Coffee Holding (NASDAQ: JVA) Q2 2026 earnings hit by coffee price decline
Rhea-AI Filing Summary
Coffee Holding Co., Inc. reported lower profitability for the quarter ended April 30, 2026 as coffee commodity prices fell sharply. Net sales were $22.1 million, down 5.1% from $23.3 million a year earlier, mainly because green coffee prices dropped and the company reduced prices and ran heavier promotions.
Gross profit slipped to $3.5 million, with margin easing to 15.8% from 16.0% as product and packaging costs rose. Operating expenses increased to $3.1 million, driven by higher selling and administrative costs. Quarterly net income declined to $262,489 or $0.05 per share, compared with $644,055 or $0.11 per share.
For the first six months of fiscal 2026, net sales rose to $47.7 million from $44.6 million and net income improved to $1.9 million from $1.8 million. Cash from operating activities was $6.6 million, helped by lower receivables and inventories, and the company reduced its bank line of credit balance to $2.65 million. Management noted recent new business wins and expects to maintain profitability for the rest of 2026 despite coffee price volatility.
Positive
- None.
Negative
- Quarterly profitability weakened materially: Net income for the three months ended April 30, 2026 fell to $262,489 from $644,055 a year earlier, as lower green coffee prices, reduced selling prices, and higher operating expenses pressured margins and earnings.
Insights
Quarterly profit fell sharply as coffee prices dropped, but cash flow and leverage improved.
Coffee Holding saw quarterly net sales decline 5.1% to $22.1M as a rapid 25% fall in green coffee prices forced lower selling prices and heavier promotions. Gross margin compressed modestly to 15.8%, while operating expenses increased due to higher selling and administrative costs.
Net income for the quarter dropped to $262K from $644K, a sizable year-over-year decrease that reflects weaker pricing and higher costs. However, for the six months ended April 30, 2026, revenue grew to $47.7M and net income edged up to $1.91M, indicating profitability over the broader period.
Cash generation was strong, with operating cash flow of $6.65M versus a prior-year outflow, aided by reductions in accounts receivable and inventories. Total liabilities declined to $10.1M and the line of credit was cut to $2.65M, improving the balance sheet. Management highlighted new business expected to benefit from lower input costs and expressed confidence in maintaining profitability through the balance of 2026, though actual results will depend on future coffee price movements and execution on inventory reduction.
8-K Event Classification
Key Figures
Key Terms
gross profit financial
equity method investments financial
right of use asset financial
operating activities financial
treasury stock financial
Earnings Snapshot
Management stated it believes the company is well positioned to maintain profitability for the balance of 2026.
UNITED STATES
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FORM
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Item 2.02. Results of Operation and Financial Condition.
On June 12, 2026, Coffee Holding Co., Inc. (the “Company” or “Coffee Holding”) issued a press release disclosing certain information regarding its results of operations for the quarter ended April 30, 2026. A copy of the press release is furnished hereto under Item 2.02 as Exhibit 99.1.
The information included in this Item 2.02 and Exhibit 99.1 to this Current Report on Form 8-K, shall not be deemed “filed” for the purposes of or otherwise subject to the liabilities under Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). Unless expressly incorporated into a filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act made after the date hereof, the information contained in this Item 2.02 and Exhibit 99.1 hereto shall not be incorporated by reference into any filing of the Company, whether made before or after the date hereof, regardless of any general incorporation language in such filing.
Item 9.01. Financial Statements and Exhibits.
| Exhibit No. | Description of Exhibit | |
| 99.1 | Press Release, dated June 12, 2026 | |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Coffee Holding Co., Inc. | ||
| By: | /s/ Andrew Gordon | |
| Name: | Andrew Gordon | |
| Title: | President and Chief Executive Officer | |
| Date: June 12, 2026 | ||
Exhibit 99.1
Coffee Holding Company Reports Second Quarter Results.
STATEN ISLAND, New York – June 12, 2026. Coffee Holding Co., Inc. (Nasdaq: JVA) (the “Company,” “our” or “we”) announced its operating results for the fiscal quarter ended April 30, 2026.
