Slide 1: SunOpta Inc. Investor Presentation
SunOpta Inc. Investor Presentation 1 © SunOpta Inc. 2024 February 20241
Slide 2: Forward Looking Statements
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Forward Looking Statements This presentation may include forward-looking statements and therefore is subject to important risks and uncertainties. Actual results could differ materially from the conclusions, forecasts and pr
Slide 3: SunOpta is a Global, Healthy Food & Beverage Company
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 SunOpta is a Global, Healthy Food & Beverage Company with a Strong Focus on Sustainability Revenue Consists of Four Product Categories 3% 2% $630 Million 2023 Revenues Beverages and broths 15% Fruit snacks We are focused on
Slide 4: 5 Reasons to Invest in SunOpta
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 5 Reasons to Invest in SunOpta ① We are a plant-based company with a strong commitment to ESG ② We participate in the #1 global food trend, plant-based foods and beverages We have competitive advantages in our plant-based se
Slide 5: Key Facts
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Key Facts Founded in Canada as a sustainability company Now headquartered in Eden Prairie, MN 1,174 full-time employees 7 plants in the US and Canada More than 40 acquisitions over the past 15 years Go-to-market principally
Slide 6: Timeline / History
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Timeline / History 2003 1973 Name changed to SunOpta Inc. Company founded as Stake recognizing that the future of the 2016 1999 Company was in natural and 2003 - 2015 SunOpta became a 2017 Technologies Ltd (STKL) on Acquisit
Slide 7: Timeline / History
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Timeline / History 2019 2021 2023 Joe Ennen appointed Company acquired Company divested 2017 to 2018 CEO in April and Scott 2019 to 2020 WestSoy (later 2022 Frozen Fruit business, Company focused on Huckins appointed CFO Com
Slide 8: Five Strategic Imperatives
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Five Strategic SunOpta hasthat Imperatives a Clear willSet of Strategic Deliver Priorities Outstanding Financial Results 8 © SunOpta Inc. 2024
Slide 9: SunOpta has a Solid Growth Plan to Continue Delivering
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 SunOpta has a Solid Growth Plan to Continue Delivering Exceptional Shareholder Value Adjusted EBITDA Trend (1) Continuing operations • When comparing Q4 ’23 to Q4 ‘22, revenue and adjusted EBITDA increased 13.7% and 17.5% re
Slide 10: Recent history of portfolio transformation
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Recent history of portfolio transformation 2020 2022 2023 Divested Divested Divested Tradin Organics to Sunflower business Frozen Fruit business invest in plant-based given commodity as last remaining capacity expansion natu
Slide 11: We continue to evolve the portfolio to focus on value-add segments
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 We continue to evolve the portfolio to focus on value-add segments Past(1) Before Frozen Fruit Divestiture After Frozen Fruit Divestiture 30% 70% 100% 70% 30% (1) FY2019 Commodity Value-Add 11 © SunOpta Inc. 2024
Slide 12: SunOpta's Competitive Advantages
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 SunOpta’s business is powered by its competitively advantaged capabilities World class operational and technical expertise Complex manufacturing at scale SunOpta’s Disciplined capital allocation and Competitive project manag
Slide 13: High performing manufacturing footprint across the US and Canada
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 High performing manufacturing footprint across the US and Canada OMAK, WA (2) ST. DAVIDS, ON PLANT BASED ALEXANDRIA, MN ALLENTOWN, PA • 5 Facilities MODESTO, CA FRUIT SNACKS • 2 Facilities MIDLOTHIAN, TX 13 © SunOpta Inc. 20
Slide 14: Our core growth platforms serve a ~$15B TAM
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Our core growth platforms and supporting capabilities serve a ~$15B TAM (vs. $3B in 2019) and an extended TAM of $100B Core 3-year Total 3-year How we Participate TAM CAGR TAM CAGR Packaged Beverage Nutritional Beverages Co-
Slide 15: We are prioritizing three growth platforms
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 We are prioritizing three growth platforms that present outsized long-term growth potential for SunOpta Scaling Accelerating Expanding in Plant Based Better-For-You Snacking Nutritional Beverages ✓ Large & growing TAM ✓ Larg
Slide 16: Long-Term Sustained Growth in Plant-Based Milk
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 We have seen Long-Term Sustained Growth in Plant-Based Milk Total US Sales of Non-Dairy Milk at Current Prices Long-term CAGR of 9% Year Category $mm % Change 2014 $1,744 2015 $1,916 10% 2016 $2,021 5% 2017 $2,141 6% 2018 $2
Slide 17: The consumer fundamentals supporting plant-based milks are durable
