Oil-Dri Announces Highest Second Quarter Revenues on Record
Rhea-AI Summary
Oil-Dri (NYSE: ODC) reported its highest ever second quarter consolidated net sales of $117.7 million for the quarter ended January 31, 2026, a 1% increase year-over-year, while consolidated net income was $12.6 million, down 3% from prior year.
Second-quarter results reflected a severe winter storm that disrupted operations and shifted revenue timing; YTD net sales were $238.2 million, down 3% versus prior year. Agricultural and cat litter growth drove sales, while consolidated gross margin narrowed to 27.4% due to higher costs per ton. Company repurchased over 150,000 shares year-to-date.
Positive
- Record second-quarter consolidated net sales of $117.7 million
- Agricultural sales up 23% year-over-year to $11.2 million
- Co-packaged cat litter sales rose 31% year-over-year
- Share repurchases exceeding 150,000 shares year-to-date
Negative
- Consolidated gross profit declined 6% and gross margin fell to 27.4%
- Income from operations decreased 10% year-over-year to $15.7 million
- Amlan sales declined 32% to $5.3 million due to distributor customer loss
- Year-to-date net sales down 3% to $238.2 million and diluted EPS down 4% YTD
News Market Reaction – ODC
On the day this news was published, ODC gained 0.83%, reflecting a mild positive market reaction. Argus tracked a peak move of +2.3% during that session. Our momentum scanner triggered 8 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $8M to the company's valuation, bringing the market cap to $1.01B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
While ODC traded near its highs, key specialty chemical peers were mixed: SCL -1.48%, ECVT -0.45%, MATV -2.28%, KRO +0.58%, OEC 0.00%. This points to stock-specific factors around earnings rather than a broad sector move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Feb 26 | Educational partnership | Positive | +0.8% | Amlan and Elanco co-host calf health seminars in Japan in March 2026. |
| Feb 02 | Conference marketing | Positive | +0.7% | Amlan to showcase swine gut health products at AMVECAJ 2026 with KOFARM. |
| Jan 22 | Leadership change | Positive | -1.1% | Promotion of Dr. Robin Jarquin to VP of Sales – Latin America at Amlan. |
| Jan 07 | Trade show presence | Positive | +3.6% | Amlan highlights gut health and feed efficiency solutions at IPPE 2026. |
| Dec 10 | Dividend increase | Positive | +4.9% | Board declares <b>14%</b> dividend increase and confirms long dividend track record. |
Recent corporate and partnership announcements have generally coincided with positive price reactions, with only one notable divergence on a management promotion.
Over the last few months, ODC news has focused on Amlan-branded growth initiatives and shareholder returns. Marketing and technical outreach at IPPE 2026 on Jan 27–29 and swine and calf health events in early 2026 all saw modestly positive price reactions. A management promotion on Jan 22, 2026 drew a small negative move, while a 14% dividend increase announced on Dec 10, 2025 coincided with the strongest gain. Today’s Q2 record revenue update fits into a narrative of steady expansion and capital returns.
Market Pulse Summary
This announcement reports record second-quarter net sales of $117.7M but lower gross margins and operating income compared with the prior year, partly tied to Winter Storm Fern disruptions. Segment details show strong growth in agriculture and cat litter offset by weakness in animal health. Recent history, including a 14% dividend increase and ongoing Amlan initiatives, highlights a focus on growth and shareholder returns. Investors may monitor margin trends, Amlan recovery, and cash deployment over coming quarters.
Key Terms
ebitda financial
diluted eps financial
AI-generated analysis. Not financial advice.