Net Sales. Net sales totaled $22,126,156 for the three months ended April 30, 2026, a decrease of 1,193,905, or 5.1%, from $23,320,061 for the three months ended April 30, 2025. The decrease in net sales was primarily attributable to the rapid decline in green coffee prices that began in late January and continued throughout the quarter. In response to these market conditions, the Company reduced prices and increased promotional activity for its wholesale roasted coffee customers. In addition, the Company charged lower prices to its wholesale green coffee customers due to the decline in prevailing coffee market prices during the quarter.
Cost of Sales. Cost of sales for the three months ended April 30, 2026, was $18,639,088, or 84.2% of net sales, as compared to $19,589,889, or 84.0% of net sales, for the three ended April 30, 2025. Cost of sales consists primarily of the cost of green coffee and packaging materials and realized and unrealized gains or losses on hedging activity. While cost of sales decreased due to lower sales volume, cost of sales as a percentage of net sales increased slightly, primarily due to higher product and packaging costs during the current quarter.
Gross Profit. Gross profit for the three months ended April 30, 2026, was $3,487,068, a decrease of $243,104 from $ 3,730,172 for the three months ended April 30, 2025. Gross profit as a percentage of net sales was 15.8% for the three months ended April 30, 2026, compared to 16.0% for the three months ended April 30, 2025. The decrease in gross profit was primarily attributable to the lower sales volumes and pricing pressures discussed above.
Operating Expenses. Total operating expenses increased by $303,015 to $3,144,572 for the three months ended April 30, 2026, from $2,841,557 for the three months ended April 30, 2025. Selling and administrative expenses increased from $2,598,283 for the three months ended April 30, 2025, to $2,943,955 for the three months ended April 30, 2026. Operating expenses increased slightly compared to the prior-year period but remained generally consistent with historical levels.
Net Income. The Company had net income of $262,489 or $0.05 per share basic and diluted, for the three months ended April 30, 2026, compared to net income of $644,055, or $0.11 per share basic and diluted, for the three months ended April 30, 2025. The change in net income was due to our results of operations as described above.
“Our second quarter results were severely impacted by the steady and rapid decline in the green coffee market which began in the final week of January and continued unabated for the entire quarter. A 25% decline in the commodity price for coffee had a negative effect on the price we were able to sell our green coffee inventory to our roaster wholesale customers which not only impacted profitability, but also negatively impacted sales volumes; as customers took a ‘wait and see’ approach on coffee purchases,” said Andrew Gordon President and CEO.
“We also promoted more than anticipated in addition to lowering costs to some of our large retail customers in order to maintain anticipated sales forecasts in some of these customers.
Fortunately, the national brands held their current list pricing in place which allowed us to do the same, somewhat mitigating the potential impairment to our anticipated profit margins. Also, the decrease in the green coffee market does have a silver lining as we were recently awarded some substantial new business which we now will be able to service at increased margins due to new lower input costs in addition to expected increased profit margins on our Cafe Caribe brand. We plan to continue to focus on reducing inventories over the next several months as we believe the historical high in the price of green coffee over the last two years is now in the rear-view mirror and, as result, we do not believe there is a need for carrying extra inventory coverage. Even with the adverse coffee commodity pricing we have experienced, we believe we are still well positioned to maintain profitability for the balance of 2026,” concluded Mr. Gordon.
About Coffee Holding
Founded in 1971, Coffee Holding Co., Inc. (NASDAQ: JVA) is a leading integrated wholesale coffee roaster and dealer in the United States and one of the few coffee companies that offers a broad array of coffee products across the entire spectrum of consumer tastes, preferences and price points. Coffee Holding’s product offerings consist of eight proprietary brands, each targeting a different segment of the consumer coffee market as well as roasting and blending coffees for major wholesalers and retailers throughout the United States who want to have products under their own names to compete with national brands. In addition to selling roasted coffee, Coffee Holding also imports green coffee beans from around the world, which it resells to smaller regional roasters and coffee shops around the United States and Canada.
