The Simply Good Foods Company · NASDAQ:SMPL
The Simply Good Foods — FY2022 Earnings Presentation
18 slides from The Simply Good Foods's earnings presentation, Oct 21, 2022
Slide 1: Fourth Quarter and Full Fiscal Year 2022 Earnings Conference Call & Webcast Presentation
Fourth Quarter and Full Fiscal Year 2022 Earnings Conference Call & Webcast Presentation October 21, 2022
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 ▪ Full Year and Q4 Overview President & Chief Executive Officer ▪ Business Update Todd Cunfer ▪ Financial Summary Chief Financial Officer Joe Scalzo ▪ Fiscal Year 2023 Outlook President & Ch
Slide 5: Simply Good Foods Company Full Year Fiscal 2022 Overview
Simply Good Foods Company Full Year Fiscal 2022 Overview ▪ Delivered solid full year fiscal 2022 results in a challenging operating environment - Net sales growth of 16.2%, slightly greater than expectations - Adjusted EBITDA increased about 13%, in line with estimates; marketing expense up nearly 9
Slide 6: Fourth Quarter Fiscal 2022 Overview
Fourth Quarter Fiscal 2022 Overview ▪ Simply Good Foods Q4 net sales increased +5.5%, slightly greater than our estimate - As expected, retail takeaway outpaced net sales growth - The retail inventory draw down during the quarter resulted in more typical retail inventory levels as we exited fiscal 2
Slide 7: Simply Good Foods and Nutritional Snacking Category Retail Performance
Simply Good Foods and Nutritional Snacking Category Retail Performance ▪ Full year fiscal 2022 Simply Good Foods IRI MULO + C-store retail takeaway increased 15.0% ▪ Atkins and Quest outpaced the sub-segments of weight management and active nutrition U.S. IRI MULO + C-store Retail Takeaway % Change
Slide 8: Atkins Overview
Atkins® Overview ▪ Brand relevance remains strong as total buyer growth in fiscal 2022 increased 11% 1 ▪ Atkins Q4 POS growth in combined measured and unmeasured channels increased 0.5% as strong e-commerce growth offset softness in measured channels - Atkins retail takeaway at Amazon increased 75%
Slide 9: Quest Overview
Quest® Overview 1 ▪ Quest Q4 IRI MULO + C-store retail takeaway increased 24.6% outpacing the nutritional snacking category and the active nutrition segment - Household penetration continues to build with growth platforms leading the way - Quest brand equity fundamentals strong, driven by significan
Slide 10: Summary
Summary ▪ Simply Good Foods is uniquely positioned as a U.S. leader in nutritional snacking - Atkins® and Quest® are consumer lifestyle brands that are well developed across multiple forms - A diversified product portfolio that satisfies snacking usage occasions at home, in the office, or on the go
Slide 11: Todd Cunfer, Chief Financial Officer
TODD CUNFER CHIEF FINANCIAL OFFICER 10
Slide 12: Net Sales Performance
Net Sales Performance Net Sales Growth by Geography 1 Fiscal 2022 vs. Year Ago Period 1Fiscal 2022 fourth quarter and year-to-date include the impact of the European business exit and licensing of 11 the Quest frozen pizza business, a combined 1.6 and 2.0 ppt headwind to total Company net sales grow
Slide 13: 4th Quarter Net Sales and Profit
4th Quarter Net Sales and Profit Fiscal Q4 2022 vs. Year Ago Period Net Sales1 Gross Profit Adjusted EBITDA (and % Margin)1 (and % Margin)1,2 +5.5% Year-Over-Year -2.5% Year-Over-Year +5.1% Year-Over-Year Percent Change Percent Change Percent Change $274.2 $259.9 $104.5 $101.8 40.2% 37.1% $51.0 $48.
Slide 14: Full Year Fiscal 2022 Net Sales and Profit
Full Year Fiscal 2022 Net Sales and Profit 2022 vs. Year Ago Period Net Sales1 Gross Profit Adjusted EBITDA (and % Margin)1 (and % Margin)1,2 16.2% Year-Over-Year 8.7% Year-Over-Year 12.9% Year-Over-Year Growth Growth Growth $1,168.7 $1,005.6 $445.6 38.1% $409.8 40.7% $234.0 20.0% $207.3 20.6% FY21
Slide 15: 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 16: Balance Sheet & Cash Flow
Balance Sheet & Cash Flow ▪ In fiscal 2022, term loan debt pay-down was $50 million; term loan debt balance at 1 August 27, 2022, $406.5 million (SOFR +325 bps) ▪ Fiscal fourth quarter and full year cash flow from operations of $43.3 and $110.6 million, respectively - Cash and cash equivalents balan
Slide 17: Fiscal 2023 Outlook and Commentary
Fiscal 2023 Outlook and Commentary ▪ In a challenging economic environment, in fiscal 2023 we are on track to deliver solid net sales and Adjusted EBITDA growth ▪ Pricing and costs savings initiatives in place to offset projected supply chain dollar cost inflation ▪ The significant marketing and org
Slide 18: Q&A
Q&A Simply ¥Good FOODS COMPANY”
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