Westrock Coffee Company (NASDAQ:WEST) reported second-quarter results on Friday that came in below Wall Street expectations, with both earnings and revenue missing consensus forecasts. Despite the softer-than-expected figures, the company reaffirmed its full-year guidance and continued to deliver improving profitability.
Shares were little changed in pre-market trading, edging slightly lower after the announcement.
Earnings and Revenue Fall Short of Forecasts
Westrock Coffee posted an adjusted loss of $0.14 per share for the second quarter ended 30 June 2026, slightly wider than analysts’ expected loss of $0.12 per share.
Revenue increased 8.8% year over year to $305.7 million from $280.9 million, but fell short of the consensus estimate of $316.0 million.
Despite the revenue miss, adjusted EBITDA rose 38.9% to $21.3 million, compared with $15.3 million in the same period last year.
EBITDA Growth Continues
Chief Executive Officer and Co-founder Scott T. Ford highlighted the company’s improving profitability.
“The second quarter was another strong quarter for Westrock Coffee. It was the fifth consecutive quarter of year-over-year Consolidated Adjusted EBITDA growth, and we turned free cash flow positive ahead of our anticipated schedule,” he said.
The company also generated positive free cash flow earlier than previously expected, reflecting improving operational performance.
Beverage Solutions Drives Growth
The Beverage Solutions division remained the company’s strongest performer.
Segment revenue increased 16.8% year over year to $243.9 million, while adjusted EBITDA improved 12.7% to $22.2 million.
In contrast, the Sustainable Sourcing & Traceability segment reported weaker results, with revenue declining 14.2% to $61.8 million.
Adjusted EBITDA for the division fell to $2.0 million from $3.3 million in the prior-year quarter.
Full-Year Guidance Unchanged
Westrock Coffee reaffirmed its fiscal 2026 adjusted EBITDA guidance of between $90.0 million and $100.0 million.
The midpoint of the range, $95.0 million, remains management’s expectation for the full year despite the second-quarter earnings miss.
Capital expenditure declined sharply to $6.5 million during the quarter from $20.5 million a year earlier, reflecting what the company described as a structural reduction in capital intensity.