Forward looking statements
Any statements that are not historical facts contained in this release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including the Company’s outlook on revenue and profitability growth. Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions, and future performance, and involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. We have based these forward-looking statements upon information available to management as of the date of this release and management’s expectations and projections about certain future events. It is possible that the assumptions made by management for purposes of such statements may not materialize. Such statements may involve risks and uncertainties, including but not limited to those relating to product demand, pricing, market acceptance, hedging activities, the effect of economic conditions (including tariffs), intellectual property rights, the outcome of competitive products, the results of financing efforts, the ability to complete transactions and other risks and uncertainties described in the “Risk Factors” section of documents filed by the Company from time to time with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statement for events or circumstances after the date on which such statement is made.
Company Contact
Coffee Holding Co., Inc.
Andrew Gordon
President & CEO
(718) 832-0800
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
| April 30, 2026 | October 31, 2025 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 2,322,774 | $ | 701,872 | ||||
| Accounts receivable, net of allowances of $313,000 for April 30, 2026 and October 31, 2025. | 7,813,567 | 12,093,251 | ||||||
| Inventories | 19,544,732 | 20,446,481 | ||||||
| Due from broker | 1,977,598 | 1,424,036 | ||||||
| Prepaid expenses and other current assets | 383,708 | 594,360 | ||||||
| Prepaid and refundable income taxes | - | 180,916 | ||||||
| TOTAL CURRENT ASSETS | 32,042,379 | 35,440,916 | ||||||
| Building, machinery, and equipment, net | 3,351,641 | 3,463,072 | ||||||
| Customer list and relationships, net of accumulated amortization of $327,250 and $316,250 for April 30, 2026 and October 31, 2025, respectively | 112,750 | 123,750 | ||||||
| Trademarks and tradenames | 327,000 | 327,000 | ||||||
| Equity method investments | 889,652 | 39,651 | ||||||
| Right of use asset | 1,867,033 | 2,084,175 | ||||||
| Deferred income tax assets - net | 173,063 | 229,899 | ||||||
| Deposits and other assets | 330,800 | 339,909 | ||||||
| TOTAL ASSETS | $ | 39,094,318 | $ | 42,048,372 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable and accrued expenses | $ | 4,371,642 | $ | 5,641,836 | ||||
| Line of credit | 2,650,000 | 6,050,000 | ||||||
| Due to broker | 921,328 | 303,813 | ||||||
| Lease liabilities - current portion | 906,309 | 811,975 | ||||||
| TOTAL CURRENT LIABILITIES | 8,849,279 | 12,807,624 | ||||||
| Lease liabilities - long term | 1,221,037 | 1,530,096 | ||||||
| Deferred compensation payable | - | 129,646 | ||||||
| TOTAL LIABILITIES | 10,070,316 | 14,467,366 | ||||||
| Commitments and Contingencies (Note 10) | ||||||||
| STOCKHOLDERS’ EQUITY: | ||||||||
| Common stock, par value $.001 per share; 30,000,000 shares authorized, 6,633,930 shares issued for April 30, 2026 and October 31, 2025; 5,708,599 shares outstanding for April 30, 2026 and October 31, 2025 | 6,634 | 6,634 | ||||||
| Additional paid-in capital | 19,094,618 | 19,094,618 | ||||||
| Retained earnings | 14,556,310 | 13,113,314 | ||||||
| Less: common stock held in treasury, at cost; 925,331 shares at April 30, 2026 and October 31, 2025 | (4,633,560 | ) | (4,633,560 | ) | ||||
| TOTAL STOCKHOLDERS’ EQUITY | 29,024,002 | 27,581,006 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 39,094,318 | $ | 42,048,372 | ||||
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
