Slide 1: Fourth Quarter and FY 2024 Financial & Business Results
Fourth Quarter and FY 2024 Financial & Business Results
Slide 2: Forward-looking statements and non-IFRS metrics
Forward-looking statements and non-IFRS metrics Forward-Looking Information: This presentation contains “forward-looking information” within the meaning of applicable securities law. These statements are based on current expectations, estimates, forecasts, and projections about the industries in whi
Slide 3: Maple Leaf Foods is an iconic, purpose-driven Canadian food company
Maple Leaf Foods is an iconic, purpose-driven Canadian food company, uniquely positioned to meet the growing global demand for sustainably produced protein ~$4.9B ~13,500 22 #1 and #2 Leading First Manufacturing Prepared Meats Carbon Neutral Annual Sales Employees RWA Producer Facilities Brands Majo
Slide 4: Driven by our purpose of Raising the Good in Food
Driven by our purpose of Raising the Good in Food, Maple Leaf Foods has demonstrated authentic leadership in sustainability and shared value creation Make Better Food Take Better Care Nurture a Better Planet • Established leadership in Sustainable Meats production, • Industry leader in workplace saf
Slide 5: The Maple Leaf Blueprint serves as our strategic compass
The Maple Leaf Blueprint serves as our strategic compass MAPLE LEAF FOODS — Q4 and FY 2024 BUSINESS AND FINANCIAL REVIEW | FEBRUARY 25, 2025 5
Slide 6: Fourth Quarter and FY 2024 Financial Results & Business Update
Fourth Quarter and FY 2024 Financial Results & Business Update
Slide 7: Today's key messages
Today’s key messages Our growth strategies are proving resilient with Q4 sales growth accelerating to 4.3% • Prepared Foods recorded 4.6% revenue growth year over year, fueled by Prepared Meats growth of 6.5% Adjusted EBITDA1 margin expanded to 12.5% in Q4 • Adjusted EBITDA margin has expanded by 24
Slide 8: Fourth quarter operational highlights
Fourth quarter operational highlights Prepared Foods Pork Complex ~25% of Annual Sales Prepared Meats ~50% Poultry ~20% Plant Protein ~5% of Annual Sales of Annual Sales of Annual Sales Delivered strong sales growth and Completion of London Poultry Profit improved sequentially driven Markets have im
Slide 9: Adjusted EBITDA margin reached 12.5% in Q4 and improved for the full year
Adjusted EBITDA margin1 reached 12.5% in Q4 and improved by $125M or 250 bps for the full year Sales Adjusted EBITDA1 ($ millions) ($ millions) +250 bps vs FY 23 +1.1% vs FY 23 +240 bps 11.3% vs Q4 23 +4.3% $4,895 vs Q4 23 $4,841 12.5% 8.8% +1.8% $1,237 vs Q3 23 $1,186 $553 $1,238 $1,260 10.1% $155
Slide 10: Pork markets have improved to more normal levels
Pork markets have improved to more normal levels1 Market conditions negatively impacted Q4 by approximately $7.3M or ~60 bps Vertically Integrated Margin Industry Vertically Integrated Margin USDA Pork Cutout – Industry Hog Production Cost remained stable in Q4 $140 $55 USDA Pork Cutout – Industry H
Slide 11: Successfully delivered on our 2024 priorities
Successfully delivered on our 2024 priorities Drive Adjusted EBITDA1 strategic margin expansion Margin expansion program taking hold; delivered 250 bps 1 toward 14% - 16% target improvement year over year, reaching 12.5% Adjusted EBITDA1 in Q4 2024 Harvest the remaining benefits from our large $1B+
Slide 12: 2024 was a year of significant financial progress
2024 was a year of significant financial progress Revenue Growth Strategies Improving Profitability of the business Lower Capital Expenditures proving resilient $629M $553M 500,000,000 $428M 11.3% $491M 450,000,000 Adj. +4.4% 8.8% 400,000,000 EBITDA1 350,000,000 $273M Adj. $312M 300,000,000 EBITDA1
Slide 13: 2025 Outlook
