Lifeway Foods (NASDAQ:LWAY) reported a strong conclusion to its 2025 fiscal year, fueled by consistent volume growth across its core probiotic dairy portfolio.
For the fourth quarter ended December 31, 2025, the Illinois-based company posted a net income of $2.5 million, or 16 cents per share.
This represents a significant turnaround from the marginal net loss reported in the same period last year, driven largely by a 250-basis-point expansion in gross margins.
Fourth-quarter revenue reached $55.4 million, an 18% increase year-over-year, as the company’s flagship kefir products continued to gain traction in both conventional and natural grocery channels.
For the full year 2025, Lifeway achieved record-breaking net sales of $212.5 million, a 13.7% increase compared to 2024.
The company’s bottom line saw even more dramatic improvement, with full-year profit rising 54% to $13.9 million, or 89 cents per share.
Management attributed the record performance to a combination of disciplined operational execution and strategic marketing investments that have successfully broadened the visibility of fermented foods.
This marks the company's sixth consecutive year of uninterrupted, volume-led annual sales growth.