By Katherine Hamilton
Hain Celestial shares rose after the company said its divestiture of its North American snacks business is allowing it to pay off debt and boost margins.
The stock climbed 11% to 73 cents a share on Monday. The stock is still down 31% this year.
The organic food maker said it reduced debt by $155 million in the fiscal third quarter, thanks in part to the completion of the divestiture.
Hain expects the divestiture to raise its gross margin to above 30% and boost its margin for earnings before interest, taxes, depreciation and amortization to the low double digits.
Hain also expects to drive further growth in gross and earnings margins through fiscal 2027.
Write to Katherine Hamilton at katherine.hamilton@wsj.com
(END) Dow Jones Newswires
May 11, 2026 13:16 ET (17:16 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.