Snack Food Producer Utz To Close Grand Rapids Facility In 2026

Utz’ snack range. Credit: JHVEPhoto / Shutterstock.com

US snacks institution Utz Brands is readying to adjacent its Grand Rapids works successful Michigan adjacent year.

According to nan snack producer, manufacturing operations will cease successful “early 2026”. The determination will trim nan number of its accommodation successful nan US from 8 to seven.

Utz CEO Howard Friedman announced nan mill closure successful nan company’s second-quarter net report. He said: “The determination is simply a reflection of our committedness to operational excellence and ongoing transformation.

“While these types of decisions are ne'er easy, they are basal steps to streamline our operations and fortify our proviso concatenation for nan long-term. We are profoundly grateful for nan contributions of our Grand Rapids squad and are committed to supporting them done this transition,” Friedman said.

In 2023, nan US-based salty snacks shaper revealed it was overhauling its manufacturing network to “support semipermanent measurement maturation and trim costs”.

In its reported net for nan 2nd 4th of 2025, nan institution saw nett income summation by 2.9% to $366.7m, compared to $356.2 cardinal successful nan anterior twelvemonth period.

Organic nett income accrued 2.9% year-over-year, driven by a favourable volume/mix publication of 3.9%. However, nan patient noted that this fig could beryllium 3.1%, excluding a 0.8 percent constituent use from prize packs of its snacks successful April.

This was partially offset by little nett value realization of 1%, which included a 0.8% effect from prize packs and different nett value impacts of 0.2%

Meanwhile, Utz’s adjusted EBITDA decreased 2.0% to $48.7 million, whilst adjusted nett income fell 14.2% to $23.6 million.

Organic income for branded salty snacks, representing 88% of full nett sales, accrued 5.4% led by Utz 4 superior labels, including nan Utz brand, On The Boarder, Zapp’s, and Boulder Canyon.

The patient said that this was offset by an 11.8% integrated income diminution successful non-branded and non-salty snacks, chiefly owed to “partner brands and dips and salsas.”

Friedman added: “We’re encouraged by our summertime income capacity frankincense far, arsenic we successfully capitalise connected seasonal request and snacking occasions.

“Our beardown capacity illustrates our expertise to present maturation independent of nan class successful a logical competitory environment.

“Looking up to nan remainder of 2025, we expect our beardown productivity costs savings will proceed to supply america pinch nan elasticity to put successful our brands, while expanding profit margins.

“With geographic description driving overmuch of our maturation strategy, we stay connected way to present coagulated results successful 2025 and proceed to create semipermanent shareholder value.”

Utz CFO Bill Kelley said: “We are raising our 2025 integrated nett income outlook to bespeak stronger gross trends done nan first half and our assurance successful nan maturation drivers ahead.

“We now expect integrated nett income maturation of 2.5% aliases better, driven by our advantaged portfolio of brands and description geographies.

“We are besides tightening our adjusted EBITDA scope to 7% to 10% growth, reflecting our assurance successful nan important productivity programs ramping successful nan 2nd half.”