CHICAGO, March 11, 2026 (GLOBE NEWSWIRE) -- Oil-Dri Corporation of America (NYSE: ODC), producer and marketer of sorbent mineral products, today announced results for its second quarter and first six- months of fiscal year 2026.
| Second Quarter | Year to Date | |||||||||
| (in thousands, except per share amounts) | Ended January 31, | Ended January 31, | ||||||||
| 2026 | 2025 | Change | 2026 | 2025 | Change | |||||
| Consolidated Results | ||||||||||
| Net Sales | $ | 117,737 | $ | 116,914 | 1 % | $ | 238,223 | $ | 244,859 | (3)% |
| Income from Operations * | $ | 15,693 | $ | 17,482 | (10)% | $ | 32,647 | $ | 38,672 | (16)% |
| Net Income | $ | 12,569 | $ | 12,921 | (3)% | $ | 28,025 | $ | 29,297 | (4)% |
| EBITDA † | $ | 21,735 | $ | 22,216 | (2)% | $ | 45,376 | $ | 48,383 | (6)% |
| Diluted EPS - Common | $ | 0.87 | $ | 0.89 | (2)% | $ | 1.93 | $ | 2.01 | (4)% |
| Business to Business | ||||||||||
| Net Sales | $ | 41,977 | $ | 43,416 | (3)% | $ | 86,263 | $ | 91,831 | (6)% |
| Segment Operating Income | $ | 11,799 | $ | 14,322 | (18)% | $ | 25,433 | $ | 31,432 | (19)% |
| Retail and Wholesale | ||||||||||
| Net Sales | $ | 75,760 | $ | 73,498 | $ | 151,960 | $ | 153,028 | (1)% | |
| Segment Operating Income | $ | 10,772 | $ | 11,328 | (5)% | $ | 23,171 | $ | 24,705 | (6)% |
| * Comprised of Consolidated Operating Income less unallocated corporate expenses. † Please refer to Reconciliation of Non-GAAP Financial Measures below for a reconciliation of Non-GAAP items to the comparable GAAP measures. | ||||||||||
Daniel S. Jaffee, President and Chief Executive Officer, stated, “Second quarter results were consistent with the expectations we set at the end of fiscal year 2025, as we faced another quarter of challenging year-over-year comparisons. Additionally, a severe weather event temporarily disrupted operations at several of our plants and delayed shipments at the end of the quarter, resulting in an expected meaningful shift of revenues into the next reporting period. Even with these headwinds, we delivered the highest second quarter consolidated net sales in our history, boosted by the strength of our agricultural and cat litter businesses. I am incredibly proud of our dedicated teammates who helped us navigate the winter storm and achieve full operational recovery. Our strategic priorities remain firmly on track, as we continue advancing key initiatives across the organization to support long-term growth. Our confidence in our business remains strong and is reflected in the repurchase of over 150,000 shares year-to-date. At this point in time, we are tracking to our annual plan. To the extent we are able continue this trend, we anticipate that we will surpass last year’s annual net income.”
Consolidated Results
In January 2026, the Company was negatively impacted by a severe winter weather event, Winter Storm Fern, which occurred across the southern and eastern regions of the United States. This brought snow, freezing rain, and ice that caused widespread damage and outages. Emphasizing safety first, the Company temporarily shut down its facilities in affected regions and reduced production. The storm also disrupted Oil-Dri’s supply chain and delayed logistics, making it challenging for customers to pick up and receive orders. The Company’s financial results for the second quarter of fiscal year 2026 were adversely impacted by this storm, which reduced fixed cost absorption and resulted in an expected meaningful delay in recognized revenue. Operations have since been restored.
For the second quarter of fiscal 2026, consolidated net sales were
Consolidated gross profit for the second quarter of fiscal year 2026 was
Selling, general and administrative ("SGA") expenses were
Consolidated income from operations was
Total other income, net was
During the second quarter of fiscal 2026, income tax expense was
Consolidated net income for the second quarter of fiscal year 2026 was
Cash and cash equivalents for the three month period ending January 31, 2026 totaled
Product Group Review
The B2B Products Group’s second quarter of fiscal year 2026 revenues were
Second quarter of fiscal year 2026 SG&A costs within the B2B Products Group increased by
Operating income for the B2B Products Group was
The R&W Products Group’s second quarter of fiscal year 2026 revenues were
During the second quarter of fiscal 2026, SG&A expenses within the R&W Products Group increased by
Operating income for the R&W Products Group was
The Company will host its second quarter of fiscal year 2026 earnings discussion virtually via a live webcast on Thursday, March 12, 2026 at 10:00 a.m. Central Time. Participation details are available on the Company’s website’s Events page.
