organic net sales decline | (5.7)% | (7.4)% | (6.7)% | ||||||||
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | ||||||||||||||||||
| Organic Net Sales Growth by Category | ||||||||||||||||||
| (unaudited and in thousands) | ||||||||||||||||||
Q1 FY27 | Baby & Kids | Beverages | Meal Prep | Snacks | Personal Care | Hain Consolidated | ||||||||||||
| Net sales | $ | 52,552 | $ | 58,147 | $ | 134,139 | 6,702 | $ | 8,734 | $ | 260,274 | |||||||
| Less: Impact of divestitures, discontinued brands and exited product categories | 4,561 | - | 745 | 303 | 8,734 | 14,343 | ||||||||||||
| Less: Impact of foreign currency exchange | (115 | ) | (541 | ) | (387 | ) | (22 | ) | - | (1,065 | ) | |||||||
| Organic net sales | $ | 48,106 | $ | 58,688 | $ | 133,781 | $ | 6,421 | $ | - | $ | 246,996 | ||||||
| Q1 FY26 | ||||||||||||||||||
| Net sales | $ | 55,792 | $ | 59,574 | $ | 159,622 | $ | 80,015 | $ | 12,880 | $ | 367,883 | ||||||
| Less: Impact of divestitures, discontinued brands and exited product categories | 7,398 | 23 | 10,484 | 72,344 | 12,880 | 103,129 | ||||||||||||
| Organic net sales | $ | 48,394 | $ | 59,551 | $ | 149,138 | $ | 7,671 | $ | - | $ | 264,754 | ||||||
| Net sales decline | (5.8)% | (2.4)% | (16.0)% | (91.6)% | (32.2)% | (29.3)% | ||||||||||||
| Less: Impact of divestitures, discontinued brands and exited product categories | (5.0)% | (0.1)% | (5.5)% | (75.3)% | n/a | (22.3)% | ||||||||||||
| Less: Impact of foreign currency exchange | (0.2)% | (0.9)% | (0.2)% | (0.0)% | n/a | (0.3)% | ||||||||||||
| Organic net sales decline | (0.6)% | (1.4)% | (10.3)% | (16.3)% | n/a | (6.7)% | ||||||||||||
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||
| Adjusted EBITDA | |||||||
| (unaudited and in thousands) | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| Net loss | ) | ) | |||||
| Depreciation and amortization | 13,296 | 15,411 | |||||
| Equity in net loss of equity-method investees | 24 | 173 | |||||
| Interest expense, net | 10,856 | 13,142 | |||||
| Provision (benefit) for income taxes | 877 | (1,256 | ) | ||||
| Stock-based compensation, net | 873 | 2,003 | |||||
| Unrealized currency (gains) losses | (267 | ) | 265 | ||||
| Certain litigation expenses, net(a) | 2,014 | 827 | |||||
| Restructuring activities | |||||||
| Productivity and transformation costs | 4,666 | 8,219 | |||||
| Plant closure related costs, net | 2,896 | 286 | |||||
| Acquisitions, divestitures and other | |||||||
| Transaction and integration costs, net | 8,419 | 2,173 | |||||
| Gain on sale of assets | - | (886 | ) | ||||
| Gain on remeasurement of assets reclassified to held and used | (14,769 | ) | - | ||||
| Adjusted EBITDA | |||||||
(a) Expenses and items relating to securities class action, baby food litigation and SEC investigation.
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | |||||||
| Free Cash Flow | |||||||
| (unaudited and in thousands) | |||||||
| First Quarter | |||||||
| 2027 | 2026 | ||||||
| Net cash used in operating activities | ) | ) | |||||
| Purchases of property, plant and equipment | (3,918 | ) | (5,227 | ) | |||
| Free cash flow | ) | ) | |||||
| THE HAIN CELESTIAL GROUP, INC. AND SUBSIDIARIES | ||||||
| Net Debt | ||||||
| (unaudited and in thousands) | ||||||
| September 30, 2026 | June 30, 2026 | |||||
| Debt | ||||||
| Current portion of long-term debt | $ | 585,934 | $ | 557,552 | ||
| Long-term debt, less current portion | 271 | 292 | ||||
| Total debt | 586,205 | 557,844 | ||||
| Less: Cash and cash equivalents | 63,015 | 58,078 | ||||
| Net debt | $ | 523,190 | $ | 499,766 | ||
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were Hain Celestial's fiscal first-quarter 2027 sales and earnings?
Hain Celestial reported $260 million in net sales and a net loss of $11 million, or $0.12 per diluted share, for the quarter ended September 30, 2026. Sales declined 29% year-over-year, while net loss narrowed from $21 million, or $0.23 per diluted share.
Has Hain Celestial completed the sale of its International business to AURELIUS?
The International sale remains uncompleted, with Hain continuing discussions with AURELIUS. Final required regulatory approvals arrived in early November 2026, but the separate condition requiring a credit-agreement amendment by October 12, 2026, was not satisfied. Discussions with lenders regarding Hain's capital structure also continue.
What affected Hain Celestial's fiscal first-quarter 2027 International margins?
Cost inflation and lower volume/mix drove the decline in International gross and adjusted gross margins, partially offset by productivity savings. Both margins were 14.9%, down 80 basis points from the prior-year quarter.