MGP Ingredients (NASDAQ:MGPI) Releases Quarterly Earnings Results, Beats Expectations By $0.14 EPS

MGP Ingredients (NASDAQ:MGPI) issued its quarterly earnings results on Wednesday. The company reported $0.63 earnings per share for the quarter, beating analysts’ consensus estimates of $0.49 by $0.14, FiscalAI reports. The business had revenue of $138.32 million for the quarter, compared to the consensus estimate of $132.84 million. MGP Ingredients had a positive return on equity of 9.65% and a negative net margin of 2.56%.MGP Ingredients’s revenue for the quarter was down 23.5% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.57 earnings per share. MGP Ingredients updated its FY 2026 guidance to 1.500-1.800 EPS.

Here are the key takeaways from MGP Ingredients’ conference call:

• Management finished 2025 above guidance and delivered strong cash generation, with consolidated operating cash flow up 19% to $122 million despite lower earnings.
• The company expects 2026 to be another down year with net sales $480–500M, adjusted EBITDA $90–98M, and adjusted EPS $1.50–1.80, and a $111 million Penelope earnout in Q2 will push net leverage to about 3.75x and reduce 2026 operating cash flow by nearly $50M.
• Branded Spirits will be the primary growth engine — Penelope grew ~80% in Nielsen dollar sales, doubled distribution points, and management will modestly increase A&P to ~13.5% with a major shift into digital and a plan to rationalize ~20% of tail SKUs.
• Distilling Solutions remains under significant pressure (Q4 sales down ~47%, full‑year down ~45%) and 2026 guidance assumes brown‑goods sales down ~35% and gross profit down ~40%, though management expects this to be the trough and anticipates clearer visibility by mid‑year.
• Ingredient Solutions appears poised to recover after operational fixes — the key equipment was back online in November, extrusion protein sales hit a record in Q4, and the company expects strong double‑digit sales growth and mid‑to‑high‑teens gross margins in 2026, albeit with some near‑term waste‑disposal costs remaining.

MGP Ingredients Trading Down 21.2%

Shares of NASDAQ:MGPI opened at $20.34 on Thursday. The company has a current ratio of 2.78, a quick ratio of 0.69 and a debt-to-equity ratio of 0.31. The stock has a market capitalization of $433.04 million, a PE ratio of -30.36 and a beta of 0.42. MGP Ingredients has a 1 year low of $19.67 and a 1 year high of $35.49. The firm has a fifty day moving average price of $24.84 and a 200 day moving average price of $25.47.

MGP Ingredients Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 27th. Investors of record on Friday, March 13th will be issued a $0.12 dividend. The ex-dividend date is Friday, March 13th. This represents a $0.48 dividend on an annualized basis and a yield of 2.4%. MGP Ingredients’s dividend payout ratio is currently -71.64%.

MGP Ingredients News Roundup

Here are the key news stories impacting MGP Ingredients this week:

• Positive Sentiment: Q4 results topped estimates: GAAP EPS of $0.63 beat consensus ~$0.49 and revenue of $138.3M beat estimates, showing the quarter outperformed analyst models. MGP (MGPI) Q4 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Board declared a $0.12 quarterly dividend (payable Mar 27, record Mar 13), which supports income-focused shareholders and provides some cash-return stability. MGP Ingredients Declares $0.12 Quarterly Dividend
• Neutral Sentiment: Brand activity: Yellowstone released a new Recollection Bourbon SKU — positive for brand building but unlikely to materially change near-term revenue/guidance. Yellowstone Revives Its Back Bar Bottle with Recollection Bourbon
• Negative Sentiment: FY2026 guidance came in below consensus: management set EPS guidance of $1.50–$1.80 (consensus ~2.51) and revenue guidance of $480M–$500M (consensus ~$519.6M), signaling weaker expected growth and pressuring valuation. MGP Ingredients outlines $480M-$500M sales outlook for 2026 as strategic portfolio rationalization advances
• Negative Sentiment: Company highlighted meaningful revenue weakness: Q4 revenue was down ~23.5% YoY and net margin remained negative, reflecting demand/volume pressures and portfolio changes. MGP Ingredients quarterly earnings and slides
• Negative Sentiment: Market reaction: coverage and headlines emphasize that, despite the beat, management’s weaker guidance and ongoing portfolio rationalization prompted an immediate sell-off. MGP Ingredients beats estimates but guides below expectations

Analyst Ratings Changes

Several analysts recently commented on the stock. Wells Fargo & Company decreased their price target on shares of MGP Ingredients from $33.00 to $29.00 and set an “overweight” rating for the company in a report on Monday, January 5th. Zacks Research lowered shares of MGP Ingredients from a “hold” rating to a “strong sell” rating in a research note on Monday, January 12th. Wall Street Zen cut shares of MGP Ingredients from a “buy” rating to a “hold” rating in a report on Sunday. Weiss Ratings reiterated a “sell (d)” rating on shares of MGP Ingredients in a report on Thursday, January 22nd. Finally, TD Cowen lowered their target price on MGP Ingredients from $27.00 to $24.00 and set a “hold” rating on the stock in a research note on Thursday, January 8th. Four research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $33.60.

Insider Buying and Selling at MGP Ingredients

In other news, Director Karen Seaberg sold 81,616 shares of the company’s stock in a transaction dated Wednesday, December 10th. The stock was sold at an average price of $25.84, for a total transaction of $2,108,957.44. Following the completion of the sale, the director owned 35,285 shares in the company, valued at approximately $911,764.40. This represents a 69.82% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Insiders sold a total of 304,535 shares of company stock valued at $7,509,168 over the last ninety days. 34.40% of the stock is owned by insiders.

Institutional Investors Weigh In On MGP Ingredients

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Osaic Holdings Inc. boosted its position in MGP Ingredients by 130.3% during the second quarter. Osaic Holdings Inc. now owns 935 shares of the company’s stock worth $28,000 after purchasing an additional 529 shares during the period. Global Retirement Partners LLC acquired a new stake in shares of MGP Ingredients in the fourth quarter worth $32,000. Quadrant Capital Group LLC boosted its holdings in shares of MGP Ingredients by 237.0% during the 4th quarter. Quadrant Capital Group LLC now owns 1,830 shares of the company’s stock worth $44,000 after buying an additional 1,287 shares during the period. Tower Research Capital LLC TRC boosted its holdings in shares of MGP Ingredients by 278.9% during the 2nd quarter. Tower Research Capital LLC TRC now owns 1,883 shares of the company’s stock worth $56,000 after buying an additional 1,386 shares during the period. Finally, iSAM Funds UK Ltd bought a new position in MGP Ingredients in the 3rd quarter worth $96,000. 77.11% of the stock is currently owned by institutional investors and hedge funds.

MGP Ingredients Company Profile

MGP Ingredients, Inc (NASDAQ: MGPI) is a leading producer of distilled spirits and specialty ingredient solutions for the food, beverage and consumer products industries. Headquartered in Atchison, Kansas, the company operates two main facilities—its historic Atchison plant, founded in 1941 as Midwest Grain Products, and a modern distillery in Lawrenceburg, Indiana. MGP Ingredients supplies an array of distillation products under its beverage and ingredient segments, serving brand owners, private-label producers and co-packers worldwide.

The beverage segment features a broad portfolio of premium spirits, including bourbon and rye whiskies, vodka, gin and neutral spirits.