John B. Sanfilippo & Son (NASDAQ:JBSS) outlined plans to expand its snack bar manufacturing business while continuing to build on its private-label nut and trail mix operations, during a presentation at the IDEAS Conference.
The company, a fourth-generation family-managed processor, marketer and distributor of nuts and snack products, said it generates approximately $1.2 billion in annual net sales. Its portfolio includes snack and protein bars, recipe nuts, snack nuts, trail mixes and confection products.
Fiscal 2026 Channel Growth
Finn said the consumer channel, the company’s largest distribution channel, delivered a 6% sales increase in fiscal 2026. The increase was driven by selling-price alignment, favorable product mix and contributions from new customer wins.
The commercial ingredients channel posted 10% sales growth, supported by new and existing customers as well as strategic pricing actions. Contract manufacturing sales increased 4%, primarily due to new customer additions.
Finn said the company has become increasingly focused on the consumer channel as part of a strategy intended to enhance profitability and reduce risk. Within private label, nuts and trail products account for most sales, while the Fisher brand remains the main contributor to its branded business.
The company said it has invested more than $150 million in capital expenditures over the past two years, largely to support future growth. Finn said capital spending will remain elevated for one or two more quarters as the company completes its bar-line installation, before returning to a historical range of roughly $25 million to $30 million annually beginning in fiscal 2028.
Bar Capacity Expansion
Chairman and CEO Jeffrey Sanfilippo said the company is seeking to transform its portfolio by expanding into private-label snack and protein bars. He said the bar category offers a faster-growing opportunity than the company’s traditional nut and trail mix category, which has been relatively flat over the past 18 months to two years.
The company is installing two high-speed bar lines at its Elgin, Illinois, manufacturing site, representing its largest investment to date. Finn said the capital cost of the lines is approximately $90 million. The company converted about 300,000 square feet of former warehouse and distribution space for the new production lines after moving shipping and warehouse operations to leased space nearby.
Jeffrey Sanfilippo said the equipment is nearly installed and is expected to be operating by October. The company expects the investment could support approximately $300 million in incremental growth, with a goal of selling out the capacity over the next three to four years.
He said the company expects to begin receiving customer acceptance and shipping some products in the back half of fiscal 2027, noting that retailer private-label launches can take up to a year as stores reset product assortments.
- The company aims for bar production volume to eventually be split evenly between mainstream fruit-and-grain products and higher-margin protein bars.
- It expects nutrition and protein bars to be a key growth area, while mainstream fruit-and-grain bars have been relatively flat.
- Management said it has held discussions with retailers including Walmart, Target, Trader Joe’s, Sam’s Club and Costco.
Jeffrey Sanfilippo said John B. Sanfilippo & Son currently derives about 95% of its portfolio from trail, nuts and peanut butter, with bars representing about 5%. The company’s nearer-term target is at least a 70% snack-and-trail and 30% bar mix, with a longer-term ambition for a roughly even split between bars and its legacy categories over four to five years.
Leadership Transition
Jeffrey Sanfilippo said he will step down as CEO on Oct. 1 and become executive chairman. His brother, Jasper Sanfilippo, who has served as chief operating officer for 20 years, is set to become CEO.
As executive chairman, Jeffrey Sanfilippo said he plans to focus through the end of fiscal 2027 on building and validating a three-year business plan with support from internal and external consultants.
About John B. Sanfilippo & Son (NASDAQ:JBSS)
John B. Sanfilippo & Son, Inc is a family‐held processor and marketer of tree nuts and snack nut products. Headquartered in Elgin, Illinois, the company operates manufacturing facilities, processing plants and sales offices across the United States and abroad. It supplies a broad range of channels, including retail, foodservice, industrial and private‐label customers.
The company’s product portfolio spans in‐shell and shelled pecans, walnuts, almonds, cashews, pistachios and peanuts, as well as mixed‐nut blends, chocolate‐covered treats, granolas and specialty snack items.
