Utz Brands Inc., known for an array of snack products including TGI Fridays snacks and Zapp's potato chips, is set to close its manufacturing facility in Grand Rapids by January 30, 2026, impacting the local workforce. Although the precise number of affected employees hasn't been disclosed, the company announced the decision earlier today. The closure of the Grand Rapids plant, which Utz Brands acquired through a $41 million deal in 2021, is part of an effort to "consolidate its manufacturing footprint," involving a shift of production to more efficient facilities aimed at enhancing automation capabilities and streamlining operations, as reported by WOOD TV.
According to a WZZM13 report, the company has stated that any products being produced at the Grand Rapids location will be transitioned to other Utz locations in the United States; meanwhile, the warehouse operations are scheduled to conclude later on May 26, 2026, and employees were notified through a WARN notice while being offered "transition assistance" to those impacted by the shutdown, indicating a commitment to aiding their workforce through the change.
Despite this consolidation strategy, Utz Brands reports a net sales increase of 2.9% to $366.7 million in its second quarter financial results ending June 29, 2025, as stated in a press release on the company's investor relations website. Yet while branded salty snack sales saw growth, net income fell sharply by 60.2% to $10.1 million with adjusted net income also seeing a decrease of 14.2% to $23.6 million, and Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) declined 2.0% to $48.7 million.
As per a report on the company's investor relations website, Utz CEO Howard Friedman conveyed confidence in the company's trajectory, stating, "We’re encouraged by our summer sales performance thus far, as we successfully capitalize on seasonal demand and snacking occasions," and outlined strategic investments aimed to further enhance the company's productivity, in a statement underlining both accomplishments and forward-looking initiatives to continue creating "long-term shareholder value," even as the Grand Rapids facility phases out of operation.
As Utz Brands works to improve its operations, the company is balancing efficiency with the impact on jobs. They plan to help affected employees find new positions or offer support if relocation isn’t possible. Despite the changes, Utz remains focused on growth and efficiency, continuing its long-standing role as a major player in the snack industry since its founding in 1921.
