Utz Brands, Inc. Forecasts Boulder Canyon Snack Brand to Reach $200 Million in Sales by 2025
Utz Brands, Inc. is setting its sights on the Boulder Canyon snack brand, anticipating it to become a $200 million brand by the end of 2025. This projection is based on the growing consumer demand for snacks made with avocado oil and free from seed oils.
Howard Friedman, the CEO of Utz Brands, shared at the recent Barclays Global Consumer Staples Conference that Boulder Canyon has been a significant contributor to the company’s sales growth. He mentioned that the brand has exceeded expectations, surpassing $100 million in sales last year and is on track to approach $200 million by the end of this year.
With a doubling of business over the past period, Boulder Canyon has been thriving in the natural and organic channels, as well as making headway into the conventional market. Friedman expressed optimism for the brand’s future growth potential, especially with the introduction of new products like tortilla chips and cheese balls, along with innovative flavors such as cheddar sour cream.
As Utz expands its distribution across the United States, now available in 30 markets, Friedman believes that Boulder Canyon’s success in various sales channels will continue to drive growth for the company. Retailers are showing confidence in Utz by providing more shelf space, indicating a strong partnership for future collaboration and expansion.
Capital Expenditure and Financial Outlook
William Kelley, the CFO and EVP of Utz, highlighted the company’s plans to enhance growth and free cash flow in the coming year. This includes a strategic approach to Capex spending, streamlining the supply chain, and consolidating manufacturing facilities, such as the upcoming closure of the Grand Rapids plant. By optimizing productivity and investing in brand development, Utz aims to maintain a steady growth trajectory.
During the recent second quarter, Utz reported a net income of $10.1 million, with net sales reaching $366.7 million. While net income saw a decrease from the previous year, the company remains focused on driving profitability and expanding its market presence.
Overall, Utz Brands is positioned for continued success with Boulder Canyon leading the way as a standout brand in the snack industry. With a strategic focus on innovation, distribution expansion, and operational efficiency, Utz is poised to achieve its ambitious sales targets and solidify its position as a key player in the market.