Tootsie Roll Industries stock expands Mexico business with Klass deal

Published on 10/04/2026 at 12:19 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Tootsie Roll Industries stock adds the Klass confectionery business in Mexico after the September 1, 2026 deal. Second-quarter revenue reached USD 154.22 million, while EPS fell to USD 0.18 from USD 0.23.

TR, US8905161076, Illustration mit AI erstellt.

Tootsie Roll Industries stock is anchored by a USD 2.9 billion market capitalization after the company completed a Mexico confectionery acquisition on September 1, 2026. The deal adds The Klass Company's confectionery business, including the Winis brand, to Tootsie Roll's Mexican operations.

Klass deal expands Mexico portfolio

According to The Globe and Mail on September 1, 2026, Tutsi, S.A. de C.V., a Tootsie Roll subsidiary, completed the acquisition in Mexico. The transaction is intended to complement the company's existing Tutsi Pop business and broaden its regional brand portfolio.

The transaction gives the company a concrete growth angle outside its established US confectionery base. Its financial effect will become easier to assess when the next quarterly report includes the acquired operation.

Q2 profit fell as costs rose

Tootsie Roll reported USD 154.219 million of revenue for the quarter ended June 30, 2026, compared with USD 155.088 million a year earlier. According to Stock Titan, net earnings attributable to the company fell to USD 13.347 million from USD 17.544 million, while EPS declined to USD 0.18 from USD 0.23.

The margin pressure was visible in adjusted operating income, which fell to USD 14.334 million from USD 22.991 million, while adjusted operating margin declined to 9.4 percent from 15.0 percent. The contrast matters: revenue was nearly stable, but higher cocoa and freight costs reduced earnings power.

Valuation remains a key checkpoint

According to Simply Wall St on October 2, 2026, Tootsie Roll traded at a P/E ratio of 29.7 times, versus a peer average of 20.9 times. That premium places greater importance on whether Mexico expansion and cost normalization can support future earnings.

Investing.com lists October 28, 2026, as the next earnings date, giving investors a defined checkpoint for the acquisition and margin trend.

TR stock stays below yearly high

Tootsie Roll Industries closed at USD 37.99 on the NYSE on October 2, 2026, up 0.40 percent for the session. The price stood USD 7.07 below the 52-week high of USD 45.06 and USD 4.56 above the 52-week low of USD 33.43.