Lamb Weston reported QQ1 2025 revenue of $1.654 billion, a 0.7% YoY decline and a modest QoQ increase, with a gross margin of 21.5% and adjusted EBITDA of $290 million (reported as $302.6 million EBITDA in the press release). The quarter benefited from volume and price mix that exceeded internal targets, but was pressured by higher manufacturing costs per pound, a larger-than-expected voluntary product withdrawal charge, and ongoing mix effects from channel shifts. Management signaled a clear plan to improve efficiency through a restructuring program, including closing the Connell, WA facility (reducing North American capacity by 5%+) and a 4% global headcount reduction. They expect total FY2025 savings of about $55 million (roughly two-thirds SG&A and one-third COGS) with annualized savings of roughly $85 million in FY2026, and capex guidance of approximately $750 million for FY2025 (down $100 million from prior plans). The company maintained a mid-term growth thesis anchored in International expansion, capacity modernization, and a path to normalized fry category growth as restaurant traffic stabilizes. The updated FY2025 net sales target remains $6.6-6.8 billion (constant currency), with EBITDA at the low end of $1.38-1.48 billion and adjusted EPS guidance of $4.15-4.35. The management team stresses that the anticipated benefits from the restructuring and new capacity, together with disciplined cost management, should support positive free cash flow even as near-term margin headwinds persist. Investors should monitor restaurant traffic trends, commodity input costs, ERP-related benefits, and the timing of volume normalization from new international customers hitting in Q3-Q4 2025.