LW
Lamb Weston Holdings Inc.
Is LW Halal?
Potato-food manufacturing is generally permissible, but the latest debt/assets ratio materially fails.
What You Should Know
Lamb Weston's February 22, 2026 filing reports 54.00% interest-bearing debt/assets, 0.78% identifiable liquidity/assets and 10.93% receivables-plus-cash/assets. Interest income is not separately disclosed. The core potato-product business is generally permissible, while restaurant customer mix and downstream use remain qualitative.
⚠️ Concerns
- •Debt/assets is 54.00%, above the examined limits
- •Restaurant customers may serve non-halal meat or alcohol
- •Interest income is not separately disclosed
- •Net interest expense is 45.0 million for the quarter
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-02-22; calculated 2026-07-14.
3,992.7 / 7,393.5
57.5 / 7,393.5
808 / 7,393.5
- Financial
- Fails
- Overall
- Fails
Debt/assets is 54.00%, above the examined FTSE 33.333% limit; liquidity/assets is 0.78% and receivables plus cash/assets is 10.93%, while interest income remains unavailable.
- Financial
- Fails
- Overall
- Fails
Debt/assets is 54.00%, above the examined MSCI total-assets limit; liquidity/assets is 0.78% and receivables plus cash/assets is 10.93%. This is not an index-membership claim.
- Financial
- Fails
- Overall
- Fails
Debt/assets is 54.00%, above the examined Malaysia SAC 33% financial limit; identifiable liquidity/assets is 0.78%. This is a calculation against SAC ratios, not an official classification.
- Financial
- Not calculated
- Overall
- Not calculated
A properly licensed reproducible 24- or 36-month market-cap history is not stored; a spot estimate is not substituted.
Business-activity disclosure
Lamb Weston manufactures frozen potato products for restaurants and retailers. Potato processing is generally permissible, while restaurant customer mix and downstream non-halal food service require qualitative review.
Limitation: The filing does not quantify customer-level downstream use or gross interest income under a universal Sharia taxonomy.
Purification
Interest income is not separately disclosed in the current filing. ZakatInvest does not prescribe a fixed scholar-approved purification percentage.
Inputs, assumptions and primary sources
- Amounts are USD millions from Lamb Weston's February 22, 2026 Form 10-Q, the latest public periodic filing used here.
- Interest-bearing debt includes short-term borrowings, current long-term debt and financing obligations, and non-current long-term debt and financing obligations (3,992.7).
- Cash is 57.5 and no separate interest-bearing securities are reported.
- Receivables are 750.5 and quarterly net sales are 1,564.8.
- Interest income is not separately disclosed; the filing reports 45.0 of net interest expense. Restaurant customer and product-level revenue is not allocated to a universal prohibited-revenue numerator.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
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