The Simply Good Foods Company · NASDAQ:SMPL
The Simply Good Foods — Q3 2022 Earnings Presentation
17 slides from The Simply Good Foods's earnings presentation, Jun 30, 2022
Slide 1: Third Quarter Fiscal Year 2022 Earnings Conference Call & Webcast Presentation
Third Quarter Fiscal Year 2022 Earnings Conference Call & Webcast Presentation June 30, 2022 0
Slide 2: Disclaimer
Disclaimer Forward Looking Statements Certain statements made herein are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by or include w
Slide 3: Joseph E. Scalzo, President and Chief Executive Officer
JOSEPH E. SCALZO PRESIDENT AND CHIEF EXECUTIVE OFFICER 2
Slide 4: Today's Speakers and Agenda
Today’s Speakers and Agenda Speakers Agenda \ Mark Pogharian ▪ Introduction VP, Investor Relations Joe Scalzo ▪ Overview and Q3 Highlights President & Chief Executive Officer ▪ Business Update Todd Cunfer ▪ Financial Summary Chief Financial Officer Joe Scalzo ▪ Fiscal Year 2022 Outlook President & C
Slide 5: Third Quarter Fiscal 2022 Overview
Third Quarter Fiscal 2022 Overview ▪ Solid third quarter net sales and earnings, slightly greater than our expectations due to better than anticipated retail takeaway growth and higher customer inventory levels ▪ Simply Good Foods Q3 net sales increased +11.5%, including the Europe exit and Quest fr
Slide 6: Simply Good Foods and Nutritional Snacking Category Retail Performance
Simply Good Foods and Nutritional Snacking Category Retail Performance ▪ Simply Good Foods IRI MULO + C-store retail takeaway outpaced the nutritional snacking category ▪ Atkins and Quest continue to gain share in the respective segments of weight management and active nutrition ▪ Simply Good Foods
Slide 7: Atkins Overview
Atkins® Overview 1 ▪ Atkins Q3 IRI MULO + C-store retail takeaway increased 3.4% ▪ Atkins Retail takeaway at Amazon increased 39% versus last year - Total unmeasured channel retail sales up 22% - Unmeasured channels about 12% of total brand retail sales 2 ▪ Atkins growth in combined measured and unm
Slide 8: Quest Overview
Quest® Overview 1 ▪ Quest Q3 IRI MULO + C-store retail takeaway increased 30.6%, outpacing the nutritional snacking category and the active nutrition segment - Growth driven by the increase of household penetration, strong consumption across all major forms and success of new products ▪ Bars Q3 IRI
Slide 9: Summary
Summary ▪ Third quarter results slightly better than expected ▪ Anticipate that 4Q22 retail takeaway will increase high-single digits on a percentage basis versus last year ▪ We entered 4Q22 with slightly higher customer inventory levels as we shipped ahead of consumption in the first 1 half of fisc
Slide 10: Todd Cunfer, Chief Financial Officer
TODD CUNFER CHIEF FINANCIAL OFFICER 9
Slide 11: Net Sales Performance
Net Sales Performance Net Sales Growth by Geography 1 Fiscal 2022 vs. Year Ago Period 1 1Fiscal 2022 third quarter and year-to-date include the impact of the European business exit and licensing of 10 the Quest frozen pizza business, a combined 2.9 and 2.1 ppt headwind to total Company net sales gro
Slide 12: 3rd Quarter Net Sales and Profit
3rd Quarter Net Sales and Profit Fiscal Q3 2022 vs. Year Ago Period Net Sales1 Gross Profit Adjusted EBITDA (and % Margin)1 (and % Margin)1,2 +11.5% Year-Over-Year -1.9% Year-Over-Year -6.2% Year-Over-Year Percent Change Percent Change Percent Change $316.5 $284.0 $121.0 $118.6 42.6% 37.5% $67.5 $63
Slide 13: Year-to-Date Net Sales and Profit
Year-to-Date Net Sales and Profit Fiscal YTD 2022 vs. Year Ago Period Net Sales1 Gross Profit Adjusted EBITDA (and % Margin)1 (and % Margin)1,2 19.9% Year-Over-Year 12.6% Year-Over-Year 15.3% Year-Over-Year Growth Growth Growth $894.5 $745.8 $343.7 38.4% $305.3 40.9% $183.1 20.5% $158.8 21.3% 3Q21 3
Slide 14: Adjusted Diluted Earnings Per Share
Adjusted Diluted Earnings Per Share Reconciliation of Adjusted Diluted EPS 1 2,3 2.3 1This line item reflects the aggregate tax effect of all non-tax adjustments reflected in the preceding line items of the table. The tax effect of each adjustment is computed (i) by dividing the gross amount of the
Slide 15: Balance Sheet & Cash Flow
Balance Sheet & Cash Flow ▪ Fiscal third quarter year-to-date cash flow from operations of $67.4 million - Cash flow from operations affected by the timing of working capital and tax payments - Cash balance at May 28, 2022 of $56.7 million 1 ▪ Term loan debt balance at May 28, 2022, $406.5 million (
Slide 16: Fiscal 2022 Outlook and Commentary
Fiscal 2022 Outlook and Commentary ▪ On track to deliver solid net sales and Adjusted EBITDA growth in fiscal 2022 1 ▪ Full Fiscal Year 2022 Outlook versus 2021: Previous 4/6/22 6/30/22 Net Sales +13% to +15% +14% to +15% - Includes Europe exit and pizza licensing, a combined ~2 ppt. headwind Gross
Slide 17: Q&A
Q&A Simply ¥Good FOODS COMPANY”
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