Cascades Inc. · TSX:CAS
Cascades — Investor Presentation (September 2025)
36 slides from Cascades's investor presentation, September 2025
Slide 1: Investor Presentation September 2025
1 Investor Presentation September 2025
Slide 2: Disclaimer
DISCLAIMER FORWARD-LOOKING STATEMENT Certain statements in this presentation, including statements regarding future results and performance, are forward-looking statements within the meaning of securities legislation based on current expectations. The accuracy of such statements is subject to a numb
Slide 3: We care. We innovate. We create value.
We care. We innovate. We create value. Mission Vision To improve the well-being of To be a key contributor to people, communities and the our customers’ success by planet by providing sustainable leading the way for sustainable and innovative solutions that packaging, hygiene and create value. recov
Slide 4: Our History
OUR HISTORY 1964 – 2010 2010 - 2024 2024 - FUTURE BUILD MODERNIZE OPTIMIZE • Founded in 1964 by the • Realigned business • Combined containerboard Lemaire brothers strategy to focus on & specialty products into • Went public in 1982 packaging & tissue united packaging • Modernized internal segment •
Slide 5: Our Leaders
OUR LEADERS Hugues Simon President and CEO 1 year Allan Hogg Jean-David Tardif Jérôme Porlier Maryse Fernet Vice-President and CFO Executive VP, Packaging Executive VP, Tissue Chief Human Resources Officer 35 years 28 years 13 years 38 years Jérôme Nadeau Hugo D’Amours Emmanuelle Migneault Riko Gaud
Slide 6: Our Company
OUR COMPANY DIVERSIFIED OPERATIONAL PLATFORM GEOGRAPHICALLY WELL POSITIONED ACROSS N.A. Kingsey Falls, QC PACKAGING • 6 Paper Mills 9 3 • 32 Converting Facilities1 • 4 distribution centers TISSUE PAPERS 9 4 • 5 Manufacturing/Converting facilities • 2 Manufacturing plants • 3 Converting facilities Pa
Slide 7: Our Company
OUR COMPANY SUSTAINABLE, INNOVATIVE AND VALUE-ADDED PACKAGING, TISSUE PAPER AND RECOVERY SOLUTIONS Employees Canada 77% U.S. 23% Sales to (in %) Canada 50% U.S. 50% Facilities Canada 71% U.S. 29% Sales from (in %) Canada 57% U.S. 43% PACKAGING PRODUCTS TISSUE PAPERS • Leading containerboard producer
Slide 8: Strategic Priority Areas: 2025 - 2026
STRATEGIC PRIORITY AREAS: 2025 - 2026 STRENGTHEN OUR CULTURE OF EXCELLENCE TO DRIVE $100 M OF ANNUAL 1 RUN-RATE BASELINE PROFITABILITY IMPROVEMENTS BY YEAR-END 2026 • Productivity led margin improvements to drive profitability levels • Optimize logistics and cost structure • Rigorous operational saf
Slide 9: Sustainability Action Plan 2021-2025
SUSTAINABILITY ACTION PLAN 2021-2025 Ambitious targets, a robust action plan, GHG reduction targets have been approved by the Science Based Targets initiative (SBTi). Climate Change 38.7% IN 2030 VS 2019 27.5% IN 2030 VS 2019 22% IN 2030 VS 2019 Respectful scopes 1 + 2, mills (kg of CO2 scopes 1 + 2
Slide 10: Sustainability Results
GOALS 2024 2024/2023 TREND SDG* SASB 2024 RESULTS ➔ -38,7% scope 1 and 2 for the mills (MT of CO2 eq./NSMT) by 2030 (vs. 2019) -23.0% -4.6% Improving 13 RT-CP-110a.1 Sustainability RT-CP-110a.2 Results ➔ -27,5% scope 1 and 2 for the converting plants and other facilities (MT of CO2 Data is currently
Slide 11: Awards and Distinctions
AWARDS AND DISTINCTIONS 2025 2025 2025 2024 th th 59 Canada’s 20 Silver Top 100 Parity on the Global 100 Most Sustainable Corporations Employers in the list of Canada’s best 50 corporate citizens We are very proud to retain the Silver Parity in the World ranking (Corporate Knights) (Corporate Knight
Slide 12: Financial Results
Financial Results 12
Slide 13: Summary of Financial Results
