Hain Celestial Sells North American Snacks Business for $115M
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 02 2026
0mins
Should l Buy HAIN?
Hain Celestial Group reached a definitive agreement to sell its North American Snacks business, including Garden Veggie Snacks, Terra chips and Garden of Eatin' snacks, to Snackruptors for $115M in cash. This transaction will allow Hain Celestial to move forward with a simplified portfolio in North America focused on core categories and markets with stronger margin and cash flow profiles to drive growth. Hain Celestial's North America snacks portfolio represented 22% of the company's net sales in fiscal 2025 - and 38% of the North America segment net sales - with negligible EBITDA contribution over the last 12 months. The financial profile of the remaining portfolio in North America is meaningfully stronger, delivering EBITDA margins in the low double digits, underpinned by gross margins above 30%. Going forward, the company's flagship categories across North America will include tea, yogurt, and baby/kids, along with its meal preparation platforms. Hain's brands in North America include Celestial Seasonings teas, The Greek Gods yogurt, Earth's Best Organic baby and kids foods and Spectrum Organic culinary oil. The transaction is expected to close by February 28, 2026, subject to customary closing conditions.
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Analyst Views on HAIN
Wall Street analysts forecast HAIN stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for HAIN is 3.25 USD with a low forecast of 1.50 USD and a high forecast of 5.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
5 Analyst Rating
2 Buy
3 Hold
0 Sell
Moderate Buy
Current: 1.230
Low
1.50
Averages
3.25
High
5.00
Current: 1.230
Low
1.50
Averages
3.25
High
5.00
About HAIN
The Hain Celestial Group, Inc. is a health and wellness company. The Company is focused on delivering nutrition and well-being. The Company's products across snacks, baby/kids, beverages, meal preparation, and personal care, are marketed and sold in over 70 countries around the world. Its segments include North America and International. The North America segment includes United States and Canada. The International segment includes United Kingdom and Western Europe. Its brands include Garden Veggie Snacks, Terra chips, Garden of Eatin' snacks, Hartley’s Jelly, Earth's Best and Ella's Kitchen baby and kids foods, Celestial Seasonings teas, Joya and Natumi plant-based beverages, Cully & Sully, Yorkshire Provender, New Covent Garden and Imagine soups, Yves and Linda McCartney's (under license) meat-free, and Avalon Organics personal care, among others. Its customer base consists of specialty and natural food distributors, supermarkets and natural food stores, mass-market, and club stores.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Hain Celestial Reports Sales Decline and Increased Losses
- Sales Decline: Hain Celestial experienced a 7% organic sales decline, driven by a 9-point drop in volume and mix, partially offset by a 2-point increase in pricing, indicating weak market demand that could hinder future revenue growth.
- Increased Net Loss: The company reported a net loss of $116 million, or $1.28 per diluted share, compared to a loss of $104 million, or $1.15 per share last year, reflecting operational pressures and market challenges.
- Business Restructuring: Hain Celestial divested its North American snack business during the quarter as part of its strategy to simplify its portfolio, strengthen its balance sheet, and improve margins and cash flow, which is expected to provide greater financial flexibility.
- Cash Flow Improvement: Although adjusted EBITDA decreased from $38 million to $24 million, operating cash flow increased from $31 million to $37 million, and free cash flow rose from $25 million to $30 million, demonstrating positive progress in cash management.
See More
Hain Celestial (HAIN) Q2 2026 Earnings Transcript
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Hain Celestial Reports 7% Sales Decline in Q2
- Poor Financial Performance: Hain Celestial experienced a 7% decline in sales, reporting total revenue of $384 million, which, while better than Wall Street expectations, indicates that the company's turnaround efforts have not met investor expectations.
- Eroding Profitability: The company reported an unadjusted loss of $1.28 per share, worsening from a loss of $1.15 per share a year ago, while adjusted loss of $0.03 per share failed to meet breakeven expectations, highlighting ongoing profitability challenges.
- Significant EBITDA Decline: Adjusted EBITDA fell 37% to $24 million, reflecting the cumulative impact of declining sales and profit erosion, compressing the adjusted gross profit margin by 340 basis points to 19.5%.
- Improved Cash Flow: Despite sales challenges, Hain Celestial's free cash flow improved to $30 million, with net cash provided by operating activities rising to $37 million from $31 million a year ago, indicating positive progress in cash management.
See More
Hain Celestial Reports $116 Million Net Loss in Q2
- Financial Decline: Hain Celestial reported a net loss of $116 million in Q2, up from a $104 million loss in the same period last year, indicating ongoing pressure on the company's profitability.
- Widening Loss Per Share: The loss per share increased to $1.28 compared to $1.15 a year ago, reflecting challenges in cost management and revenue growth.
- Adjusted Net Loss: The adjusted net loss was $3 million, contrasting with an adjusted net income of $8 million in the prior year, highlighting a significant decline in the company's core business profitability.
- Sales Drop: Net sales totaled $384 million, down 7% year-over-year, with organic net sales also decreasing by 7%, which may impact the company's future market competitiveness and investor confidence.
See More
Hain Celestial Q2 Earnings Report Analysis
- Earnings Highlights: Hain Celestial reported a Q2 non-GAAP EPS of -$0.03, with revenue of $384 million reflecting a 6.7% year-over-year decline, yet surpassing expectations by $0.77 million, indicating resilience amid challenges.
- Adjusted EBITDA Decline: The adjusted EBITDA stood at $24 million, down from $38 million in the prior year, highlighting challenges in cost control and profitability that may affect investor confidence moving forward.
- Cash Flow Performance: The net cash provided by operating activities was $37 million in Q2, an increase from $31 million in the prior year, indicating improved cash flow management that supports future operations and investments.
