National Beverage Corp. has recently released its 10-Q report, revealing insights into its financial performance and operations. The company, headquartered in Fort Lauderdale, Florida, develops, produces, and markets a diverse portfolio of beverages, including sparkling waters, juices, energy drinks, and carbonated soft drinks, primarily in the United States and Canada. Its brands, such as LaCroix, Clear Fruit, Rip It, Everfresh, Shasta, and Faygo, cater to health-conscious consumers and have garnered consumer loyalty for over 135 years.
In the first quarter of fiscal 2026, National Beverage Corp. reported a net sales increase of $1.0 million to $330.5 million compared to the same period in fiscal 2025. This growth was primarily attributed to a 4.4% increase in average selling price per case, partially offset by a 3.9% decrease in case volume, affecting both carbonated soft drink brands and Power+ Brands. The gross profit for the first quarter of fiscal 2026 also saw an increase to $125.5 million compared to $122.4 million for the first quarter of fiscal 2025, with a gross margin of 38.0%, up from 37.2% in the prior year.
Selling, general, and administrative expenses for the first quarter of fiscal 2026 increased to $54.7 million from $52.9 million for the first quarter of fiscal 2025, primarily due to higher marketing costs. The company's effective income tax rate was 23.6% for the first quarter of fiscal 2026, slightly higher than the 23.1% reported for the first quarter of fiscal 2025, mainly due to the effects of state income taxes.
Regarding liquidity and financial condition, National Beverage Corp. maintained unsecured revolving Credit Facilities and a Loan Facility totaling $150 million, with no outstanding borrowings at August 2, 2025. The company's cash position increased by $56.0 million for the first quarter of fiscal 2026, compared to a decrease of $250.0 million for the first quarter of fiscal 2025, primarily due to a special cash dividend paid in the prior year. Net cash provided by operating activities for the first quarter of fiscal 2026 was $59.1 million, reflecting an increase primarily due to a net decrease in working capital, excluding cash, and other items, partially offset by the decrease in net income.
At August 2, 2025, National Beverage Corp.'s working capital increased to $329.2 million from $266.4 million at May 3, 2025, with a current ratio of 3.2 to 1. The increase in working capital and current ratio was primarily due to an increase in cash and cash equivalents of $56.0 million and other net working capital increases of $6.8 million. Trade receivables increased $2.3 million, while days sales outstanding decreased to 29.3 days from 32.5 days. Inventories increased $8.8 million, and inventory turns decreased to 8.2 times from 8.7 times.
National Beverage Corp.'s 10-Q report provides a comprehensive overview of its financial performance and strategic initiatives, offering investors and stakeholders valuable insights into the company's operations and future prospects. Following these announcements, the company's shares moved 2.67%, and are now trading at a price of $40.35. If you want to know more, read the company's complete 10-Q report here.