* 2025 Outlook
Slide 14: 2025 Outlook
Exited 2024 with momentum, laying groundwork for transformational year ahead 2025 Outlook • Mid-single-digit sales growth2, driven by execution of proven growth strategies • Significant year-over-year Adjusted EBITDA1 improvements, expected to meet or exceed $634 million2 • Investment-grade leverage
Slide 15: Mid-single-digit sales growth driven by execution of proven growth strategies
Mid-single-digit sales growth driven by execution of proven growth strategies Investing in portfolio of leading brands Accelerating the pace of Leveraging leadership in to build consumer demand impactful innovation Sustainable Meats Expanding geographic reach in Plugging unique capabilities into Exe
Slide 16: Multiple factors support confidence in significant Adjusted EBITDA improvements
Multiple factors support confidence in significant Adjusted EBITDA improvements Full year benefits from Excellence in Brand and Fuel for Growth Executing Pork Capital Projects Revenue Management Initiative Complex Playbook Projects achieved full business Capitalize on the growing Accelerating cost r
Slide 17: Turning focus to Investor Friendly Balance Sheet and Capital Allocation
Turning focus to Investor Friendly Balance Sheet and Capital Allocation 10th consecutive annual dividend increase per share Capital Allocation Priorities Annual ($ per share) • Maintaining leverage ratio within $0.96 investment-grade +11.6% $0.88 CAGR 2015-2025E $0.84 • Disciplined capital investmen
Slide 18: Canada Packers Spin-off on track to be completed in the back half of the year
Canada Packers Spin-off on track to be completed in the back half of the year … to Unlock Value as a Purpose-Driven Consumer Packaged Goods Key milestones Business via a Plan to Spin Off our World-Leading Pork Company ✓ Submit advance ruling request to CRA (complete) ✓ The two independent public com
Slide 19: Supplemental Financial Slides
Supplemental Financial Slides Q4 and FY 2024 MAPLE LEAF FOODS — Q4 and FY 2024 BUSINESS AND FINANCIAL REVIEW | FEBRUARY 25, 2025 19
Slide 20: Q4 and FY 2024 Results
Q4 and FY 2024 Results Q4 Results Q4 2024 Q4 2023 Change FY Results FY 2024 FY 2023 Change Sales $1,237.1 $1,186.0 4.3% Sales $4,895.0 $4,841.2 1.1% Gross profit $236.3 $135.5 74.4% Gross profit $780.0 $451.4 72.8% SG&A $101.9 $101.3 0.6% SG&A $437.1 $405.1 7.9% Adjusted operating earnings1 $88.7 $5
Slide 21: Balance Sheet
Balance Sheet Balance Sheet 31-Dec-24 31-Dec-23 Change Total Assets $4,431 $4,603 -$172 Long Term Debt $1,390 $1,550 -$160 Total Long Term Debt2 $1,692 $1,951 -$259 Net Debt1 $1,516 $1,748 -$231 Net Debt to Adjusted EBITDA1 2.7x 4.1x -1.4x Shareholders’ Equity $1,538 $1,515 +$23 All figures in CAD m
Slide 22: Pro Forma Estimates updated to include Fourth Quarter of 2024
Pro Forma Estimates updated to include Fourth Quarter of 2024 Maple Leaf Foods Consolidated Pro Forma Maple Leaf Foods Pro Forma Canada Packers Last Twelve Months ended Last Twelve Months ended Last Twelve Months ended 31-Dec-24 30-Sep-24 30-Jun-24 31-Mar-24 31-Dec-241 30-Sep-242 30-Jun-243 31-Mar-2
Slide 23: Reconciliation of non-IFRS metrics – Adjusted Operating Earnings, Adjusted EBITDA and Margin
Reconciliation of non-IFRS metrics – Adjusted Operating Earnings, Adjusted EBITDA and Adjusted EBITDA Margin Three months ended December 31, Twelve months ended December 31, ($ millions) (i) (Unaudited) 2024 2023 2024 2023 Earnings (loss) before income taxes $74.4 -$8.7 $140.9 -$142.6 Interest expen
Slide 24: Reconciliation of non-IFRS metrics – Adjusted Earnings per Share
Reconciliation of non-IFRS metrics – Adjusted Earnings per Share ($ per share) Three months ended December 31, Twelve months ended December 31, (Unaudited) 2024 2023 2024 2023 Basic earnings (loss) per share $0.43 -$0.08 $0.79 -$1.03 (i) Restructuring and other related costs $0.08 $0.00 $0.12 $0.18
