Slide 1: Q4 2025 Financial Results
Q4 2025 FINANCIAL RESULTS February 18, 2026
Slide 2: Forward-Looking Statements
F O R W A R D - LO O K I N G S TAT E M E N T S Certain statements in this presentation about KPT's and Kruger Products’ current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments constitute forward
Slide 3: Corporate Structure
C O R P O R AT E S T RU C T U R E 100% 1 87.9% 12.1% 1As of February 18, 2026 3
Slide 4: Our Vision and Our Mission
p UR VISION OUR MISSION O°":
Slide 5: Underlying Strategies
5 U N D E R LY I N G S T R AT E G I E S Drive Strong Revenue, Profit and Shareholder Value in a Sustainable Manner 1 2 3 4 5 Consumer As Our Expand Our End-to-End Supply Deliver Winning Team Compass Business Footprint Chain Excellence Sustainability & Culture 5
Slide 6: Q4 2025 Highlights
Q4 2025 HIGHLIGHTS Revenue Adjusted EBITDA1 Net Income $560.1M $84.2M $23.4M 3.8% 26.0% $37.1M over Q4 2024 over Q4 2024 over Q4 2024 $15.0M $5.5M over Q4 2024 over Q4 2024 +5.1% +2.2% Revenue Canada Revenue U.S. 1 Non-GAAP measure – see MD&A for the definition and reconciliation of the most compara
Slide 7: FY 2025 Highlights
FY 2025 HIGHLIGHTS Revenue Adjusted EBITDA1 Net Income $2,203.4M $318.2M $75.5M 7.5% 20.2% $51.7M over FY 2024 over FY 2024 over FY 2024 $76.8M $76.6M over FY 2024 over FY 2024 +6.9% +8.2% Revenue Canada Revenue U.S. 1 Non-GAAP measure – see MD&A for the definition and reconciliation of the most com
Slide 8: Pulp Input Prices
PULP INPUT PRICES Q4 2025 NBSK average prices1 in CAD decreased 6.6% while BEK average prices1 were up 3.3% sequentially. Q4 2025 NBSK average prices1 in CAD declined 7.3% and BEK average prices1 were down 5.3% year-over-year. Industry analysts expect pulp prices to trend upwards over the upcoming y
Slide 9: Operations
O P E R AT I O N S • Production rates for paper machines and converting operations remain positive, exceeding 2025 targets • Memphis update – Renewed asset strategy driving strong sequential performance across paper machine and converting lines – Multi-purpose, state-of-the-art converting line proje
Slide 10: Focused Brand Support
FOCUSED BRAND SUPPORT • Equity-building campaigns for Cashmere, SpongeTowels, Bonterra, and Scotties • Cashmere featured in a full-episode Project Runway Canada design challenge • Launched “Scott for Scotties” activation with Toronto Raptors star Scottie Barnes • Sixth year of Kruger Big Assist prog
Slide 11: Brand Leadership Position
BRAND LEADERSHIP POSITION BATHROOM TISSUE FACI AL TISSUE PAPER TOWEL NO. 1 NO. 1 NO. 2 32.3% 46.3% 25.3% * Data represents Nielsen Canadian dollar market share for 52-week period ended December 27, 2025. 11
Slide 12: AFH Segment - Kruger Products
A F H S E G M E N T – K RU G E R P RO • Revenue grew moderately year-over-year on higher volume, but decreased sequentially due to seasonality • Profitability increased year-over-year, but declined sequentially • In-sourcing of paper improved year-over-year profitability • Strong performance across
Slide 13: Quarterly Financial Summary
Q UA R T E R LY F I N A N C I A L S U M M A RY % Change (Million CAD$, unless otherwise noted) Q4 2025 Q3 2025 Q4 2024 Y/Y Q/Q Revenue 560.1 561.1 539.6 3.8% (0.2)% Cost of Sales 451.9 460.0 459.3 (1.6)% (1.8)% Gross Profit 108.2 101.1 80.3 34.7% 7.0% Gross Margin 19.3% 18.0% 14.9% Adjusted EBITDA1
Slide 14: Quarterly Segmented Results
Q UA R T E R LY S E G M E N T E D R E S U LT S % Change (Million CAD$, unless otherwise noted) Q4 2025 Q3 2025 Q4 2024 Y/Y Q/Q Segment Revenue Consumer 472.3 468.3 452.7 4.3% 0.9% AFH 87.8 92.8 86.9 1.0% (5.4)% Total Segment Revenue 560.1 561.1 539.6 3.8% (0.2)% Segment Adjusted EBITDA1 Consumer 78.
