Utz Brands, Inc. (UTZ) stock surged 8.45% in pre-market trading on Thursday following the release of its third-quarter 2025 financial results, which exceeded analyst expectations. The salty snacks maker reported Q3 net sales of $377.8 million, beating the consensus estimate of $374.4 million, while adjusted earnings per share met expectations at $0.23.

The company's strong performance was driven by a 3.4% increase in total organic net sales, with Branded Salty Snacks organic net sales growing an impressive 5.8%. Utz Brands also announced plans to expand its presence in California, the largest salty snack market in the United States, through the acquisition of distribution assets. This strategic move is expected to accelerate the company's market penetration in the region.

Looking ahead, Utz Brands raised its 2025 Organic Net Sales growth guidance to approximately 3% and reaffirmed its outlook for Adjusted EBITDA and Adjusted Earnings Per Share growth of 7% to 10%. The company's CEO highlighted the success of their productivity initiatives, stating, "Our productivity initiatives are driving meaningful margin expansion that we're partially reinvesting to fuel long-term growth, while delivering on our goals." With the completion of its supply chain transformation, Utz is now focused on improving free cash flow generation and capitalizing on recent investments.