Slide 25: Reconciliation of non-IFRS metrics – Net Debt
Reconciliation of non-IFRS metrics – Net Debt ($ thousands) As at December 31, (Unaudited) 2024 2023 Cash and cash equivalents $175,908 $203,363 Current portion of long-term debt -$301,478 -$400,735 Long-term debt -$1,390,479 -$1,550,080 Total debt -$1,691,957 -$1,950,815 Net Debt -$1,516,049 -$1,74
Slide 26: Reconciliation of non-IFRS metrics – Free Cash Flow
Reconciliation of non-IFRS metrics – Free Cash Flow ($ thousands) Three months ended December 31, Twelve months ended December 31, (Unaudited) 2024 2023 2024 2023 Cash provided by operating activities $155,904 $83,012 $464,920 $176,883 (i) Maintenance Capital -25,862 -19,235 -78,571 -86,602 Interest
Slide 27: Management's estimates on the Pork business spin-off and related Non-IFRS measures
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Last twelve months ended December 31, 2024 (in millions of CAD) Consolidated Maple Canada Packers Maple Leaf Foods(1) Eliminations (unaudited) Leaf Foods Inc. Sales $1,658(2) $3,621(3) ($384)(4) $4,895(5) Adjusted EBI
Slide 28: Management's estimates on the Pork business spin-off – Notes Continued
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Notes Continued: 5 The results are for the year ended December 31, 2024. 6 Represents management’s preliminary estimate of the portion of consolidated Adjusted EBITDA attributable to Canada Packers for the period pres
Slide 29: Management's estimates on the Pork business spin-off – LTM September 30, 2024
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Last twelve months ended September 30, 2024 (in millions of CAD) Consolidated Maple Canada Packers Maple Leaf Foods(1) Eliminations (unaudited) Leaf Foods Inc. Sales $1,652(2) $3,581(3) ($366)(4) $4,867(5) Adjusted EB
Slide 30: Management's estimates on the Pork business spin-off – Notes Continued
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Notes Continued: 5 Calculated by adding the previously reported results for the quarter ended December 31, 2023, to results for the nine months ended September 30, 2024. These results are reported in the Company’s MD&
Slide 31: Management's estimates on the Pork business spin-off – LTM June 30, 2024
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Last twelve months ended June 30, 2024 (in millions of CAD) Consolidated Maple Canada Packers Maple Leaf Foods(1) Eliminations (unaudited) Leaf Foods Inc. Sales $1,661(2) $3,562(3) ($378)(4) $4,845(5) Adjusted EBITDA
Slide 32: Management's estimates on the Pork business spin-off – Notes Continued
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Notes Continued: 5 Calculated by adding the previously reported results for the year ended December 31, 2023, to results for the six months ended June 30, 2024, and subtracting results for the six months ended June 30
Slide 33: Management's estimates on the Pork business spin-off – LTM March 31, 2024
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Last twelve months ended March 31, 2024 (in millions of CAD) Consolidated Maple Canada Packers Maple Leaf Foods(1) Eliminations (unaudited) Leaf Foods Inc. Sales $1,652(2) $3,553(3) ($355)(4) $4,850(5) Adjusted EBITDA
Slide 34: Management's estimates on the Pork business spin-off – Notes Continued
Management’s estimates on the Pork business spin-off and related Non-IFRS measures Notes Continued: 4 Primarily represents management’s preliminary estimate of sales from Canada Packers to Maple Leaf Foods for the period presented. 5 Calculated by adding the previously reported results for the year