Slide 15: Q4 2025 Revenue Compared to Q4 2024
Q 4 2 0 2 5 R E V E N U E C O M PA R E D TO Q 4 2 0 2 4 $20.5M $560.1M in Q4 2025 compared to $539.6M in Q4 2024 Q4 2025 Revenue increase Increase primarily due to: • Higher sales volume across both segments 3.8% over Q4 2024 Geographic revenue segmentation $15.0M $5.5M over Q4 2024 over Q4 2024 +5.
Slide 16: Q4 2025 Adjusted EBITDA Compared to Q4 2024
Q 4 2 0 2 5 A D J U S T E D E B I T DA 1 C O M PA R E D TO Q 4 2 0 2 4 $17.4M $84.2M in Q4 2025 compared to $66.8M in Q4 2024 Q4 2025 Adjusted EBITDA1 increase Increase primarily due to: 26.0% • Higher sales volume over Q4 2024 • Favourable productivity at manufacturing sites • Lower pulp prices Adj
Slide 17: Q4 2025 Revenue Compared to Q3 2025
Q 4 2 0 2 5 R E V E N U E C O M PA R E D TO Q 3 2 0 2 5 ($1.0)M $560.1M in Q4 2025 compared to $561.1M in Q3 2025 Q4 2025 Revenue decrease Sequential decrease primarily due to: • Lower U.S. sales volume (0.2)% over Q3 2025 $5.0M ($6.0)M over Q3 2025 over Q3 2025 +1.7% (2.3)% Revenue Canada Revenue U
Slide 18: Q4 2025 Adjusted EBITDA Compared to Q3 2025
Q 4 2 0 2 5 A D J U S T E D E B I T DA 1 C O M PA R E D TO Q 3 2 0 2 5 ($1.5)M $84.2M in Q4 2025 compared to $85.7M in Q3 2025 Q4 2025 Adjusted EBITDA1 decrease Sequential decrease primarily due to: (1.8)% • Higher SG&A expenses over Q3 2025 • Elevated freight costs and warehousing expenses • Increa
Slide 19: Balance Sheet
BA L A N C E S H E E T (Million CAD$, unless otherwise noted) Q4 2025 Q3 2025 Q4 2024 Cash 196.1 149.1 119.5 Current Portion of Long-term Debt 98.6 97.9 54.2 Long-term Debt 1,074.1 1,083.5 1,180.5 Net Debt 976.6 1,032.3 1,115.2 LTM Adjusted EBITDA1 318.2 300.8 264.8 Net Debt/LTM Adjusted EBITDA1 3.1
Slide 20: Capital Expenditures
C A P I TA L E X P E N D I T U R E S $200 • Q4 2025 CAPEX totaled $33.4M, $180 including $1.3M related to the Sherbrooke $160 Expansion Project $140 $120 • Total 2025 CAPEX reached $78.0M Millions $100 $80 • Anticipating $100M-$120M in CAPEX for $60 2026, driven by strategic projects $40 $20 $0 2022
Slide 21: Sustainability Focus
KEY TARGETS TO ACHIEVE BY 2030 S U S TA I N A B I L I T Y F O C U S 21
Slide 22: Accelerating Growth
ACCELERATING GROWTH • Preparing for new TAD tissue plant in 2028 • Managing margins amid volatile economic environment • Investing in operations to increase efficiency and capacity • Driving long-term brand share • AFH has built a sustainable business model • Developing organizational capability to
Slide 23: Thank You