HANOVER, PA. — Salty snacks maker Utz Brands Inc. has extended its reach in Florida through another deal with direct-store delivery (DSD) distributor National Food Corp.

Under the agreement, announced Aug. 12, Utz has acquired distribution rights for 65 DSD routes in South Florida from National Food. Financial terms of the transaction weren’t disclosed. The new routes cover Miami, Fort Lauderdale, West Palm Beach, Naples and Fort Myers, Hanover, Pa.-based Utz said.

Back in March 2021, Utz had acquired the rights to 21 DSD routes in central Florida — including Orlando, Tampa and Sarasota — from Miami-based National Food. The addition of the new South Florida routes, Utz said, gives the company more than 200 independent operator-run routes in Florida, “from the panhandle to the southernmost part of the state.”

“We are very excited to announce this transaction, as we continue to execute the expansion strategy that we outlined during our December 2023 Investor Day,” said Howard Friedman, chief executive officer of Utz. “Strengthening our regional foothold and bolstering our customer relationships in Florida is a key focus, as the state represents an important expansion geography for Utz. We look forward to expanding our distribution and offering our portfolio of iconic snacking products to more consumers in this important geography.”

Utz’s brand roster includes Utz, On The Border, Zapp’s, Boulder Canyon, Bachman, Dirty, Golden Flake, Good Health, Snikiddy, Tortiyahs! and TGI Fridays Snacks, among others. On its website, National Food lists Utz, Zapp’s and Golden Flake as brands it distributes, along with other snack brands such as Mariquitas Classic, Rico’s and Gullón. Stores served by National Food in Florida include Publix, Walmart, Winn-Dixie, BJ’s Wholesale Club, Wawa and Fresco y Mas.

Utz called Florida “a key expansion geography,” with salty snack sales of $2.6 billion, the category’s third-largest market by state, based on Circana multi-outlet data for the 52 weeks ended June 30. The company said it has lifted its retail sales in Florida to $103 million since 2021, for a three-year compounded growth rate of 28%, while boosting its salty snacks market share from 2.7% to 3.9%.

“This transaction shows that there is still significant market share opportunity in Florida, which remains below the average core geographies share at 6.9% (based on Circana data),” Utz said of the new DSD deal with National Food. “We believe that Florida’s large consumer base, combined with strong recognition of the Utz portfolio brands, uniquely positions us to continue this growth trajectory. To support this expansion, Utz plans to increase its investment in the region and provide enhanced retailer support, with increased distribution facilities and sales management, higher service velocity and an expanded route system.”

Earlier this month, in a conference call on Utz’s second-quarter results, Friedman spotlighted the growth potential of expansion geographies, and the company cited expanded distribution as a key factor in its stronger growth outlook for the 2024 second half.

Friedman told analysts in the call, “Sales growth was most pronounced in our expansion geographies, with growth of 5% fueled by continued distribution gains, which easily exceeded category performance.”