MGP Ingredients Inc
NASDAQ:MGPI
MGP Ingredients Inc
MGP Ingredients, Inc. engages in the manufacture and trade of food, beverage, specialty wheat protein and starch food ingredients. The company is headquartered in Atchison, Kansas and currently employs 672 full-time employees. The firm operates through three segments: Distillery Products, Branded Spirits and Ingredient Solutions. The Distillery Products segment consists of food grade alcohol and distillery co-products, such as distillers feed and fuel grade alcohol. The Distillery Products segment also includes warehouse services, including barrel put away, storage, retrieval, and blending services. The Branded Spirits segment consists of producing, importing, bottling and rectifying of distilled spirits. Its Ingredient Solutions segment consists of specialty starches and proteins and commodity starches and proteins. The company is also a producer of industrial alcohol for use in both food and non-food applications. Its distillery products are derived from corn and other grains, including rye, barley, wheat, barley malt, and milo, and its ingredient products are derived from wheat flour.
MGP Ingredients, Inc. engages in the manufacture and trade of food, beverage, specialty wheat protein and starch food ingredients. The company is headquartered in Atchison, Kansas and currently employs 672 full-time employees. The firm operates through three segments: Distillery Products, Branded Spirits and Ingredient Solutions. The Distillery Products segment consists of food grade alcohol and distillery co-products, such as distillers feed and fuel grade alcohol. The Distillery Products segment also includes warehouse services, including barrel put away, storage, retrieval, and blending services. The Branded Spirits segment consists of producing, importing, bottling and rectifying of distilled spirits. Its Ingredient Solutions segment consists of specialty starches and proteins and commodity starches and proteins. The company is also a producer of industrial alcohol for use in both food and non-food applications. Its distillery products are derived from corn and other grains, including rye, barley, wheat, barley malt, and milo, and its ingredient products are derived from wheat flour.
Sales Decline: Consolidated sales fell 19% year-over-year in Q3, largely due to expected declines in brown goods and mid- to value spirits brands.
Profitability: Adjusted EBITDA dropped 29% to $32 million and adjusted EPS fell 34% to $0.85, but both were above management's expectations due to favorable mix and cost discipline.
Guidance Raised: Full-year 2025 adjusted EBITDA and EPS guidance were both raised; sales guidance was tightened to $525–535 million.
Brand Momentum: Penelope Bourbon was highlighted as a standout performer, now among the top 30 premium plus American whiskey brands and the second fastest-growing in its segment.
Operational Challenges: Ingredient Solutions faced margin pressure from equipment outages and higher costs, with recovery expected to extend into early 2026.
Industry Headwinds: Customers continue to pause purchases to rebalance inventories, but MGP is seeing stronger demand for aged whiskey, especially from craft producers.
Cost Control: Capital expenditures and inventory putaway were reduced, and productivity initiatives helped lower SG&A expenses.
