LENEXA, Kansas — Hostess Brands, Inc. on Tuesday reported its financial results for the three and six months ended June 30, 2023.
Some of the highlights from the second quarter report, compared to the same period in 2022, were a 3.5% increase in net revenue, $352.4 million. The company’s gross profit grew 11.8% to $126 million, or 35.8% of its net revenue.
Also noted in the report were $58.2 million in capital expenditures, including the build-out of the new bakery in Arkadelphia, “which remains on track to begin operations in the 4th quarter of 2023.”
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“Hostess Brands delivered another strong quarter with double-digit profit growth and higher margins driven by favorable net price realization, normalizing supply chain, and contributions from productivity initiatives,” said Andy Callahan, CEO of Hostess Brands. “Our foundation for sustainable growth remains strong. We are executing well against our growth initiatives with strong customer support behind back-to-school merchandising, leading innovation in the category, and increased investment in our brands, which provide confidence in our ability to generate stronger sales growth in the second half of 2023.”