Sunopta — Q1 2023 Earnings Presentation
31 slides from Sunopta's earnings presentation, May 10, 2023
Slide 1: SunOpta Inc. Investor Presentation
SunOpta Inc. Investor Presentation © SunOpta Inc. 2023 May 2023 1
Slide 2: Forward Looking Statements
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 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 project
Slide 3: SunOpta is a Global, Healthy Food & Beverage Company with a Strong Focus on Sustainability
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta is a Global, Healthy Food & Beverage Company with a Strong Focus on Sustainability We operate 2 Business Segments Plant-Based Foods & Beverages $918 Million TTM Q1 2023 Revenues Fruit-Based Foods & Beverages We are focuse
Slide 4: 5 Reasons to Invest in SunOpta
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 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 segment
Slide 5: Key Facts
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 Key Facts Founded in Canada as a sustainability company Now headquartered in Eden Prairie, MN 1,450 associates 10 plants throughout North America More than 40 acquisitions over the past 15 years Go-to-market principally in co-man
Slide 6: Timeline / History Chart
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 Timeline / History Chart 2003 1973 Name changed to SunOpta Inc. Company founded as Stake recognizing that the future of the 2016 Technologies Ltd (STKL) on 1999 Company was in natural and SunOpta became a patented technology Acqu
Slide 7: Timeline / History Chart
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 Timeline / History Chart 2017 2019 2021 Initiated the Value Joe Ennen appointed Company acquired Creation Plan to drive 2017 to 2018 CEO in April and Scott 2019 to 2020 WestSoy and Dream 2022 strategic focus on Company focused on
Slide 8: Five Strategic Imperatives that will Deliver Outstanding Financial Results
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 Five Strategic SunOpta hasthat Imperatives a Clear willSet of Strategic Deliver Priorities Outstanding Financial Results 8 © SunOpta Inc. 2023
Slide 9: SunOpta has a Solid Growth Plan to Continue Delivering Exceptional Shareholder Value
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta has a Solid Growth Plan to Continue Delivering Exceptional Shareholder Value Adjusted EBITDA Trend (1) Continuing operations Growth Plan • Invest in capacity and capabilities to grow the core plant-based beverage business
Slide 10: SunOpta is Well Positioned to Compete in Growing On-Trend Categories
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta is Well Positioned to Compete in Growing On-Trend Categories The Global Organic Food Market Category Revenue Growth Trends (2) is expected to have a CAGR of 15% over the next 5 years (1) SunOpta’s Organic Portfolio $ bill
Slide 11: We have seen Long-Term Sustained Growth in Plant-Based Milk
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 We have seen Long-Term Sustained Growth in Plant-Based Milk Total US Sales of Non-Dairy Milk at Current Prices Key insights(1) Plant-based milk is the growth engine of the milk category. Plant-based milk dollar sales grew 4% in 2
Slide 12: SunOpta Firmly Believes that Plant-Based is the Future of Food
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta Firmly Believes that Plant-Based is the Future of Food Plant-based milk household penetration1 Usage Occasions, How People Are Consuming Non- Dairy Milks2 80% 76% 70% 60% 54% 53% 50% 40% 30% 20% 43% 40% 25% 21% 20% 11% 10
Slide 13: SunOpta's Internal Capabilities Align Well with the Macro Forces Supporting Plant-Based Eating
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta’s Internal Capabilities Align Well with the Macro Forces Supporting Plant-Based Eating 70% of the total U.S. population is consuming plant-based foods, up from 66% one year ago. Plant-based milk remains the largest segmen
Slide 14: We Believe that SunOpta is Well Positioned to Win in Plant-Based
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 We Believe that SunOpta is Well Positioned to Win in Plant-Based Competitive Costs driven through operating expertise and focus on productivity along with a geographically diverse manufacturing footprint Highest Quality from inve
Slide 15: SunOpta has a Diverse & Impressive Base of Customers, Partners, and Brands
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 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 Portfolio 15
Slide 16: SunOpta's Branded Portfolio brings Innovation to the Market
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta’s Branded Portfolio brings Innovation to the Market 16 © SunOpta Inc. 2023
Slide 17: SunOpta is Driving Innovation in Plant-Based Foods & Beverages
