Mama’s Creations Reports Strong Q2 Growth and Strategic Advancements

Mama’s Creations, Inc. reported strong financial performance for the second quarter of fiscal 2027, showcasing significant growth and strategic advancements that solidify its position as a leading player in the fresh deli prepared foods market.

Revenue for the quarter surged by 55% to $54.6 million, driven by the launch of over a dozen new placements, including more than 60% that leveraged chicken bottoms. These placements were primarily cross-sells, bringing Mama’s Creations products into existing retailer networks like Publix, Winn-Dixie, Albertsons, and Shaw’s. The company also secured a significant placement with Costco, marking its first-ever multi-vendor mailer with the retailer in all eight regions nationally. This move, along with a growing presence at Albertsons, BJ’s, Sam’s Club, Ahold, Food Lion, Fresh Thyme, Sheetz, and Kroger, underscores Mama’s commitment to expanding its footprint.

Financially, net income for the quarter increased by 101% to $2.6 million, while adjusted EBITDA climbed 69% to $5.5 million. Gross margin improved to 24.0% of total revenues, up from 24.9% in the previous year, indicating a return to steady-state production and better cost management. Operating expenses fell as a percentage of revenue, demonstrating improved operational leverage.

Mama’s Creations has bolstered its financial position with a robust cash position of $138.6 million, a marked increase from $20.0 million as of January 31, 2026. This was achieved through a public stock offering in July 2026, which raised approximately $108.6 million, combined with strong operating cash flow. The company's balance sheet is now in a stronger position to pursue strategic M&A initiatives aimed at achieving $1 billion in revenue.

The company’s leadership, under the direction of Adam L. Michaels, Chairman and CEO, highlighted the strategic initiatives that drove these impressive results. Michaels stated, "The second quarter was another step-change for Mama’s. We’ve seen impressive growth, and the shape of it is even more telling. Every bottom-line metric grew faster than revenue year-over-year, with net income more than doubling and operating expenses shrinking as a percent of revenue. That’s exactly the sequence we told you to expect: invest into the launch, then harvest the leverage."

Michaels also noted the company’s progress in expanding its presence in key retail markets. “We won over a dozen new placements, more than 60% of them built using chicken ‘bottoms,’ and the majority were cross-sells. The key win was our entry into the Costco market, which we’ve grown from roughly $0.5 million four years ago to over $25 million last year. Next month, we officially launch in banner Kroger for the first time, beginning with four items in over 100 stores across the Louisville division.”

These developments have placed Mama’s Creations in a strong financial position, providing the company with the resources needed to pursue accretive M&A initiatives and continue its growth trajectory. Michaels concluded, "The combination of 55% revenue growth, expanding operating leverage, a $138.6 million cash position, and a robust balance sheet positions us well for the future."

Mama’s Creations, Inc. (Nasdaq: MAMA) operates as a leading marketer, manufacturer, and distributor of fresh deli prepared foods, with a broad product portfolio that includes high-quality, clean, and easy-to-prepare foods. The company aims to become a one-stop-shop deli solutions platform, leveraging vertical integration and a diverse family of brands to meet the evolving needs of modern consumers.

For a definition and reconciliation of adjusted EBITDA, please refer to the press release. The company also provides a definition and reconciliation of EBITDA to net income in the attached tables.

The press release includes forward-looking statements that are subject to various risks and uncertainties. Readers are encouraged to consider these risks when evaluating such statements.

Note: The conference call details are provided for your convenience. Please join at least five minutes before the start of the call to ensure timely participation. A playback of the call will be available through Tuesday, November 3, 2026.

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For a definition and reconciliation of adjusted EBITDA, please see the attached tables.

Use of Non-GAAP Financial Measures This press release includes the following non-GAAP measure, adjusted EBITDA, which is not a measure of financial performance under GAAP and should not be considered as an alternative to net income as a measure of financial performance. The company believes this non-GAAP measure, when considered together with the corresponding GAAP measures, provides useful information to investors and management regarding financial and business trends relating to the company’s results of operations. However,