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 The consumer fundamentals supporting plant-based milks are durable and enduring creating 40 years of category growth Very broadly penetrated category Plant-based milk household penetration1 Supported by multiple purchase dri
Slide 18: Our Better-For-You Snacking business caters to a specialized, high growth segment
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Our Better-For-You Snacking business caters to a specialized, high growth segment of the fruit snack market OMAK, WA PLATFORM OVERVIEW ST. DAVIDS, ON • Clean-label, organic layered fruit bars BI-COASTAL PLANT NETWORK • Mix i
Slide 19: Our new 330ml capability unlocks access to the RTD segment
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Our new 330ml capability unlocks access to the Ready to Drink (RTD) segment, a ~$5B (retail) market with a long runway for growth RETAIL RTD MARKET BY CHANNEL(1) CATEGORY GROWTH DRIVERS(2) $5B HOUSEHOLD PENETRATION (2022) 10
Slide 20: SunOpta has a Diverse & Impressive Base of Customers, Partners, and Brands
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 SunOpta has a Diverse & Impressive Base of Customers, Partners, and Brands Representative Retail and Foodservice Customer Base Representative Private Label Customers Representative Co-manufacturing Customers Branded Portfoli
Slide 21: SunOpta's Branded Portfolio brings Innovation to the Market
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 SunOpta’s Branded Portfolio brings Innovation to the Market 21 © SunOpta Inc. 2024
Slide 22: Supported by best-in-class operating performance and execution
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 Supported by best-in-class operating performance and execution Operational Scaled Aggressive Integrated Service Expertise Networks Investment Solutions Excellence Highest National, Added capacity & Tailored customer >99% LTM
Slide 23: We made significant progress against our ESG commitments
SunOpta Inc. Investor Presentation Fueling the Future of Food February 2024 We made significant progress against our ESG commitments in 2022 and are making real progress evidenced by upgrades from two of the most respected rating agencies Operations Supply Chain Product / Packaging • Pursuing Zero W
Slide 24: Appendix
Appendix Key Financial Metrics Reconciliation of Non-GAAP Measures This presentation includes certain measures not derived in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). Such measures should not be considered substitutes for any measures de
Slide 25: Income Statement
Key Financial Metrics Income Statement Continuing Operations ($ millions, except per share amounts) Q4 2023 YTD Q4 2022 YTD Revenues (1) $630.3 $591.4 Gross profit (2) $88.6 $99.7 As % of Revenue 14.1% 16.9% Operating income (3) $8.3 $17.9 As % of Revenue 1.3% 3.0% Adjusted gross margin(4) 17.6% 17.
Slide 26: Balance Sheet & Debt Capital
Key Financial Metrics Balance Sheet & Debt Capital As at ($ millions) December 30, 2023 $87.3 Working capital (1) Total assets $669.4 Credit facilities $210.6 On December 8, 2023, the Company entered into a new five-year Credit Agreement (the “New Credit Agreement”) providing for (i) a $180.0 millio
Slide 27: Reconciliation of U.S. GAAP Results to Adjusted Gross Margin
Reconciliation of U.S. GAAP Results to Adjusted Gross Margin (Slide 25) The Company uses a measure of adjusted gross margin to evaluate the underlying profitability of its revenue-generating activities within each reporting period. This non-GAAP measure excludes non-capitalizable start-up costs incl
Slide 28: Reconciliation of U.S. GAAP Results to Adjusted Earnings/Loss and Adjusted EPS
Reconciliation of U.S. GAAP Results to Adjusted Earnings/Loss and Adjusted EPS (Slide 25) The following table presents a reconciliation of adjusted earnings (loss) from loss from net earnings (loss), which we consider to be the most directly comparable U.S. GAAP financial measure. 28 © SunOpta Inc.
Slide 29: Reconciliation of U.S. GAAP Results to Adjusted EBITDA
Reconciliation of U.S. GAAP Results to Adjusted EBITDA (Slide 25) The following table presents a reconciliation of adjusted EBITDA from loss from net earnings (loss), which we consider to be the most directly comparable U.S. GAAP financial measure. 29 © SunOpta Inc. 2024 Refer to footnotes (a)-(m) o
Slide 30: Reconciliation of U.S. GAAP Results to Adjusted Earnings/Loss, Adjusted EPS and Adjusted EBITDA
Reconciliation of U.S. GAAP Results to Adjusted Earnings/Loss, Adjusted EPS and Adjusted EBITDA a) For 2023, reflects the pre-tax loss on the divestiture of Frozen Fruit, which is recorded in loss from discontinued operations. For 2022, reflects the pre-tax loss on the divestiture of Sunflower of $2
Slide 31: Adjusted EBITDA from Continuing Operations
Adjusted EBITDA from Continuing Operations (Slide 9) The following table presents quarterly adjusted EBITDA from continuing operations. Please refer to the most recent 10-K filing for additional details. 31 © SunOpta Inc. 2024
Slide 32: 7078 Shady Oak Road
7078 Shady Oak Road Eden Prairie, Minnesota 55344 www.sunopta.com 32 © SunOpta Inc. 2024