“Oil-Dri” and “Amlan” are registered trademarks of Oil-Dri Corporation of America and its subsidiaries.
1Based in part on data reported by NielsenIQ through its Scantrack Service for the Cat Litter Category in the 13-week period ending January 24, 2026, for the U.S. xAOC+Pet Supers market. Copyright © 2026 NielsenIQ.
About Oil-Dri Corporation of America
Oil-Dri Corporation of America is a leading manufacturer and supplier of specialty sorbent products for the pet care, animal health and nutrition, fluids purification, agricultural ingredients, sports field, industrial and automotive markets. Oil-Dri is vertically integrated which enables the Company to efficiently oversee every step of the process from research and development to supply chain to marketing and sales. With over 80 years of experience, the Company continues to fulfill its mission to Create Value from Sorbent Minerals.
Forward-Looking Statements
Certain statements in this press release may constitute forward-looking statements within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Our forward-looking statements include, but are not limited to, statements regarding our or our management team’s expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. These forward-looking statements are based on management’s current expectations, estimates, forecasts, assumptions and projections about future events, our future performance, the future of our business, our plans and strategies, projections, anticipated trends, the economy and other future developments and their potential effects on us. In addition, we, or others on our behalf, may make forward-looking statements in other press releases or written statements, or in our communications and discussions with investors and analysts in the normal course of business through meetings, webcasts, phone calls and conference calls. Forward-looking statements can be identified by words such as “expect,” “outlook,” “forecast,” “would,” “could,” “should,” “project,” “intend,” “plan,” “continue,” “believe,” “seek,” “estimate,” “anticipate,” “may,” “assume,” “potential,” “strive,” and variations of such words and similar references to future periods.
Such statements are subject to certain risks, uncertainties and assumptions that could cause actual results to differ materially from those anticipated, intended, expected, believed, estimated, projected, planned or otherwise expressed in any forward-looking statements, including, but not limited to, those described in our most recent Annual Report on Form 10-K and from time to time in our other filings with the Securities and Exchange Commission. Investors are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Except to the extent required by law, we do not have any intention or obligation to update publicly any forward-looking statements after the distribution of this press release, whether as a result of new information, future events, changes in assumptions, or otherwise.
Non-GAAP Financial Measures
To supplement our consolidated financial statements prepared in accordance with generally accepted accounting principles (“GAAP”), we provide certain non-GAAP financial measures in this press release as supplemental financial metrics. In particular, EBITDA is a non-GAAP financial measure provided herein. We provide a reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure below.
The non-GAAP financial measures we use may not be the same or calculated in the same manner as those used and calculated by other companies. Non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as a substitute for our financial results prepared and reported in accordance with GAAP. We believe that certain non-GAAP measures may be helpful to investors and others in understanding and evaluating our operating results, and we urge investors to review the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures included in this release, and not to rely on any single financial measure to evaluate our business.
