Kp Tissue, Inc. · TSX:KPT
Kp Tissue — Shareholder Meeting (June 2025)
21 slides from Kp Tissue's shareholder meeting presentation, Jun 23, 2025
Slide 1: Annual Meeting of Shareholders
ANNUAL MEETING OF SHAREHOLDERS June 23, 2025
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: Agenda
AG E N DA • Opening Remarks and Introduction o For technical issues contact: tsxtvgminfo@tmx.com • Call Meeting to Order, Appoint Secretary and Scrutineer • Formal Business of Meeting • Notice of Meeting, Quorum • Presentation of the 2024 Financial Statements and Auditors’ Report • Election of Direc
Slide 4: Dino Bianco, Chief Executive Officer
DINO BIANC O CHIEF EXECUTIVE OFFICER 4
Slide 5: KP Tissue Inc. Vision and Mission
KP KP Tissue Inc. OUR VISION TO BE THE MOST TRUSTED AND BEST LOVED TISSUE COMPANY IN NORTH AMERICA. OUR MISSION MAKING EVERYDAY LIFE MORE COMFORTABLE.
Slide 6: 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 6
Slide 7: Corporate Highlights
C O R P O R AT E H I G H L I G H T S 2 0 2 4 • Reported record revenue of $2.05B and strong Adjusted EBITDA (1) of $264.8M • Constructed new manufacturing facility in Sherbrooke, including start-up of LDC paper machine and facial tissue converting line • Expanded Made in Canada positioning • Continu
Slide 8: Strong Historical Track Record
S T RO N G H I S TO R I C A L T R AC K R E C O R D Revenue Adjusted EBITDA(1) and Net Income (Loss) Adjusted EBITDA Margin(1) 13.0% 264.8 12.9% 2,050 238.6 42.0 250 .0 1,873 10.5% 12.7% 1,681 197.8 27.3 23.8 1,516 200 .0 1,465 153.4 150 .0 6.9% 2020 2021 2022 2023 2024 116.0 -5.3 (in C$ millions) 10
Slide 9: Revenue Breakdown
R E V E N U E B R E A K D OW N F O R 2 0 2 4 By Geography 55% 45% Canada U.S. 4.7% 15.7% Canada U.S. By Segment 10.1% 6.2% Consumer AFH 83% 17% Consumer AFH 9.4% Total Revenue 9
Slide 10: Q1 2025 Highlights
Q1 2025 HIGHLIGHTS Revenue Adjusted EBITDA(1) Net Income $546.1M $75.8M $15.4M 13.9% 12.9% $6.4M over Q1 2024 over Q1 2024 over Q1 2024 $20.4M $46.3M over Q1 2024 over Q1 2024 +7.6% +21.7% Revenue Canada Revenue U.S. (1) Non-GAAP measure – see MD&A for the definition and reconciliation of the most c
Slide 11: Market Leadership
MARKET LEADERSHIP Relatively stable share year-over-year Source: Data represents Nielsen Canadian dollar market share for 52-week period ended March 22, 2025. 11
Slide 12: Brand Support
BRAND SUPPORT • Continued focus on Made In Canada positioning across all trademark brands in Q1 2025 • Investments behind brand-specific campaigns for Bonterra, Scotties and SpongeTowels, both TV and digital to drive top- of-mind awareness • Launch of Bonterra “Driving Good Together” contest in part
Slide 13: AFH Segment
AFH SEGMENT • Volume increased year-over-year in Q1 2025 and decreased sequentially due to seasonality • Although orders remained strong, customer communication focused on potential tariff impact • Profitability decreased year-over-year due to external purchased products and paper • Successful start
Slide 14: Operations
O P E R AT I O N S • Production rates exceeded forecasts in Q1 2025 • North American demand remains strong • New LDC paper machine and facial converting assets surpassing start-up expectations • TAD paper machine and converting output remains strong year- over-year • Production increases expected fo
Slide 15: Trade Environment
T R A D E E N V I RO N M E N T • Impact of tariff announcements not significant in Q1 2025 • Impact on business amounted to approximately $3 million • Closely monitoring impact of potential tariffs • Developed contingency plans to mitigate any financial risk 15
Slide 16: Balance Sheet
BA L A N C E S H E E T (Million CAD$, unless otherwise noted) Q1 2025 Q4 2024 Q1 2024 Cash 141.8 119.5 117.1 Current Portion of Long-term Debt 61.0 54.2 41.1 Long-term Debt 1,186.7 1,180.5 1,105.0 Net Debt 1,105.9 1,115.2 1,029.0 LTM Adjusted EBITDA1 273.6 264.8 255.7 Net Debt/LTM Adjusted EBITDA1 4
Slide 17: Sustainability Focus
REIMAGINE OOSQO SUSTAINABILITY FOCUS TRANSFORMATIVE GROWTH SUSTAINABLE INNOVATION PILLAR: PRODUCTS EMPOWER OUR 2030 TARGETS + FIBRE & FORESTS + PACKAGING + PRODUCT INNOVATION To utilize To reduce \ GHG emissions by PILLAR: PLANET CONSCIOUS \ = 35% + CLIMATE CHANGE Rea nts ‘o * WATER certifies ores *
Slide 18: Awards 2024
AWARDS 2024 BEST MANAGED COMPANIES Canada's Best Managed Companies for 7 consecutive year, Platinum Member Advantage_ Ranked #1 Consumer Packaged Goods Supplier by Canadian retailers for 5 consecutive year &BE CANADA'S Ss 15 CITIZENS Corporate Knights’ Best 50 Corporate Citizens in Canada for 7 cons
Slide 19: Sustained Growth Across Network
SUSTAINED GROWTH ACROSS NETWORK • Expecting continued strong sales growth in 2025 • Monitoring trade environment, while leveraging Made in Canada positioning • Managing margins amid changing cost base • Investing in brands to drive long-term share • Sherbrooke LDC paper machine to significantly redu
Slide 20: KP Tissue Inc
@KP Scotties. ULTRA SOFT KP Tissue Inc Ultra Soft WWW.KPTISSUEINC.COM
Slide 21: Thank You
KP Tissue Inc THANK YOU WWW.KPTISSUEINC.COM