| Six months ended April 30, | Three months ended April 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| NET SALES | $ | 47,691,996 | $ | 44,625,346 | $ | 22,126,156 | $ | 23,320,061 | ||||||||
| COST OF SALES | 38,079,991 | 36,009,105 | 18,639,088 | 19,589,889 | ||||||||||||
| GROSS PROFIT | 9,612,005 | 8,616,241 | 3,487,068 | 3,730,172 | ||||||||||||
| OPERATING EXPENSES: | ||||||||||||||||
| Selling and administrative | 6,483,162 | 5,682,024 | 2,943,955 | 2,598,283 | ||||||||||||
| Officers’ salaries | 409,606 | 454,571 | 200,617 | 243,274 | ||||||||||||
| TOTAL | 6,892,768 | 6,136,595 | 3,144,572 | 2,841,557 | ||||||||||||
| INCOME FROM OPERATIONS | 2,719,237 | 2,479,646 | 342,496 | 888,615 | ||||||||||||
| OTHER INCOME (EXPENSE): | ||||||||||||||||
| Interest income | 14 | 23 | 6 | 13 | ||||||||||||
| Interest expense | (105,364 | ) | (49,222 | ) | (39,625 | ) | (17,552 | ) | ||||||||
| Gain from equity method investment | - | - | - | 23 | ||||||||||||
| Other income | - | 29 | - | 29 | ||||||||||||
| TOTAL | (105,350 | ) | (49,170 | ) | (39,619 | ) | (17,487 | ) | ||||||||
| INCOME BEFORE INCOME TAX | 2,613,887 | 2,430,476 | 302,877 | 871,128 | ||||||||||||
| Income Tax Provision | 703,078 | 633,165 | 40,388 | 227,073 | ||||||||||||
| NET INCOME | $ | 1,910,809 | $ | 1,797,311 | $ | 262,489 | $ | 644,055 | ||||||||
| Basic and diluted income per share | $ | 0.33 | $ | 0.31 | $ | 0.05 | $ | 0.11 | ||||||||
| Weighted average common shares outstanding: | ||||||||||||||||
| Basic and diluted | 5,708,599 | 5,708,599 | 5,708,599 | 5,708,599 | ||||||||||||
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
THREE AND SIX MONTHS ENDED APRIL 30, 2026 AND 2025
(UNAUDITED)
| Common Stock | Treasury Stock | Additional Paid- | Retained | |||||||||||||||||||||||||
| Shares | Amount | Shares | Amount | in Capital | Earnings | Total | ||||||||||||||||||||||
| Balance, October 31, 2024 | 5,708,599 | $ | 6,634 | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 11,709,875 | $ | 26,177,567 | |||||||||||||||
| Net income | - | - | - | - | - | 1,153,256 | 1,153,256 | |||||||||||||||||||||
| Balance, January 31, 2025 | 5,708,599 | 6,634 | 925,331 | (4,633,560 | ) | 19,094,618 | 12,863,131 | 27,330,823 | ||||||||||||||||||||
| Net income | - | - | - | - | - | 644,055 | 644,055 | |||||||||||||||||||||
| Balance, April 30, 2025 | 5,708,599 | $ | 6,634 | $ | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 13,507,186 | $ | 27,974,878 | ||||||||||||||
| Balance, October 31, 2025 | 5,708,599 | $ | 6,634 | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 13,113,314 | $ | 27,581,006 | |||||||||||||||
| Dividend declared at $0.08 per common share outstanding | - | - | - | - | - | (467,813 | ) | (467,813 | ) | |||||||||||||||||||
| Net income | - | - | - | - | - | 1,648,320 | 1,648,320 | |||||||||||||||||||||
| Balance, January 31, 2026 | 5,708,599 | 6,634 | 925,331 | (4,633,560 | ) | 19,094,618 | 14,293,821 | 28,761,513 | ||||||||||||||||||||
| Net income | - | - | - | - | - | 262,489 | 262,489 | |||||||||||||||||||||
| Balance, April 30, 2026 | 5,708,599 | $ | 6,634 | $ | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 14,556,310 | $ | 29,024,002 | ||||||||||||||
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
| Six months ended April 30, | ||||||||
| 2026 | 2025 | |||||||
| OPERATING ACTIVITIES: | ||||||||
| Net income | $ | 1,910,809 | $ | 1,797,311 | ||||
| Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||
| Depreciation and amortization | 432,029 | 318,228 | ||||||
| Realized and unrealized gains, net | (161,048 | ) | (1,532,721 | ) | ||||
| Amortization of right-of-use asset | 336,500 | 385,372 | ||||||
| Bad debt expense | 50,000 | - | ||||||
| Deferred income taxes benefit | 56,836 | 225,540 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | 4,229,684 | (247,470 | ) | |||||
| Inventories | 901,749 | (1,241,503 | ) | |||||
| Prepaid expenses and other current assets | 210,652 | (271,922 | ) | |||||