Contact:
Leslie A. Garber
Director of Investor Relations
Oil-Dri Corporation of America
InvestorRelations@oildri.com
(312) 321-1515
| CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||
| (in thousands, except per share amounts) | ||||||||||||||
| Second Quarter Ended January 31, | ||||||||||||||
| 2026 | % of Sales | 2025 | % of Sales | |||||||||||
| Net Sales | $ | 117,737 | 100.0 | % | $ | 116,914 | 100.0 | % | ||||||
| Cost of Goods Sold | (85,435 | ) | (72.6 | )% | (82,466 | ) | (70.5 | )% | ||||||
| Gross Profit | 32,302 | 27.4 | % | 34,448 | 29.5 | % | ||||||||
| Selling, General and Administrative Expenses | (16,609 | ) | (14.1 | )% | (16,966 | ) | (14.5 | )% | ||||||
| Operating Income | 15,693 | 13.3 | % | 17,482 | 15.0 | % | ||||||||
| Other Expense, Net | 121 | 0.1 | % | (1,222 | ) | (1.0 | )% | |||||||
| Income Before Income Taxes | 15,814 | 13.4 | % | 16,260 | 13.9 | % | ||||||||
| Income Taxes Expense | (3,245 | ) | (2.8 | )% | (3,339 | ) | (2.9 | )% | ||||||
| Net Income | 12,569 | 10.7 | % | 12,921 | 11.1 | % | ||||||||
| Net Income Per Share: | Basic Common | $ | 0.94 | $ | 0.95 | |||||||||
| Basic Class B | $ | 0.70 | $ | 0.72 | ||||||||||
| Diluted Common | $ | 0.87 | $ | 0.89 | ||||||||||
| Diluted Class B | $ | 0.70 | $ | 0.72 | ||||||||||
| Avg Shares Outstanding: | Basic Common | 9,884 | 9,895 | |||||||||||
| Basic Class B | 4,048 | 4,004 | ||||||||||||
| Diluted Common | 13,932 | 13,899 | ||||||||||||
| Diluted Class B | 4,048 | 4,004 | ||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||
| (in thousands, except per share amounts) | ||||||||||||||
| Six Months Ended January 31, | ||||||||||||||
| 2026 | % of Sales | 2025 | % of Sales | |||||||||||
| Net Sales | $ | 238,223 | 100.0 | % | $ | 244,859 | 100.0 | % | ||||||
| Cost of Goods Sold | (170,426 | ) | (71.5 | )% | (169,631 | ) | (69.3 | )% | ||||||
| Gross Profit | 67,797 | 28.5 | % | 75,228 | 30.7 | % | ||||||||
| Selling, General and Administrative Expenses | (35,150 | ) | (14.8 | )% | (36,556 | ) | (14.9 | )% | ||||||
| Income from Operations | 32,647 | 13.7 | % | 38,672 | 15.8 | % | ||||||||
| Other Income (Expense), Net | 841 | 0.4 | % | (2,210 | ) | (0.9 | )% | |||||||
| Income Before Income Taxes | 33,488 | 14.1 | % | 36,462 | 14.9 | % | ||||||||
| Income Taxes Expense | (5,463 | ) | (2.3 | )% | (7,165 | ) | (2.9 | )% | ||||||
| Net Income | 28,025 | 11.8 | % | 29,297 | 12.0 | % | ||||||||
| Net Income Per Share: | Basic Common | $ | 2.07 | $ | 2.17 | |||||||||
| Basic Class B | $ | 1.56 | $ | 1.63 | ||||||||||
| Diluted Common | $ | 1.93 | $ | 2.01 | ||||||||||
| Diluted Class B | $ | 1.56 | $ | 1.63 | ||||||||||
| Avg Shares Outstanding: | Basic Common | 9,901 | 9,870 | |||||||||||
| Basic Class B | 4,028 | 3,986 | ||||||||||||
| Diluted Common | 13,929 | 13,856 | ||||||||||||
| Diluted Class B | 4,028 | 3,986 | ||||||||||||
| CONSOLIDATED BALANCE SHEETS | |||||
| (in thousands, except per share amounts) | |||||
| As of January 31, | As of July 31, | ||||
| 2026 | 2025 | ||||
| Current Assets | |||||
| Cash and Cash Equivalents | $ | 46,933 | $ | 50,458 | |
| Accounts Receivable, Net | 70,180 | 69,370 | |||
| Inventories, Net | 53,753 | 51,594 | |||
| Prepaid Expenses and Other Assets | 5,897 | 5,961 | |||
| Total Current Assets | 176,763 | 177,383 | |||
| Property, Plant and Equipment, Net | 148,726 | 149,704 | |||
| Other Assets | 62,638 | 64,590 | |||
| Total Assets | $ | 388,127 | $ | 391,677 | |
| Current Liabilities | |||||
| Current Maturities of Notes Payable | $ | 1,000 | $ | 1,000 | |
