Key Highlights

  • Revenue was USD 74.7 million against an estimate of USD 79.37 million and USD 125.4 million a year earlier.
  • Adjusted loss was USD 6.77 per diluted share against an estimate of USD 4.54, and GAAP loss USD 10.33.
  • Gross Margin was 33.5% against 38.7% a year ago, and adjusted EBITDA was a USD 3.3 million loss.
  • Revenue guidance narrows to USD 440 million to USD 460 million; free Cash Flow guidance at least USD 30 million.

Traeger, Inc. (NYSE:COOK) reported third quarter Revenue of USD 74.7 million, down 40.4% from USD 125.4 million a year earlier and against an estimate of USD 79.37 million. The company posted an adjusted loss of USD 6.77 per diluted share, compared with an estimate of a USD 4.54 loss, and a GAAP loss of USD 10.33 per share. Management narrowed two full year guidance ranges and left the midpoints unchanged.

Results Across the Business

Net loss was USD 28.5 million, against a net loss of USD 89.8 million in the third quarter of 2025, a period that included a non-cash Goodwill Impairment charge of USD 74.7 million. Adjusted EBITDA was a loss of USD 3.3 million compared with adjusted EBITDA of USD 13.8 million a year earlier. Per share amounts reflect the 1-for-50 Reverse Stock Split effective March 17, 2026.

Gross profit was USD 25.0 million, against USD 48.5 million, with gross margin at 33.5% against 38.7%. Management attributed the lower margin to trade spend timing, fixed Warehousing costs on lower revenue and pressure in the MEATER business, partly offset by an IEEPA Tariff refund benefit. Sales and Marketing expenses were USD 14.3 million against USD 20.0 million, and general and administrative expenses USD 19.9 million against USD 22.2 million, both tied to Project Gravity cost actions.

Grills, Consumables and Accessories

Grill revenue fell 48.1% to USD 39.7 million. The company pointed to comparisons with elevated retailer purchases in the third quarter of last year, along with product and channel actions under Project Gravity, which it said contributed to lower average selling prices and unit volumes.

Consumables revenue decreased 23.1% to USD 19.4 million, which management linked mainly to lower wood pellet sales from seasonal ordering timing and changes in retail channel dynamics. Accessories revenue decreased 34.1% to USD 15.5 million, driven primarily by lower sales of MEATER smart thermometers and Traeger branded accessories.

CEO Jeremy Andrus said third quarter revenue was at the low end of the pace described the prior quarter, with some activity shifting into the fourth quarter. He said the company believes consumer Demand is better than its reported revenue suggests, particularly at more accessible price points.

Cash, Inventory and Guidance

Cash and cash equivalents were USD 67.8 million at September 30, against USD 19.6 million at December 31, 2025. Inventory was USD 79.5 million against USD 98.8 million. Operating Cash Flow was USD 9.8 million and free cash flow was USD 8.4 million for the quarter. Notes payable, net of the current portion, were USD 400.4 million.

For fiscal 2026, total revenue is guided to USD 440 million to USD 460 million, against a prior range of USD 435 million to USD 465 million. Adjusted EBITDA is guided to USD 59 million to USD 65 million, against USD 57 million to USD 67 million before. Gross margin guidance of 40.0% to 41.0% was reiterated.

Key Figures Side by Side

Third quarter revenue of USD 74.7 million sits alongside an adjusted EBITDA loss of USD 3.3 million, free cash flow of USD 8.4 million and cash of USD 67.8 million. Andrus said the company aims to return to revenue and adjusted EBITDA growth in the fourth quarter, supported by channel expansion and the activity that moved out of the third quarter. He named a national Lowe's launch in spring 2027, together with the Westwood and Irontop offerings, as the next distribution step, and said he believes the company is positioned to return to profitable growth in 2027.