- Stable Debt Position: Total debt remained stable at $705 million at the end of Q2, unchanged from the beginning of the fiscal year, while net debt decreased to $637 million from $650 million, reflecting a robust debt management strategy.
See More
Key Earnings Reports and Economic Outlook This Week
- DuPont Earnings Expectations: DuPont is expected to report earnings of $0.43 per share and revenue of $1.69 billion for Q4 2025, with analysts noting ongoing pressure in short-cycle businesses, while slight improvements in the automotive sector may influence investor sentiment.
- Cisco's AI Focus: Cisco anticipates earnings of $1.02 per share and revenue of $15.1 billion for Q2 FY2026, with CEO highlighting a major multi-year campus networking refresh, making AI infrastructure demand a critical growth driver.
- Importance of Employment Report: The January employment report is expected to show an addition of 80,000 nonfarm payrolls and an unchanged unemployment rate of 4.4%, directly impacting private consumption and U.S. GDP, making it crucial for investors to monitor.
- Consumer Price Index Insights: The January CPI is projected to increase by 2.5% year-over-year, with core CPI rising by 2.6%, providing essential inflation details despite not being the Fed's preferred measure, particularly regarding persistent shelter cost inflation.
See More
Hain Celestial Reports Sales Decline and Increased Losses
- Sales Decline: Hain Celestial experienced a 7% organic sales decline, driven by a 9-point drop in volume and mix, partially offset by a 2-point increase in pricing, indicating weak market demand that could hinder future revenue growth.
- Increased Net Loss: The company reported a net loss of $116 million, or $1.28 per diluted share, compared to a loss of $104 million, or $1.15 per share last year, reflecting operational pressures and market challenges.
- Business Restructuring: Hain Celestial divested its North American snack business during the quarter as part of its strategy to simplify its portfolio, strengthen its balance sheet, and improve margins and cash flow, which is expected to provide greater financial flexibility.
- Cash Flow Improvement: Although adjusted EBITDA decreased from $38 million to $24 million, operating cash flow increased from $31 million to $37 million, and free cash flow rose from $25 million to $30 million, demonstrating positive progress in cash management.
See More
Hain Celestial (HAIN) Q2 2026 Earnings Transcript
See More
Hain Celestial Reports 7% Sales Decline in Q2
- Poor Financial Performance: Hain Celestial experienced a 7% decline in sales, reporting total revenue of $384 million, which, while better than Wall Street expectations, indicates that the company's turnaround efforts have not met investor expectations.
- Eroding Profitability: The company reported an unadjusted loss of $1.28 per share, worsening from a loss of $1.15 per share a year ago, while adjusted loss of $0.03 per share failed to meet breakeven expectations, highlighting ongoing profitability challenges.
- Significant EBITDA Decline: Adjusted EBITDA fell 37% to $24 million, reflecting the cumulative impact of declining sales and profit erosion, compressing the adjusted gross profit margin by 340 basis points to 19.5%.
- Improved Cash Flow: Despite sales challenges, Hain Celestial's free cash flow improved to $30 million, with net cash provided by operating activities rising to $37 million from $31 million a year ago, indicating positive progress in cash management.
See More
Hain Celestial Reports $116 Million Net Loss in Q2
- Financial Decline: Hain Celestial reported a net loss of $116 million in Q2, up from a $104 million loss in the same period last year, indicating ongoing pressure on the company's profitability.
- Widening Loss Per Share: The loss per share increased to $1.28 compared to $1.15 a year ago, reflecting challenges in cost management and revenue growth.
- Adjusted Net Loss: The adjusted net loss was $3 million, contrasting with an adjusted net income of $8 million in the prior year, highlighting a significant decline in the company's core business profitability.
- Sales Drop: Net sales totaled $384 million, down 7% year-over-year, with organic net sales also decreasing by 7%, which may impact the company's future market competitiveness and investor confidence.
See More
Hain Celestial Q2 Earnings Report Analysis
- Earnings Highlights: Hain Celestial reported a Q2 non-GAAP EPS of -$0.03, with revenue of $384 million reflecting a 6.7% year-over-year decline, yet surpassing expectations by $0.77 million, indicating resilience amid challenges.
- Adjusted EBITDA Decline: The adjusted EBITDA stood at $24 million, down from $38 million in the prior year, highlighting challenges in cost control and profitability that may affect investor confidence moving forward.
- Cash Flow Performance: The net cash provided by operating activities was $37 million in Q2, an increase from $31 million in the prior year, indicating improved cash flow management that supports future operations and investments.
- Stable Debt Position: Total debt remained stable at $705 million at the end of Q2, unchanged from the beginning of the fiscal year, while net debt decreased to $637 million from $650 million, reflecting a robust debt management strategy.
See More
Key Earnings Reports and Economic Outlook This Week
- DuPont Earnings Expectations: DuPont is expected to report earnings of $0.43 per share and revenue of $1.69 billion for Q4 2025, with analysts noting ongoing pressure in short-cycle businesses, while slight improvements in the automotive sector may influence investor sentiment.
- Cisco's AI Focus: Cisco anticipates earnings of $1.02 per share and revenue of $15.1 billion for Q2 FY2026, with CEO highlighting a major multi-year campus networking refresh, making AI infrastructure demand a critical growth driver.
- Importance of Employment Report: The January employment report is expected to show an addition of 80,000 nonfarm payrolls and an unchanged unemployment rate of 4.4%, directly impacting private consumption and U.S. GDP, making it crucial for investors to monitor.
- Consumer Price Index Insights: The January CPI is projected to increase by 2.5% year-over-year, with core CPI rising by 2.6%, providing essential inflation details despite not being the Fed's preferred measure, particularly regarding persistent shelter cost inflation.
See More
