Strauss Group posts record Q2 2026 profit despite EPS miss

Strauss Group Ltd. on Tuesday reported a record quarterly profit for the second quarter of 2026, driven by strong operational performance despite missing earnings per share (EPS) estimates.

The Israeli food and beverage company posted a net profit of 320 million shekels ($85 million), up 15% from the same period a year earlier, according to a regulatory filing. Revenue rose 8% year-over-year to 2.1 billion shekels, supported by growth in its Strauss Coffee and Sabra Hummus divisions.

However, adjusted EPS of 1.85 shekels fell short of the 2.10 shekels forecast by analysts polled by Refinitiv, reflecting higher-than-expected costs and investment spending. The company maintained its full-year guidance, reaffirming revenue growth of 7-9% and net profit growth of 10-12% for 2026.

Strauss Group’s CEO, Gadi Lesin, attributed the profit growth to "disciplined execution" and pricing power in key markets. The company also highlighted expansion in the U.S. and Europe as drivers of revenue growth, offsetting weaker performance in some emerging markets.

Analysts noted that while the EPS miss may raise short-term concerns, the underlying business momentum remains intact. Strauss Group’s shares were down 2.3% in Tel Aviv trading following the results, underperforming the broader TA-35 index.