JBSS reported fiscal Q1 2025 net sales of $276.2 million, up 18% year over year, with approximately $40.5 million of that reflecting contribution from the Lakeville acquisition. Excluding Lakeville, net sales rose 0.7% on a combination of modest volume growth and favorable mix. Sales volume across distribution channels climbed notably, with the consumer channel up 30.8% largely due to Lakeville’s volume. The period showcased continued category stabilization in nut and trail mix as management highlighted pricing actions intended to offset commodity cost pressures. However, gross margins contracted sharply to 16.9% from 24.4% a year earlier, driven by lower selling prices from competitive pricing pressures, higher commodity costs for peanuts and tree nuts, a one-time concession at the Lakeville site, and increased Lakeville-related manufacturing spend. Net income declined to $11.7 million ($1.00 per diluted share) from $17.6 million ($1.51) a year ago. Cash flow was mixed: operating cash flow was $8.93 million, capex was $11.90 million, and free cash flow was negative at $2.97 million. The balance sheet remains solid, with total assets of $519.4 million, total liabilities $208.6 million, and stockholders’ equity $310.8 million; liquidity is comfortable (current ratio 2.06). Management signaled ongoing investments to support growth (e.g., a 446,000 sq ft Huntley, IL facility) and a strategic emphasis on cost reductions, supply chain optimization, and AI-enabled process improvements. The company also emphasized value-channel dynamics, private label growth, and new product introductions to drive future momentum. Looking ahead, JBSS plans to optimize commodity costs, align selling prices with costs, expand snack and nutrition bar distribution, and pursue further operational efficiencies, though near-term margin recovery remains contingent on macro commodity trends and channel dynamics.