Coffee Holding Company Reports Second Quarter Results.
Rhea-AI Summary
Coffee Holding (Nasdaq:JVA) reported results for the quarter ended April 30, 2026. Net sales were $22.1 million, down 5.1% year over year, mainly due to a ~25% drop in green coffee prices and increased promotions.
Gross profit was $3.5 million (15.8% margin) versus $3.7 million (16.0%). Operating expenses rose to $3.1 million. Net income declined to $262,489, or $0.05 per share, from $644,055, or $0.11 per share. Management expects to maintain profitability for 2026 and notes newly awarded business and potential margin benefits from lower input costs.
AI-generated analysis. Not financial advice.
Positive
- Quarter remained profitable with net income of $262,489, or $0.05 per share
- Gross margin held near prior year at 15.8% versus 16.0%
- Company reports recently awarded substantial new business at potentially higher margins
- Lower green coffee costs expected to support margins on Cafe Caribe brand
- Management expects ability to maintain profitability for the balance of 2026
Negative
- Net sales decreased 5.1% to $22,126,156 year over year
- Net income declined from $644,055 to $262,489 versus prior-year quarter
- Operating expenses increased by $303,015 to $3,144,572
- Selling and administrative expenses rose to $2,943,955 from $2,598,283
- Cost of sales ratio increased to 84.2% of net sales from 84.0%
News Market Reaction – JVA
On the day this news was published, JVA declined 21.33%, reflecting a significant negative market reaction. Argus tracked a trough of -4.8% from its starting point during tracking. Our momentum scanner triggered 10 alerts that day, indicating notable trading interest and price volatility. This price movement removed approximately $7M from the company's valuation, bringing the market cap to $24.09M at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Peers on Argus
JVA showed a modest 1.31% gain while peers were mixed: NCRA up 10.56%, NAII down 1.2%, STKH down 2.63%, BOF up 0.71%. Momentum scanner peers (NCRA, COOT, HCWC) also moved in both directions, suggesting stock-specific drivers rather than a broad packaged foods move.
Previous Earnings Reports
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Mar 16 | Q1 2026 earnings | Positive | +30.0% | Strong Q1 with 20% sales growth and EPS rising to $0.29. |
| Sep 12 | Q3 2025 earnings | Neutral | +1.7% | Sales up 27% but $1.19M net loss from falling coffee derivatives. |
Earnings headlines have typically led to positive reactions, with an average move of about 15.82% and both recent earnings events showing upside price responses.
Recent history shows Coffee Holding using earnings announcements as key catalysts. On Mar 16, 2026, fiscal Q1 results highlighted a 20% revenue increase to $25.566 million and EPS of $0.29, which drew a strong positive reaction. Earlier, Q3 2025 results on Sep 12, 2025 showed 27% net sales growth to $23.9M but a $1.19M net loss from derivative impacts, with only a modest gain. Against that backdrop, today’s Q2 2026 release shows revenue and EPS declining year over year amid coffee price volatility.
Historical Comparison
Past JVA earnings headlines drove average moves of 15.82%, often on revenue growth. Today’s Q2 2026 report contrasts with that pattern by showing lower sales and EPS amid coffee price declines.
Earnings updates track a shift from Q3 2025 revenue growth but derivative-driven losses, to strong, tariff-relief-driven Q1 2026 profitability, and now to Q2 2026 results pressured by rapidly falling green coffee prices and higher operating costs.
Regulatory & Risk Context
Market Pulse Summary
The stock dropped -21.3% in the session following this news. A negative reaction despite management’s optimism would fit a pattern where the market focuses on near-term pressure. Q2 2026 saw net sales fall to $22.1M, gross margin slip to 15.8%, and EPS drop to $0.05. While commentary highlighted new business at better margins and lower input costs, traders may have prioritized the immediate compression in profitability over potential future benefits, increasing the risk of overshooting on the downside.
Key Terms
hedging activity financial
AI-generated analysis. Not financial advice.
STATEN ISLAND, New York, June 12, 2026 (GLOBE NEWSWIRE) -- Coffee Holding Co., Inc. (Nasdaq: JVA) (the “Company,” “our” or “we”) announced its operating results for the fiscal quarter ended April 30, 2026.