| Prepaid and refundable income taxes | 180,916 | 285,438 | ||||||
| Deposits and other assets | 9,109 | (392,387 | ) | |||||
| Accounts payable and accrued expense | (1,270,194 | ) | (531,642 | ) | ||||
| Change in lease liabilities | (334,083 | ) | (357,193 | ) | ||||
| Change in due/from broker | 225,000 | - | ||||||
| Deferred compensation payable | (129,646 | ) | 6,995 | |||||
| NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 6,648,313 | (1,555,954 | ) | |||||
| INVESTING ACTIVITIES: | ||||||||
| Acquisition of Second Empire | - | (800,000 | ) | |||||
| Purchase of investment | (850,000 | ) | - | |||||
| Cash paid for leasehold improvements | (280,834 | ) | (160,000 | ) | ||||
| Purchases of building, machinery and equipment | (28,764 | ) | (32,907 | ) | ||||
| NET CASH USED IN INVESTING ACTIVITIES | (1,159,598 | ) | (992,907 | ) | ||||
| FINANCING ACTIVITIES: | ||||||||
| Payment of dividend | (467,813 | ) | - | |||||
| Proceeds from bank line of credit | - | 4,500,000 | ||||||
| Principal payments under bank line of credit | (3,400,000 | ) | (1,500,000 | ) | ||||
| NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES | (3,867,813 | ) | 3,000,000 | |||||
| NET CHANGE IN CASH AND CASH EQUIVALENTS | 1,620,902 | 451,139 | ||||||
| CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 701,872 | 1,381,023 | ||||||
| CASH AND CASH EQUIVALENTS, END OF YEAR | $ | 2,322,774 | $ | 1,832,162 | ||||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW DATA: | ||||||||
| Cash paid for income taxes | $ | - | $ | 2,833 | ||||
| Interest paid | $ | 131,311 | $ | 23,444 | ||||
| SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | $ | $ | ||||||
| Initial recognition of operating lease right-of-use asset | $ | 119,358 | $ | 2,113,581 | ||||
| Initial recognition of operating lease liabilities | 119,358 | 2,113,581 | ||||||
FAQ
How did Coffee Holding (JVA) perform in the second quarter of 2026?
Coffee Holding reported lower quarterly earnings as coffee prices fell. Net sales were $22.1 million, down 5.1% year over year, and net income declined to $262,489 from $644,055, reflecting pricing pressure and higher selling and administrative expenses.
What were Coffee Holding (JVA) revenues and margins for the quarter ended April 30, 2026?
Net sales for the quarter were $22,126,156, compared with $23,320,061 a year earlier. Gross profit was $3,487,068 with a gross margin of 15.8%, slightly below the prior-year margin of 16.0% as higher product and packaging costs offset cost-of-sales reductions.
How did Coffee Holding’s (JVA) first-half 2026 results compare to 2025?
For the six months ended April 30, 2026, net sales rose to $47,691,996 from $44,625,346 and net income increased to $1,910,809 from $1,797,311. This shows higher revenue and modestly improved profitability over the first half versus the prior year.
What is Coffee Holding’s (JVA) cash flow and debt position as of April 30, 2026?
Operating activities generated $6,648,313 in cash for the six months ended April 30, 2026, compared with an outflow a year earlier. The company reduced its bank line of credit balance to $2,650,000, and total liabilities were $10,070,316, against stockholders’ equity of $29,024,002.
What guidance did Coffee Holding (JVA) management provide regarding 2026 profitability?
Management stated it believes the company is well positioned to maintain profitability for the balance of 2026. They cited lower green coffee input costs, newly awarded business at higher margins, and expected improved profitability on the Cafe Caribe brand as supporting factors.
How did changes in coffee commodity prices affect Coffee Holding (JVA) this quarter?
A roughly 25% decline in green coffee commodity prices negatively affected selling prices and sales volumes. Coffee Holding lowered prices and increased promotions, which reduced net sales and profit margins but also supported customer relationships amid significant market volatility.