Middleby Q2 beats sales expectations, initiates Q3 and FY guidance

Overview

• Middleby Q2 sales beat analysts' expectations but adjusted EBITDA missed, per LSEG data

• Company repurchased 3.1 mln shares for $448.9 mln, or 5.7% of equity

• Middleby initiates Q3 and full year 2025 guidance

Outlook

• Middleby sees Q3 revenue of $950-975 mln

• Middleby expects Q3 adjusted EBITDA of $185-195 mln

• Middleby forecasts 2025 revenue of $3.81-3.87 bln

• Company projects 2025 adjusted EPS of $8.65-9.05

Result Drivers

• ECONOMIC UNCERTAINTY - Middleby attributes Q2 results to economic uncertainty in key markets, impacting customer demand

• NEW PRODUCT LAUNCHES - Gains in market share driven by new product launches, per CEO Tim FitzGerald

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

• Wall Street's median 12-month price target for Middleby Corp is $167.00, about 13.3% above its August 5 closing price of $144.71

• The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 13 three months ago

Press Release: ID:nBw9C1p5ma