Net Sales. Net sales totaled
Cost of Sales. Cost of sales for the three months ended April 30, 2026, was
Gross Profit. Gross profit for the three months ended April 30, 2026, was
Operating Expenses. Total operating expenses increased by
Net Income. The Company had net income of
“Our second quarter results were severely impacted by the steady and rapid decline in the green coffee market which began in the final week of January and continued unabated for the entire quarter. A
“We also promoted more than anticipated in addition to lowering costs to some of our large retail customers in order to maintain anticipated sales forecasts in some of these customers.
Fortunately, the national brands held their current list pricing in place which allowed us to do the same, somewhat mitigating the potential impairment to our anticipated profit margins. Also, the decrease in the green coffee market does have a silver lining as we were recently awarded some substantial new business which we now will be able to service at increased margins due to new lower input costs in addition to expected increased profit margins on our Cafe Caribe brand. We plan to continue to focus on reducing inventories over the next several months as we believe the historical high in the price of green coffee over the last two years is now in the rear-view mirror and, as result, we do not believe there is a need for carrying extra inventory coverage. Even with the adverse coffee commodity pricing we have experienced, we believe we are still well positioned to maintain profitability for the balance of 2026,” concluded Mr. Gordon.
About Coffee Holding
Founded in 1971, Coffee Holding Co., Inc. (NASDAQ: JVA) is a leading integrated wholesale coffee roaster and dealer in the United States and one of the few coffee companies that offers a broad array of coffee products across the entire spectrum of consumer tastes, preferences and price points. Coffee Holding’s product offerings consist of eight proprietary brands, each targeting a different segment of the consumer coffee market as well as roasting and blending coffees for major wholesalers and retailers throughout the United States who want to have products under their own names to compete with national brands. In addition to selling roasted coffee, Coffee Holding also imports green coffee beans from around the world, which it resells to smaller regional roasters and coffee shops around the United States and Canada.
Forward looking statements
Any statements that are not historical facts contained in this release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including the Company’s outlook on revenue and profitability growth. Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates, intentions, and future performance, and involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause our actual results, performance or achievements to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. We have based these forward-looking statements upon information available to management as of the date of this release and management’s expectations and projections about certain future events. It is possible that the assumptions made by management for purposes of such statements may not materialize. Such statements may involve risks and uncertainties, including but not limited to those relating to product demand, pricing, market acceptance, hedging activities, the effect of economic conditions (including tariffs), intellectual property rights, the outcome of competitive products, the results of financing efforts, the ability to complete transactions and other risks and uncertainties described in the “Risk Factors” section of documents filed by the Company from time to time with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statement for events or circumstances after the date on which such statement is made.
Company Contact
Coffee Holding Co., Inc.
Andrew Gordon
President & CEO
(718) 832-0800
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
| April 30, 2026 | October 31, 2025 | |||||||