SUMMARY OF FINANCIAL RESULTS (in millions of CAN$, except per share amounts) Q2 Q1 Q2 LTM 2024 2025 2025 2024 Q2 2025 Sales 4,701 1,187 1,154 1,180 4,753 Operating Income (loss) 95 36 50 34 138 EBITDA (A)1 501 137 125 112 548 Margin (EBITDA (A)1/Sales) 10.7% 11.5% 10.8% 9.5% 11.5% Net earnings (loss
Slide 14: Recycled Fibre Costs – Index Prices
RECYCLED FIBRE COSTS – INDEX PRICES (US$/s.t.) Recycled fibres accounted for ± 90% of the total fibre used by our mills in 2024 Reinforces circular economy differentiation, and our commercial and competitive strategies as a provider of sustainable packaging and tissue papers solutions Our Recovery &
Slide 15: Virgin Fibre Costs – Index List Prices
VIRGIN FIBRE COSTS – INDEX LIST PRICES (US$/metric ton) Virgin pulp represented ± 10% of the fibre consumed by our mills in 2024 (±35% in Tissue) Operational flexibility to use recycled fibres, hardwood pulp, softwood pulp and Eucalyptus to align with customer requirements allows for strategic and o
Slide 16: Capital Investments
CAPITAL INVESTMENTS (in property, plant & equipment, in millions of CAN dollars, excluding new leases, disposal of assets and accounts payable variation) Strategic investments have transformed our operational platform. 532 36 41 312 330 26 289 27 50 32 81 227 213 35 455 169 39 22 148 ~ 150 24 85 104
Slide 17: Financial Performance
FINANCIAL PERFORMANCE Sales (M CAN$) Free Cash Flow2 4,701 4,753 8.5% 8.9% 4,638 4,466 7.2% 7.5% 4,105 5.1% 4.7% 3,956 413 358 348 340 204 210 2020 2021 2022 2023 2024 LMT Q2 2025 2020 2021 2022 2023 2024 LTM Q2 2025 Free Cash Flow (M CAN$) Free Cash Flow/Sales (%) EBITDA (A)1 (M CAN$) & Margin (% o
Slide 18: Financial Ratios & Debt Maturities
FINANCIAL RATIOS & DEBT MATURITIES Net Debt / Adjusted EBITDA (A)1,3 Interest Coverage Ratio2 5.2x 6.7x 4.2x 3.8x 3.5x 3.4x 4.9x 4.6x 4.5x 2.5x 4.0x 3.6x 2020 2021 2022 2023 2024 Q2 2025 2020 2021 2022 2023 2024 Q2 2025 Net Debt / Net Debt + Total Equity1 Long-Term Debt Maturities (as of June 30, 20
Slide 19: Business Segments
Business Segments 19
Slide 20: Packaging
PACKAGING Sales by Product Category1,2 Sales by Country1 Vertically integrated, Canadian leader in sustainable packaging solutions 16% Portfolio transformed since 2020: Corrugated 39% Canada Paper Rolls US • Closed 2 containerboard facilities (465 k s.t.) 28% 56% 61% Other • Opened Bear Island facil
Slide 21: Packaging: Q2 2025 Sequential Performance
PACKAGING: Q2 2025 SEQUENTIAL PERFORMANCE HIGHLIGHTS —% • Slightly higher shipments for corrugated products reflect seasonality, softer Q1 levels • N.A. Box Shipments : Cascades +0.5% vs. Industry2 +1.9% • Benefits from selling price increases in corrugated products offset by less favourable product
Slide 22: Packaging – Performance
PACKAGING – PERFORMANCE EBITDA (A)1 (M CAN$) & Margin (%) • Growth supported by targeted investments and 19.5% realignment of operational platform 17.7% 17.1% 16.7% 15.5% 13.6% • Expertise on site at strategic Bear Island facility to 493 481 477 bridge gap with production ramp up schedule – 463 446
Slide 23: Tissue Papers
TISSUE PAPERS Sales by Product Category1 Converting Capacity by Country2 Tissue paper rolls and converted finished products for the retail and industrial markets 2% Retail Canada Portfolio transformed since 2020: 37% Away-from- 49% 51% • 3 manufacturing facilities closed (202 k tons) 61% Home US Par
Slide 24: Tissue: Q2 2025 Sequential Performance
TISSUE: Q2 2025 SEQUENTIAL PERFORMANCE 8% HIGHLIGHTS • Higher volumes: shipments +10% in short tons • Higher operating costs due to planned maintenance • Slightly higher average selling price • Stable sequential average raw material costs 1 3% • Negative sales impact from less favourable exchange ra
