Specialty food company The Marzetti Company (NASDAQ: MZTI) reported revenue ahead of Wall Streets expectations in Q3 CY2025, with sales up 5.8% year on year to $493.5 million. Its GAAP profit of $1.71 per share was 0.8% above analysts’ consensus estimates.
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The Marzetti Company (MZTI) Q3 CY2025 Highlights:
- Revenue: $493.5 million vs analyst estimates of $474.4 million (5.8% year-on-year growth, 4% beat)
- EPS (GAAP): $1.71 vs analyst estimates of $1.70 (0.8% beat)
- Operating Margin: 12%, in line with the same quarter last year
- Sales Volumes rose 3.2% year on year (1.9% in the same quarter last year)
- Market Capitalization: $4.36 billion
CEO David A. Ciesinski commented, “We were pleased to report record sales, gross profit and operating income for our fiscal first quarter. In the Retail segment, sales growth of 3.5% was led by our category-leading New York Bakery™ frozen garlic bread products, including notable contributions from the delicious gluten-free Texas Toast that we launched last fall. Volume gains for our successful licensing program also added to the increase in Retail segment sales driven by Chick-fil-A® sauces, Olive Garden® dressings, and Buffalo Wild Wings® sauces. In the Foodservice segment, reported net sales increased 8.2% with Adjusted Foodservice Net Sales growth of 3.5% led by higher demand from several of our core national chain restaurant accounts in addition to inflationary pricing.”
Company Overview
Known for its frozen garlic bread and Parkerhouse rolls, The Marzetti Company (NASDAQ: MZTI) sells bread, dressing, and dips to the retail and food service channels.
Revenue Growth
A company’s long-term sales performance is one signal of its overall quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years.
With $1.93 billion in revenue over the past 12 months, The Marzetti Company is a small consumer staples company, which sometimes brings disadvantages compared to larger competitors benefiting from economies of scale and negotiating leverage with retailers.
As you can see below, The Marzetti Company’s 4.2% annualized revenue growth over the last three years was sluggish, but to its credit, consumers bought more of its products.
This quarter, The Marzetti Company reported year-on-year revenue growth of 5.8%, and its $493.5 million of revenue exceeded Wall Street’s estimates by 4%.
Looking ahead, sell-side analysts expect revenue to remain flat over the next 12 months, a deceleration versus the last three years. This projection is underwhelming and suggests its products will face some demand challenges.
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Volume Growth
Revenue growth can be broken down into changes in price and volume (the number of units sold). While both are important, volume is the lifeblood of a successful staples business as there’s a ceiling to what consumers will pay for everyday goods; they can always trade down to non-branded products if the branded versions are too expensive.
The Marzetti Company’s average quarterly volume growth was a healthy 1.6% over the last two years. This is pleasing because it shows consumers are purchasing more of its products. 
In The Marzetti Company’s Q3 2026, sales volumes jumped 3.2% year on year. This result was an acceleration from its historical levels, certainly a positive signal.
Key Takeaways from The Marzetti Company’s Q3 Results
We enjoyed seeing The Marzetti Company beat analysts’ revenue and EPS expectations this quarter, although the latter beat only slightly. On the other hand, its gross margin slightly missed. Overall, we think this was still a solid quarter with some key areas of upside. The market seemed to be hoping for more, and the stock traded down 2% to $155.01 immediately following the results.
Is The Marzetti Company an attractive investment opportunity at the current price? When making that decision, it’s important to consider its valuation, business qualities, as well as what has happened in the latest quarter. We cover that in our actionable full research report which you can read here, it’s free for active Edge members.