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta is Driving Innovation in Plant-Based Foods & Beverages Product Categories Financial Trend $ millions • Plant-Based Beverages (soy, almond, oat, etc.) • Nutritional Beverages • Broths • Teas • Plant-Based Concentrated Base
Slide 18: SunOpta is Positioned to Win in Fruit-Based Foods & Beverages
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta is Positioned to Win in Fruit-Based Foods & Beverages Product Categories Financial Trend $ millions • IQF Fruit for Retail • Fruit Solutions for Foodservice • Better-for-you snacking (bars, twists, ropes, and bite-sized v
Slide 19: SunOpta is Focused on Delivering Sustained Profitable Growth
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 SunOpta is Focused on Delivering Sustained Profitable Growth Our Focus Areas for 2023 Plant-Based Foods & Beverages Fruit-Based Foods & Beverages • Continue the startup of new lines at greenfield facility in • Complete expansion
Slide 20: We made significant progress against our ESG commitments in 2022
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 We made significant progress against our ESG commitments in 2022 and have focused priorities for 2023 Operations Supply Chain Product / Packaging • Pursuing Zero Waste • Transparency • Product Integrity • Focus on Energy & Water
Slide 21: The execution of our strategy has transformed our profitability…
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 The execution SunOpta of on is Focused our strategySustained Delivering has transformed our profitability… Profitable Growth Our Focus Areas for 2023 Diversified Value-added, agribusiness high-growth focus Trended Adjusted EBITDA
Slide 22: …And positioned the business for sustained growth
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 …And positioned the business for sustained growth PORTFOLIO ROLE $2B GROWTH PROFILE NUTRITION BEVERAGES Strategic – defined, high Accelerated Growth growth pockets with strong ~1.5x overall company BETTER-FOR-YOU SNACKS ability t
Slide 23: We are prioritizing three growth platforms that present outsized growth potential
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 We are prioritizing three growth platforms that present outsized growth potential for SunOpta Scaling Accelerating Expanding in Plant Based Better-For-You Snacking Nutritional Beverages ✓ Large & growing TAM ✓ Large & growing TAM
Slide 24: Supported by best-in-class operating performance and execution
SunOpta Inc. Investor Presentation Fueling the Future of Food May 2023 Supported by best-in-class operating performance and execution Operational Scaled Aggressive Integrated Service Expertise Networks Investment Solutions Excellence Highest National, Added capacity & Tailored customer >99% LTM aver
Slide 25: Appendix
Appendix Key Financial Metrics Reconciliation of Non-GAAP Measures This presentation includes certain measures not derived in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”). Such measures should not be considered substitutes for any measures de
Slide 26: Income Statement
Key Financial Metrics Income Statement Continuing Operations ($ millions, except per share amounts) Q1 2023 Q1 2022 Revenues (1) $223.9 $240.2 Gross profit (2) 28.2 28.4 As % of Revenue 12.6% 11.8% Operating income (3) (4) 2.5 4.0 As % of Revenue 1.1% 1.7% Adjusted earnings (4) 6.0 0.9 Adjusted earn
Slide 27: Balance Sheet & Debt Capital
Key Financial Metrics Balance Sheet & Debt Capital As at ($ millions) April 1, 2023 $ 187.2 Working Capital (1) Total Assets 878.1 Asset-Based Credit Facilities 199.3 Five-year, $230 million asset-based revolving credit facility, subject to borrowing base capacity (the “Tranche A Subfacility”), a tw
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 26) The following table presents a reconciliation of adjusted earnings (loss) from loss from continuing operations, which we consider to be the most directly comparable U.S. GAAP financial measure. a) For the first
Slide 29: Reconciliation of U.S. GAAP Results to Operating Income/Loss and Adjusted EBITDA
Reconciliation of U.S. GAAP Results to Operating Income/Loss and Adjusted EBITDA (Slide 9 and 26) The following table presents a reconciliation of segment operating income and adjusted EBITDA from loss from continuing operations, which we consider to be the most directly comparable U.S. GAAP financi
Slide 30: Reconciliation of U.S. GAAP Results to Operating Income/Loss and Adjusted EBITDA
Reconciliation of U.S. GAAP Results to Operating Income/Loss and Adjusted EBITDA (Slide 9) The following table presents a reconciliation of segment operating income/loss and adjusted EBITDA from net earnings/loss, which we consider to be the most directly comparable U.S. GAAP financial measure. 2022
Slide 31: 7078 Shady Oak Road Eden Prairie, Minnesota 55344
7078 Shady Oak Road Eden Prairie, Minnesota 55344 www.sunopta.com © SunOpta Inc. 2023