Turning Point Brands, Inc. reported strong growth in Q4 2025, driven by its Modern Oral category, which saw net sales surge 266% to $41.3 million, now accounting for 34% of total company net sales compared with 12% in Q4 2024. Total consolidated net sales rose 29.2% to $121.0 million, with Stoker’s segment up 69.5% and Zig-Zag segment down 12.8%. Adjusted EBITDA increased 14% to $30.0 million, while net income climbed 239.8% to $8.2 million. For the full year, consolidated net sales rose 28.4% to $463.1 million, with net income up 46.1% to $58.2 million and adjusted EBITDA up 14.4% to $119.5 million. CEO Graham Purdy highlighted strong performance from FRE and ALP brands, emphasizing Modern Oral as a key driver for long-term category share growth while legacy brands continue to generate reliable cash flows.
The company said it is well-prepared for FY 2026, expecting Modern Oral gross revenue of $220–$240 million and net revenue of $180–$190 million, with Q1 2026 adjusted EBITDA projected at $24–$27 million, inclusive of marketing and trade investments. Stoker’s segment continues to lead sales at 67% of the total, driven by triple-digit Modern Oral growth, while Zig-Zag’s 33% contribution reflects declines due to the planned wind-down of Clipper products. TPB has strengthened operational systems, including digital tracking and FDA compliance support, and maintains liquidity of $290.1 million, comprising $222.8 million in cash and $68.1 million in asset-backed credit.
