Westrock Coffee (NASDAQ:WEST) Issues Quarterly Earnings Results, Misses Expectations By $0.07 EPS

Westrock Coffee (NASDAQ:WEST) released its earnings results on Thursday. The company reported ($0.14) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.07) by ($0.07), FiscalAI reports. Westrock Coffee had a negative return on equity of 2,145.68% and a negative net margin of 5.59%.The firm had revenue of $305.66 million during the quarter, compared to analysts’ expectations of $318.80 million.

Here are the key takeaways from Westrock Coffee’s conference call:

• Adjusted EBITDA reached a second-quarter record of $21.3 million, up nearly 39% year over year, while first-half EBITDA more than doubled to $47.3 million. Management reaffirmed its 2026 EBITDA outlook of $90 million to $100 million.
• Beverage Solutions net sales increased nearly 17% year over year, supported by rising RTD can, glass, bottle, and single-serve volumes. Management said it is winning share across product categories, with a strong pipeline and additional customer volume expected to build over the next several quarters.
• Westrock generated $20.2 million of second-quarter free cash flow and became free-cash-flow positive for the first half, a quarter ahead of schedule. Capital expenditures are expected to fall to approximately $30 million in 2026 from $89 million in 2025, reflecting the completion of the major Conway investment phase.
• The company continued to reduce leverage, ending the quarter with a secured net leverage ratio of 3.36 times, and extended most of its Beverage Solutions credit facility maturities to November 2028. Management said the improved cash generation could support high-return incremental investments and future shareholder value creation.
• Second-quarter consolidated gross profit declined by $3.6 million year over year, partly due to higher depreciation from Conway and unfavorable non-cash mark-to-market adjustments. SS&T adjusted EBITDA also fell to $2 million from $3.3 million, although management attributed the decline primarily to shipment timing.

Westrock Coffee Stock Down 1.2%

WEST stock traded down $0.10 during midday trading on Thursday, hitting $8.09. The company’s stock had a trading volume of 369,869 shares, compared to its average volume of 407,329. Westrock Coffee has a 12 month low of $3.59 and a 12 month high of $10.19. The firm has a market capitalization of $783.76 million, a price-to-earnings ratio of -10.79 and a beta of 0.90. The company has a 50 day moving average of $8.09 and a two-hundred day moving average of $6.31.

Analyst Ratings Changes

A number of equities analysts have weighed in on the stock. Stifel Nicolaus set a $8.00 price target on shares of Westrock Coffee in a research report on Friday, May 8th. Zacks Research upgraded shares of Westrock Coffee from a “strong sell” rating to a “hold” rating in a research report on Monday, May 11th. Telsey Advisory Group lifted their target price on shares of Westrock Coffee from $7.00 to $9.00 and gave the company an “outperform” rating in a research note on Friday, May 8th. Benchmark upped their target price on shares of Westrock Coffee from $8.00 to $10.00 and gave the stock a “buy” rating in a report on Monday, May 11th. Finally, Weiss Ratings reiterated a “sell (d-)” rating on shares of Westrock Coffee in a research note on Tuesday. Three analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and an average price target of $9.00.

Insider Activity

In related news, Director Joe T. Ford acquired 15,000 shares of Westrock Coffee stock in a transaction dated Thursday, May 14th. The shares were purchased at an average price of $8.50 per share, for a total transaction of $127,500.00. Following the completion of the transaction, the director directly owned 273,000 shares in the company, valued at approximately $2,320,500. This represents a 5.81% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders have purchased a total of 34,500 shares of company stock worth $290,715 in the last quarter. Company insiders own 25.40% of the company’s stock.

Hedge Funds Weigh In On Westrock Coffee

Several institutional investors have recently bought and sold shares of WEST. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in Westrock Coffee by 10.4% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 21,292 shares of the company’s stock valued at $154,000 after purchasing an additional 2,003 shares during the period. MetLife Investment Management LLC boosted its holdings in shares of Westrock Coffee by 14.9% in the 4th quarter. MetLife Investment Management LLC now owns 20,863 shares of the company’s stock worth $85,000 after purchasing an additional 2,704 shares during the period. Alliancebernstein L.P. boosted its holdings in shares of Westrock Coffee by 10.1% in the 3rd quarter. Alliancebernstein L.P. now owns 31,720 shares of the company’s stock worth $154,000 after purchasing an additional 2,900 shares during the period. BNP Paribas Financial Markets increased its position in shares of Westrock Coffee by 79.2% during the 3rd quarter. BNP Paribas Financial Markets now owns 7,782 shares of the company’s stock valued at $38,000 after purchasing an additional 3,439 shares during the last quarter. Finally, Rhumbline Advisers increased its position in shares of Westrock Coffee by 8.1% during the 2nd quarter. Rhumbline Advisers now owns 49,510 shares of the company’s stock valued at $284,000 after purchasing an additional 3,723 shares during the last quarter. 45.08% of the stock is owned by hedge funds and other institutional investors.

Westrock Coffee Company Profile

Westrock Coffee Company is a global integrated coffee roaster and manufacturer that delivers end-to-end solutions across the coffee and tea supply chain. The company sources, roasts, blends, packages and distributes a diverse range of products, including hot and cold brew coffee, single-serve pods, instant and soluble coffee, tea, and specialty coffee extracts. Serving retail, convenience, foodservice and industrial customers, Westrock Coffee offers both private-label and co-packed branded products to meet the needs of supermarkets, quick-service restaurants, office coffee services and other channels.

Since its founding in 2008, Westrock Coffee has grown through a combination of organic expansion and strategic acquisitions to establish manufacturing facilities across North America, Latin America and Europe.