Slide 25: Tissue – Performance
TISSUE – PERFORMANCE EBITDA (A)1 (M CAN$) & Margin (%) • Good demand levels for retail private label Tissue products; stable demand for Away-from-Home 11% 11% 12% 11% solutions due to uncertain economic environment 2% nmf 182 192 175 163 • Focused on efficiency, productivity, filing unused Away-from
Slide 26: Outlook
OUTLOOK EBITDA (A)1 TREND Q3 vs Q2 2025 VOLUME TREND (s.t.) Q3 vs Q2 2025 PRODUCT MARKET PACKAGING • Favourable/stable raw Corrugated Industrial & Manufacturing material cost trends and average selling prices Paper rolls Food & Beverage 0% - +3% • Cautious outlook for Other Distribution demand level
Slide 27: Our Operational Mindset
OUR OPERATIONAL MINDSET Ben EH Ei Si aKes : AFE GRUN? icarn Mule from them totorrow icone ot AELP Stick to the ° * EXECUTE [areveriin 1) = CUSTOME Ve so SATISFACTION Copy jae: SS y i} “ < TAA ts ~ Sti dS SSR REPEAT - ee
Slide 28: Conclusion
CONCLUSION Positioning for future growth and development optionality 60+ year track record of successful operations through business cycles Leading market positions in North America with a deep focus on markets where Cascades can derive a competitive advantage Well-balanced product portfolio and man
Slide 29: Appendices
APPENDICES 29
Slide 30: Quarterly Financial Results & KPIs
QUARTERLY FINANCIAL RESULTS & KPIs 2022 2023 2024 2025 (In millions of CAN$, except per common share amounts, where noted) Year Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Q1 Q2 YTD3 LTM4 Financial Results Sales 4,466 1,134 1,168 1,198 1,138 4,638 1,109 1,180 1,201 1,211 4,701 1,154 1,187 2,341 4,753 Operatin
Slide 31: Quarterly Operational KPIs
QUARTERLY OPERATIONAL KPIs 2023 2024 2025 Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Q1 Q2 YTD4 LTM5 Total shipments (in ’000 short tons (s.t.))1 Packaging Products 412 427 458 428 1,725 441 444 450 442 1,777 421 424 845 1,737 Tissue Papers 124 134 134 121 513 115 122 122 121 480 110 120 230 473 536 561 592
Slide 32: Cash Flow Overview
CASH FLOW OVERVIEW 2023 2024 2025 (In millions of CAN$, except per common share amounts) Q1 Q2 Q3 Q4 YEAR Q1 Q2 Q3 Q4 YEAR Q1 Q2 YTD4 LTM5 Cash flow from operations 89 117 100 91 397 32 78 76 109 295 45 92 137 322 Specific items1 1 5 6 12 24 14 17 10 20 61 17 9 26 56 Adjusted cash flow from operatio
Slide 33: COGS and SG&A Overview
COGS AND SG&A OVERVIEW 2022 2023 2024 2025 COST OF SALES (in millions of CAN$) YEAR Q1 Q2 Q3 Q4 YEAR Q1 Q2 Q3 Q4 YEAR Q1 Q2 Raw materials 1,587 365 396 419 395 1,570 377 431 448 434 1,690 379 418 Wages & benefits 698 193 194 192 180 773 194 198 190 200 782 205 205 Energy 243 63 58 57 60 231 54 51 51
Slide 34: Historical Reference Prices & Fibre Costs
HISTORICAL REFERENCE PRICES & FIBRE COSTS Q2 2025 vs. Q2 2025 vs. 2023 2024 2025 Q2 2024 Q1 2025 These indexes should only be used as an indicator of trends and they may be different than our actual selling prices or purchasing costs. Q1 Q2 Q3 Q4 YEAR Q1 Q2 Q3 Q4 YEAR Q1 Q2 (units) (%) (units) (%) S
Slide 35: Sensitivities
SHIPMENTS / EBITDA (A)1 SENSITIVITIES2 CONSUMPTION (‘000 s.t, ‘000 mm Btu for Natural Gas) INCREASE IMPACT (Annually, CAN$ M) SELLING PRICE2 (Manufacturing & Converting) PACKAGING Linerboard, 42-lbs unbleached kraft, Eastern US 450 US$25/s.t. 16 Corrugated Medium, 26-lbs semichemical, Eastern US 365
Slide 36: www.cascades.com/investors
www.cascades.com/investors Jennifer Aitken, MBA Director, Investor Relations 514.282.2697 / investor@cascades.com