| (Unaudited) | ||||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 2,322,774 | $ | 701,872 | ||||
| Accounts receivable, net of allowances of | 7,813,567 | 12,093,251 | ||||||
| Inventories | 19,544,732 | 20,446,481 | ||||||
| Due from broker | 1,977,598 | 1,424,036 | ||||||
| Prepaid expenses and other current assets | 383,708 | 594,360 | ||||||
| Prepaid and refundable income taxes | - | 180,916 | ||||||
| TOTAL CURRENT ASSETS | 32,042,379 | 35,440,916 | ||||||
| Building, machinery, and equipment, net | 3,351,641 | 3,463,072 | ||||||
| Customer list and relationships, net of accumulated amortization of | 112,750 | 123,750 | ||||||
| Trademarks and tradenames | 327,000 | 327,000 | ||||||
| Equity method investments | 889,652 | 39,651 | ||||||
| Right of use asset | 1,867,033 | 2,084,175 | ||||||
| Deferred income tax assets - net | 173,063 | 229,899 | ||||||
| Deposits and other assets | 330,800 | 339,909 | ||||||
| TOTAL ASSETS | $ | 39,094,318 | $ | 42,048,372 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable and accrued expenses | $ | 4,371,642 | $ | 5,641,836 | ||||
| Line of credit | 2,650,000 | 6,050,000 | ||||||
| Due to broker | 921,328 | 303,813 | ||||||
| Lease liabilities - current portion | 906,309 | 811,975 | ||||||
| TOTAL CURRENT LIABILITIES | 8,849,279 | 12,807,624 | ||||||
| Lease liabilities - long term | 1,221,037 | 1,530,096 | ||||||
| Deferred compensation payable | - | 129,646 | ||||||
| TOTAL LIABILITIES | 10,070,316 | 14,467,366 | ||||||
| Commitments and Contingencies (Note 10) | ||||||||
| STOCKHOLDERS’ EQUITY: | ||||||||
| Common stock, par value $.001 per share; 30,000,000 shares authorized, 6,633,930 shares issued for April 30, 2026 and October 31, 2025; 5,708,599 shares outstanding for April 30, 2026 and October 31, 2025 | 6,634 | 6,634 | ||||||
| Additional paid-in capital | 19,094,618 | 19,094,618 | ||||||
| Retained earnings | 14,556,310 | 13,113,314 | ||||||
| Less: common stock held in treasury, at cost; 925,331 shares at April 30, 2026 and October 31, 2025 | (4,633,560 | ) | (4,633,560 | ) | ||||
| TOTAL STOCKHOLDERS’ EQUITY | 29,024,002 | 27,581,006 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 39,094,318 | $ | 42,048,372 | ||||
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
| Six months ended April 30, | Three months ended April 30, | |||||||||||||||
| 2026 | 2025 | 2026 | 2025 | |||||||||||||
| NET SALES | $ | 47,691,996 | $ | 44,625,346 | $ | 22,126,156 | $ | 23,320,061 | ||||||||
| COST OF SALES | 38,079,991 | 36,009,105 | 18,639,088 | 19,589,889 | ||||||||||||
| GROSS PROFIT | 9,612,005 | 8,616,241 | 3,487,068 | 3,730,172 | ||||||||||||
| OPERATING EXPENSES: | ||||||||||||||||
| Selling and administrative | 6,483,162 | 5,682,024 | 2,943,955 | 2,598,283 | ||||||||||||
| Officers’ salaries | 409,606 | 454,571 | 200,617 | 243,274 | ||||||||||||
| TOTAL | 6,892,768 | 6,136,595 | 3,144,572 | 2,841,557 | ||||||||||||
| INCOME FROM OPERATIONS | 2,719,237 | 2,479,646 | 342,496 | 888,615 | ||||||||||||
| OTHER INCOME (EXPENSE): | ||||||||||||||||
| Interest income | 14 | 23 | 6 | 13 | ||||||||||||
| Interest expense | (105,364 | ) | (49,222 | ) | (39,625 | ) | (17,552 | ) | ||||||||
| Gain from equity method investment | - | - | - | 23 | ||||||||||||
| Other income | - | 29 | - | 29 | ||||||||||||
| TOTAL | (105,350 | ) | (49,170 | ) | (39,619 | ) | (17,487 | ) | ||||||||
| INCOME BEFORE INCOME TAX | 2,613,887 | 2,430,476 | 302,877 | 871,128 | ||||||||||||
| Income Tax Provision | 703,078 | 633,165 | 40,388 | 227,073 | ||||||||||||
| NET INCOME | $ | 1,910,809 | $ | 1,797,311 | $ | 262,489 | $ | 644,055 | ||||||||
| Basic and diluted income per share | $ | 0.33 | $ | 0.31 | $ | 0.05 | $ | 0.11 | ||||||||
| Weighted average common shares outstanding: | ||||||||||||||||
| Basic and diluted | 5,708,599 | 5,708,599 | 5,708,599 | 5,708,599 | ||||||||||||
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
THREE AND SIX MONTHS ENDED APRIL 30, 2026 AND 2025
(UNAUDITED)
| Common Stock | Treasury Stock | Additional Paid- | Retained | |||||||||||||||||||||||||