| Accounts Payable | 10,218 | 16,808 | |||
| Dividends Payable | 2,749 | 2,444 | |||
| Other Current Liabilities | 37,250 | 48,935 | |||
| Total Current Liabilities | 51,217 | 69,187 | |||
| Noncurrent Liabilities | |||||
| Long-term debt | 38,837 | 38,817 | |||
| Other Noncurrent Liabilities | 25,623 | 24,613 | |||
| Total Noncurrent Liabilities | 64,460 | 63,430 | |||
| Stockholders' Equity | 272,450 | 259,060 | |||
| Total Liabilities and Stockholders' Equity | $ | 388,127 | $ | 391,677 | |
| Book Value Per Share Outstanding | $ | 19.56 | $ | 18.66 | |
| CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
| (in thousands) | |||||||
| For the Six Months Ended | |||||||
| January 31, | |||||||
| 2026 | 2025 | ||||||
| CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
| Net Income | $ | 28,025 | $ | 29,297 | |||
| Adjustments to reconcile net income to net cash | |||||||
| provided by operating activities: | |||||||
| Depreciation and Amortization | 11,478 | 10,817 | |||||
| Increase in Accounts Receivable | (637 | ) | (4,424 | ) | |||
| Increase in Inventories | (2,058 | ) | (1,394 | ) | |||
| Decrease in Prepaid Expenses | 95 | 1,019 | |||||
| (Decrease) Increase in Accounts Payable | (2,947 | ) | 1,989 | ||||
| Decrease in Accrued Expenses | (10,602 | ) | (8,371 | ) | |||
| Other | 5,081 | 3,397 | |||||
| Total Adjustments | 410 | 3,033 | |||||
| Net Cash Provided by Operating Activities | 28,435 | 32,330 | |||||
| CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
| Capital Expenditures | (14,817 | ) | (17,806 | ) | |||
| Acquisition of Business | — | (115 | ) | ||||
| Net Cash Used in Investing Activities | (14,817 | ) | (17,921 | ) | |||
| CASH FLOWS FROM FINANCING ACTIVITIES | |||||||
| Payments on Revolving Credit Facility | — | (10,000 | ) | ||||
| Dividends Paid | (4,877 | ) | (4,194 | ) | |||
| Purchases of Treasury Stock | (12,364 | ) | (2,164 | ) | |||
| Net Cash Used In Financing Activities | (17,241 | ) | (16,358 | ) | |||
| Effect of exchange rate changes on Cash and Cash Equivalents | 98 | 57 | |||||
| Net Decrease in Cash and Cash Equivalents | (3,525 | ) | (1,892 | ) | |||
| Cash, Cash Equivalents and Restricted Cash, Beginning of Period | 50,458 | 24,481 | |||||
| Cash, Cash Equivalents and Restricted Cash, End of Period | $ | 46,933 | $ | 22,589 | |||
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES | |||||||||||||||
| (in thousands) | |||||||||||||||
| Second Quarter | Year to Date | ||||||||||||||
| Ended January 31, | Ended January 31, | ||||||||||||||
| 2026 | 2025 | 2026 | 2025 | ||||||||||||
| GAAP: Net Income | $ | 12,569 | $ | 12,921 | $ | 28,025 | $ | 29,297 | |||||||
| Depreciation and Amortization | $ | 5,673 | $ | 5,436 | $ | 11,478 | $ | 10,817 | |||||||
| Interest Expense | $ | 555 | $ | 606 | $ | 1,111 | $ | 1,340 | |||||||
| Interest Income | $ | (307 | ) | $ | (86 | ) | $ | (701 | ) | $ | (236 | ) | |||
| Income Tax Expense | $ | 3,245 | $ | 3,339 | $ | 5,463 | $ | 7,165 | |||||||
| EBITDA | $ | 21,735 | $ | 22,216 | $ | 45,376 | $ | 48,383 | |||||||
FAQ
What were Oil-Dri's (ODC) second-quarter net sales and net income for fiscal 2026?
How did Winter Storm Fern affect Oil-Dri's (ODC) Q2 2026 results and revenue timing?
What drove growth in Oil-Dri's (ODC) Retail & Wholesale sales in Q2 2026?
Why did Amlan sales decline in Oil-Dri's (ODC) second quarter of fiscal 2026?
What margin and profitability trends did Oil-Dri (ODC) report for Q2 2026?
How is Oil-Dri (ODC) using cash and what is the company's capital deployment in Q2 2026?
