Adjusted EBITDA
$1.7 million, an increase of approximately $1.5 million compared to the third quarter of last year.
Gross Margin
42.1%, a year-over-year increase of 200 basis points compared to 40.1% in the third quarter of last year.
Net Sales
$82.1 million, down from $85.4 million during the prior year period.
Operating Expenses
$38.1 million, compared to $34.7 million in the prior year period, with a $3.4 million increase primarily driven by a $5.3 million decrease in net gains related to asset disposals.
Net Loss
$5 million, compared to a $700,000 net loss in the third quarter of last year, which included a $2.4 million net loss associated with the disposal of assets.
Cash Flow from Operating Activities
$1.3 million, an increase of $3.6 million compared to the same period last year.
Free Cash Flow
Negative $0.7 million for the quarter, a $5 million improvement over the third quarter of last year.
Wall Street analysts forecast FARM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FARM is 2.25 USD with a low forecast of 1.50 USD and a high forecast of 3.00 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.
2 Analyst Rating
Wall Street analysts forecast FARM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for FARM is 2.25 USD with a low forecast of 1.50 USD and a high forecast of 3.00 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.
1 Buy
1 Hold
0 Sell
Moderate Buy
Current: 1.520
Low
1.50
Averages
2.25
High
3.00
Current: 1.520
Low
1.50
Averages
2.25
High
3.00
Roth Capital
Buy
downgrade
$3
2025-11-28
Reason
Roth Capital
Price Target
$3
AI Analysis
2025-11-28
downgrade
Buy
Reason
Roth Capital lowered the firm's price target on Farmer Bros. to $3 from $3.50 and keeps a Buy rating on the shares. The company continues to streamline operations to maximize profitability and implement metrics to drive growth, but the headwinds from reduced restaurant traffic and higher coffee prices likely dent growth and margins in the near term, the analyst tells investors in a research note.
Roth Capital
Buy
downgrade
$3
2025-11-26
Reason
Roth Capital
Price Target
$3
2025-11-26
downgrade
Buy
Reason
Roth Capital lowered the firm's price target on Farmer Bros. to $3 from $3.50 and keeps a Buy rating on the shares following the fiscal Q1 report. The company is streamlining operations to maximize profitability but faces near-term headwinds from reduced restaurant traffic and higher coffee prices, the analyst tells investors in a research note. It sees these near term dynamics impacting Farmer Bros.' results in the near term.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for FARM
Unlock Now
Craig-Hallum
Buy
to
Hold
downgrade
$2.50
2025-09-12
Reason
Craig-Hallum
Price Target
$2.50
2025-09-12
downgrade
Buy
to
Hold
Reason
Craig-Hallum downgraded Farmer Bros. to Hold from Buy with a $2.50 price target.
Craig-Hallum
Buy
to
Hold
downgrade
2025-09-12
Reason
Craig-Hallum
Price Target
2025-09-12
downgrade
Buy
to
Hold
Reason
As previously reported, Craig-Hallum downgraded Farmer Bros. to Hold from Buy with a $2.50 price target following a strong Q4 profitability beat driven largely by pricing, which management noted is now maxed out, leading to topline and margin pressure expected in FY26. The firm commends management's heroic execution stabilizing the business over the past two years but sees the topline and margin pressure combining with the strategic review and recent run-up in shares from $1.40 to $2.30 to likely keep shares range-bound for the next couple quarters. Craig-Hallum will look for signs of large customer wins and/or improving coffee macro environment to get more constructive on the topline/margin outlook and remains a long-term believer in the management team and upside potential in Farmer's shares.
About FARM
Farmer Bros. Co. is a coffee roaster, wholesaler, equipment servicer and distributor of coffee, tea and culinary products. Its product lines include organic, Direct Trade and sustainably produced coffee, as well as tea, cappuccino mixes, spices and baking/biscuit mixes. It delivers beverage-planning services and culinary products to a variety of U.S.-based customers, ranging from small independent restaurants and foodservice operators to institutional buyers, such as restaurant, department and convenience store chains, hotels, casinos, healthcare facilities and gourmet coffee houses, as well as grocery chains with private brand coffee and consumer branded coffee and tea products and foodservice distributors. Its primary brands include Farmer Brothers, Boyd’s, Cain’s, China Mist and West Coast Coffee. It distributes its products from its Portland, Oregon production facility, as well as separate distribution centers in Northlake, Illinois; Moonachie, New Jersey, and Rialto, California.
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.