| Shares | Amount | Shares | Amount | in Capital | Earnings | Total | ||||||||||||||||||||||
| Balance, October 31, 2024 | 5,708,599 | $ | 6,634 | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 11,709,875 | $ | 26,177,567 | |||||||||||||||
| Net income | - | - | - | - | - | 1,153,256 | 1,153,256 | |||||||||||||||||||||
| Balance, January 31, 2025 | 5,708,599 | 6,634 | 925,331 | (4,633,560 | ) | 19,094,618 | 12,863,131 | 27,330,823 | ||||||||||||||||||||
| Net income | - | - | - | - | - | 644,055 | 644,055 | |||||||||||||||||||||
| Balance, April 30, 2025 | 5,708,599 | $ | 6,634 | $ | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 13,507,186 | $ | 27,974,878 | ||||||||||||||
| Balance, October 31, 2025 | 5,708,599 | $ | 6,634 | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 13,113,314 | $ | 27,581,006 | |||||||||||||||
| Dividend declared at | - | - | - | - | - | (467,813 | ) | (467,813 | ) | |||||||||||||||||||
| Net income | - | - | - | - | - | 1,648,320 | 1,648,320 | |||||||||||||||||||||
| Balance, January 31, 2026 | 5,708,599 | 6,634 | 925,331 | (4,633,560 | ) | 19,094,618 | 14,293,821 | 28,761,513 | ||||||||||||||||||||
| Net income | - | - | - | - | - | 262,489 | 262,489 | |||||||||||||||||||||
| Balance, April 30, 2026 | 5,708,599 | $ | 6,634 | $ | 925,331 | $ | (4,633,560 | ) | $ | 19,094,618 | $ | 14,556,310 | $ | 29,024,002 | ||||||||||||||
COFFEE HOLDING CO., INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
| Six months ended April 30, | ||||||||
| 2026 | 2025 | |||||||
| OPERATING ACTIVITIES: | ||||||||
| Net income | $ | 1,910,809 | $ | 1,797,311 | ||||
| Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||||||||
| Depreciation and amortization | 432,029 | 318,228 | ||||||
| Realized and unrealized gains, net | (161,048 | ) | (1,532,721 | ) | ||||
| Amortization of right-of-use asset | 336,500 | 385,372 | ||||||
| Bad debt expense | 50,000 | - | ||||||
| Deferred income taxes benefit | 56,836 | 225,540 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable | 4,229,684 | (247,470 | ) | |||||
| Inventories | 901,749 | (1,241,503 | ) | |||||
| Prepaid expenses and other current assets | 210,652 | (271,922 | ) | |||||
| Prepaid and refundable income taxes | 180,916 | 285,438 | ||||||
| Deposits and other assets | 9,109 | (392,387 | ) | |||||
| Accounts payable and accrued expense | (1,270,194 | ) | (531,642 | ) | ||||
| Change in lease liabilities | (334,083 | ) | (357,193 | ) | ||||
| Change in due/from broker | 225,000 | - | ||||||
| Deferred compensation payable | (129,646 | ) | 6,995 | |||||
| NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 6,648,313 | (1,555,954 | ) | |||||
| INVESTING ACTIVITIES: | ||||||||
| Acquisition of Second Empire | - | (800,000 | ) | |||||
| Purchase of investment | (850,000 | ) | - | |||||
| Cash paid for leasehold improvements | (280,834 | ) | (160,000 | ) | ||||
| Purchases of building, machinery and equipment | (28,764 | ) | (32,907 | ) | ||||
| NET CASH USED IN INVESTING ACTIVITIES | (1,159,598 | ) | (992,907 | ) | ||||
| FINANCING ACTIVITIES: | ||||||||
| Payment of dividend | (467,813 | ) | - | |||||
| Proceeds from bank line of credit | - | 4,500,000 | ||||||
| Principal payments under bank line of credit | (3,400,000 | ) | (1,500,000 | ) | ||||
| NET CASH (USED IN) PROVIDED BY FINANCING ACTIVITIES | (3,867,813 | ) | 3,000,000 | |||||
| NET CHANGE IN CASH AND CASH EQUIVALENTS | 1,620,902 | 451,139 | ||||||
| CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 701,872 | 1,381,023 | ||||||
| CASH AND CASH EQUIVALENTS, END OF YEAR | $ | 2,322,774 | $ | 1,832,162 | ||||
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW DATA: | ||||||||
| Cash paid for income taxes | $ | - | $ | 2,833 | ||||
| Interest paid | $ | 131,311 | $ | 23,444 | ||||
| SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | $ | $ | ||||||
| Initial recognition of operating lease right-of-use asset | $ | 119,358 | $ | 2,113,581 | ||||
| Initial recognition of operating lease liabilities | 119,358 | 2,113,581 | ||||||
