Slide 1: Q4 2024 Financial Results
Q4 2024 FINANCIAL RESULTS February 20, 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: Summary of Financial Results
SUMMARY OF FINANCIAL RESULTS (In millions of CAN$, except per common share amounts, where noted) 2024 2023 Q4 2024 Q3 2024 Q4 2023 Financial Results Sales 4,701 4,638 1,211 1,201 1,138 Operating income (loss) 95 40 16 36 (24) Adjusted earnings before interest, taxes, depreciation and amortization (E
Slide 4: Overview of Consolidated Profitability Drivers
OVERVIEW OF CONSOLIDATED PROFITABILITY DRIVERS Consolidated EBITDA (A)1 Variation Quarter-over-Quarter Year-over-Year Q4 2024 vs Q3 2024 Q4 2024 vs Q4 2023 2024 vs 2023 (in millions of Canadian dollars) Average selling prices $8 million $42 million ($39 million) Operating costs ($8 million) ($4 mill
Slide 5: Recycled Fibre Costs - Index List Prices
RECYCLED FIBRE COSTS - INDEX LIST PRICES ($ US/s.t.) Current OCC: 300 (Feb-25) • Favourable market conditions seen throughout Q4, with 275 higher seasonal generation and continuing soft export 250 225 activity leading to good fibre availability, index price 200 decreases in October, November and Dec
Slide 6: Virgin Pulp Costs - Index List Prices
VIRGIN PULP COSTS - INDEX LIST PRICES ($ US/metric ton) Current VIRGIN PULP: (Jan-25) • Market conditions were in line with expectations in 1,800 Q4, with an abundant supply of BEK (eucalyptus) 1,710 leading to index price reduction; as expected, relative 1,600 stability on NBSK 1,400 • Saw pulp pri
Slide 7: Packaging Products / Containerboard
PACKAGING PRODUCTS / CONTAINERBOARD Results Change vs. Comments on sequential performance Q4 2024 Q3 2024 Q4 2023 è Total shipments decreased by 1% sequentially. Shipments of parent rolls decreased by Shipments (’000 s.t.) 1% and those of converted products decreased by 2% compared to the third quar
Slide 8: Packaging Products / Containerboard
PACKAGING PRODUCTS / CONTAINERBOARD Quarterly EBITDA (A)1 (M CAN$) è Sequential Q4 shipments of converted products: Canada -2.7% (vs. market -1.7%); US +3.7% (vs. market -1.1%) 12% 9% 10% 15% 17% è Year-over-year Q4 shipments of converted products: Canada -1.5% (vs. market +4.8%); US -1.4% (vs. mark
Slide 9: Packaging Products / Specialty Products
PACKAGING PRODUCTS / SPECIALTY PRODUCTS Results Change vs. Comments on sequential performance Q4 2024 Q3 2024 Q4 2023 è Sales increased by $6 M or 4% sequentially following higher average selling prices Sales (M$) and the depreciation of the Canadian dollar compared to the US dollar. 175 4% 9% EBITD
Slide 10: Tissue Papers
TISSUE PAPERS Results Change vs. Comments on sequential performance Q4 2024 Q3 2024 Q4 2023 è Shipments decreased by 1% on a sequential basis. This reflects a 2% decrease in Away- Shipments (’000 s.t.) from-Home converted product shipments, and a 1% decrease in Retail product shipments. 121 (1)% —%
Slide 11: Tissue Papers
TISSUE PAPERS Quarterly EBITDA (A)1 (M CAN$) è Q4 2024 Shipments of Converted Products: 16% Retail tissue Away-from-Home tissue 14% 14% 11% 11% 10.5 M cases 5.2 M cases 61 50 54 43 45 Q4 vs. Q3: -0.5% Q4 vs.Q3: -2.7% Q4 vs. Q4: +0.5% Q4 vs.Q4: -1.7% è 2024 Shipments of Converted Products: Retail tis
Slide 12: Q4 2024 EBITDA (A) to Operating Income Reconciliation
