John B. Sanfilippo Eyes $300M Bar Growth as CEO Transition Nears

John B. Sanfilippo & Son, Inc. is planning to invest approximately $90 million in expanding its bar manufacturing capacity at its Elgin, Illinois facility. The company anticipates that the new high-speed bar lines will support about $300 million in incremental sales over the next three to four years, potentially reaching $500 million within four to five years.

The expansion aims to shift the company's focus from its primarily flat nut and trail-mix categories towards faster-growing private-label snack and protein bars. As part of this strategy, the company plans to allocate at least 30% of its portfolio to bars in the near term and roughly half of its products to bars within four to five years.

Jeffrey Sanfilippo, the current CEO, will transition out of his role on October 1 and become executive chairman, while his brother Jasper Sanfilippo, who has served as COO for 20 years, will take over as the new CEO. The company generated around $1.2 billion in annual net sales and currently derives about 95% of its portfolio from trail, nuts, and peanut butter products, with bars representing only about 5%.

The company aims to increase the bar mix to 30% in the near term and eventually reach an even split between bars and its legacy categories over the next four to five years.