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EarningsQ2 2026 Earnings Report
TPB Q2 2026 EPS Results
Actual EPS$0.18
Consensus EPS$0.12
Beat/MissBeat by +$0.06
One Year Ago EPS$0.79
TPB Q2 2026 Revenue Results
Actual Revenue$142.96M
Expected Revenue$129.56M
Beat/MissBeat by +$13.40M
YoY Revenue Growth+22.57%
Earnings Announcement Details
QuarterQ2 2026
Date08/04/2026
TimeBefore Open
Conference CallTuesday, August 4, 2026
TPB Upcoming Earnings
Turning Point Brands's next earnings date is estimated for November 9, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
TPB Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
No slide deck is available for this earnings event.
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly optimistic, led by substantial Modern Oral growth, raised Modern Oral revenue guidance, expanding retail distribution, positive ALP traction, and continued investment in long-term brand and manufacturing capabilities. These positives outweighed lower adjusted EBITDA, higher SG&A, Zig-Zag softness, lower heritage revenue, reduced Stoker's gross margin, and PMTA timing uncertainty.Company Guidance
Strong Modern Oral Growth
Modern Oral gross sales increased 149% year-over-year and 26% sequentially, while net sales increased 128% year-over-year and 32% sequentially. Growth was driven by expanded retail distribution for FRE and ALP and direct-to-consumer platforms.
Modern Oral Gains Revenue Mix
Modern Oral accounted for 48% of total revenue in the quarter, up from 26% in Q2 2025.
Raised Modern Oral Revenue Guidance
Full-year 2026 Modern Oral gross sales guidance was raised to $330 million-$350 million from $280 million-$300 million, while net sales guidance was raised to $260 million-$270 million from $210 million-$225 million.
Stoker's Segment Growth
Stoker's segment net sales increased 55% year-over-year to $108 million and represented 75% of consolidated net sales. Growth was driven by Modern Oral nicotine pouch net sales.
Early Response to Stoker's Proud MST
Management reported pleased results from Stoker's Tobacco and early customer response to the launch of the new Stoker's Proud MST product, while stating that Stoker's is expected to continue gaining share.
Retail Distribution Expansion
The company expects its chain store count to increase 70% year-over-year by the end of 2026. Shelf resets have begun with numerous new large retail accounts, with placements expected to be fulfilled incrementally over the balance of the year and subsequent quarters.
Sales Force Expansion
The company is on pace to increase its sales force by approximately 50% in 2026 to support new accounts, product availability, merchandising execution, shelf placement, and customer support across Modern Oral, Zig-Zag, and Stoker's.
Domestic Manufacturing Progress and Margin Potential
Subject to regulatory approval, the company is on track to launch U.S. manufacturing by the end of the year and expects it to significantly reduce COGS over time. Once fully scaled, management believes gross margins of approximately 70% can be achieved.
Consolidated Sales and Adjusted Gross Profit Growth
Consolidated sales increased 23% year-over-year to $143 million. Adjusted gross profit was $81 million, excluding out-of-period COGS related to a tariff refund, representing a 22% increase versus the prior year, with adjusted gross margin of 57%.
Positive Free Cash Flow and Cash Position
Second-quarter free cash flow was $26 million, and the company ended the quarter with $268 million of cash. Free cash flow was positively impacted by an $18 million tariff refund.
Equity Raise Supports Modern Oral Strategy
The company raised $60 million of equity during the quarter to support long-term strategic objectives within Modern Oral.
Maintained EBITDA Guidance
Full-year 2026 EBITDA guidance was maintained at $70 million-$90 million, inclusive of increased nicotine pouch investments.
ALP Retail and International Expansion
The company reported positive retail response and evidence of pent-up consumer demand for ALP, with current sales efforts focused primarily on independents and some regional chains. ALP also began a phased expansion into select European markets using international partners, with no plans to build a sales force outside the United States at this time.
Brand-Building Momentum
The TKO partnership drove early indicators of brand awareness and consumer engagement, and UFC co-branding began appearing in stores. Zig-Zag's Life's Fast, Burn Slow campaign contributed to the strongest 4/20 weekend in the brand's history.
Improved Gross-to-Net Dynamics
Management stated that strong e-commerce sales, ALP's early independent-channel activity, and reorders within chain accounts are helping tighten the gross-to-net spread.
Positive Regulatory Developments for the Category
Management described recent agency news regarding nicotine pouches, including MRTP designation and additional approvals for a competitor, as positive for the category and stated that the company feels good about its position while continuing to work through the PMTA process.
TPB Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed