Story perspectives

Lamb Weston Beats EBITDA, Raises Guidance After Results

By Drooid · Oct 6, 2026, 10:25 PM UTC · How we work

Summary

Lamb Weston Raises Guidance

Lamb Weston reported fiscal 2027 Q1 results, with adjusted EBITDA of $285.6 million beating the $262 million estimate.
Revenue was $1.67 billion, flat year-on-year and 1% above the $1.65 billion consensus.
GAAP earnings per share were $0.21, missing the $0.52 forecast by 59.9%.
The company raised full-year EPS guidance to $3.20 and EBITDA guidance to $1.17 billion.
Shares jumped about 11% pre-market, while JPMorgan cut its price target to $46 and Stephens to $50.

Summary

Lamb Weston Closes Plant

Lamb Weston closed its Broekhuizenvorst, Netherlands plant, moving production to higher-efficiency facilities.
European potato harvest fell 15%-20% because of heat and drought, tightening supply.
North America capacity utilization rose about 10 percentage points, boosting plant efficiency.
Tariff reimbursements of roughly $5 million helped offset margin pressure in North America.
International segment EBITDA fell 54% due to EMEA pricing pressure and higher manufacturing costs per pound.

History

Historical Context

During the 2003 European heatwave, the EU’s grain harvest fell by 10 million tonnes (?10 %) and economic loss reached 0.5 % of GDP, while the Netherlands declared a drought on 3 August and saw residential electricity use jump 50 %. Those shocks prompted processors such as Lamb Weston to consolidate facilities, a trend echoed in today’s plant closure.

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Lamb Weston Raises Guidance

Lamb Weston reported fiscal 2027 Q1 results, with adjusted EBITDA of $285.6 million beating the $262 million estimate.
Revenue was $1.67 billion, flat year-on-year and 1% above the $1.65 billion consensus.
GAAP earnings per share were $0.21, missing the $0.52 forecast by 59.9%.
The company raised full-year EPS guidance to $3.20 and EBITDA guidance to $1.17 billion.
Shares jumped about 11% pre-market, while JPMorgan cut its price target to $46 and Stephens to $50.

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