Q4 2024 EBITDA (A)1 TO OPERATING INCOME RECONCILIATION (M CAN$) 8 1 160 146 (8) 120 80 (55) 40 16 0 1 (76) EBITDA (A) Other gain Unrealized gain Restructuring Impairment Depr. & Operating income on financial costs charges Amort. instruments Corporate, Recovery and Container- Specialty Tissue Recycli
Slide 13: Net Earnings (Loss) - As Reported vs Adjusted
NET EARNINGS (LOSS) - AS REPORTED vs ADJUSTED1 NET EARNINGS (LOSS) NET EARNINGS (LOSS) PER COMMON SHARE2 (In millions of Canadian dollars, except per common share amounts) Q4 2024 Q4 2024 As reported (13) ($0.13) Specific items: Restructuring costs 8 $0.06 Other gain (8) ($0.07) Impairment charges 5
Slide 14: Quarterly Year-Over-Year Adjusted EPS Variance
QUARTERLY YEAR-OVER-YEAR ADJUSTED EPS VARIANCE1,2 0.50 0.04 0.02 0.18 0.25 0.25 (0.02) (0.02) 0.62 0.05 0.00 $ cents (0.38) (0.13) -0.25 -0.50 (0.57) 2 2 2 EPS reported Specific Adjusted EPS EBITDA (A) Income tax Share of Non- Depreciation Adjusted EPS Specific EPS reported Q4 2023 items Q4 2023 var
Slide 15: Quarterly Sequential Adjusted EPS Variance
QUARTERLY SEQUENTIAL ADJUSTED EPS VARIANCE1,2 0.04 0.30 0.26 0.27 (0.01) (0.01) 0.25 (0.04) 0.20 0.10 $ cents 0.01 0.00 -0.10 (0.38) (0.13) -0.20 2 2 2 EPS reported Specific Adjusted EPS EBITDA (A) Income Non- Depreciation Adjusted EPS Specific EPS reported Q3 2024 items Q3 2024 tax controlling & Q4
Slide 16: Cash Flow Overview
CASH FLOW OVERVIEW 2022 2023 2024 (In millions of CAN$, except per common share amounts) Year Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Cash flow from operations 260 89 117 100 91 397 32 78 76 109 295 Specific items1 12 1 5 6 12 24 14 17 10 20 61 Adjusted cash flow from operations2 272 90 122 106 103 421 46
Slide 17: New Capital Investments
NEW CAPITAL INVESTMENTS (in millions of Canadian dollars, excluding new leases, disposal of assets and accounts payable variation) 532 36 2025 Forecast: 41 ~ $175 M1 29 312 330 26 289 27 50 32 81 227 213 37 35 169 39 22 426 25 ~175 20 148 24 85 104 30 61 217 184 22 197 44 22 18 15 62 66 84 59 2017 2
Slide 18: Net Debt Reconciliation - Q4 2024
NET DEBT1 RECONCILIATION - Q4 2024 (M CAN$) 2,200 114 2,096 2,100 2,039 2,000 48 45 1,900 (109) 5 15 (45) (16) 1,800 Net debt as of Cash flow Changes in non- Proceeds from Investments Dividends paid & Payments for Right-of-use F/X CAN$ Net debt as of September 30, from oper. cash disposals of and ot
Slide 19: Net Debt Reconciliation - 2024
NET DEBT1 RECONCILIATION - 2024 (M CAN$) 161 2,096 2,000 149 1,882 121 1,750 64 23 25 1,500 (295) (34) Net debt as of Cash flow Proceeds from Changes in non- Investments Dividends paid & Right-of-use F/X CAN$ Payments for Net debt as of December 31, from oper. disposals of cash and others change in
Slide 20: Strategic Priority Areas: 2025 - 2026
STRATEGIC PRIORITY AREAS: 2025 - 2026 STRENGTHEN OUR CULTURE OF EXCELLENCE TO DRIVE PROFITABILITY 1 • Productivity led margin improvements: the right product for the right customer on the right equipment to drive productivity and profitability levels • Optimized logistics and cost structure, support
Slide 21: Consolidated Financial Ratios & Debt Maturities
CONSOLIDATED FINANCIAL RATIOS & DEBT MATURITIES Net Debt / EBITDA (A)1,3 Interest Coverage Ratio2,3 5.23x 6.7x 4.18x 5.8x 6.0x 4.0x 3.8x 3.6x 3.5x 3.47x 3.37x 4.7x 4.6x 4.3x 4.6x 4.9x 4.5x 3.25x 3.6x 2.5x 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2015 2016 2017 2018 2019 2020 2021 2022 2023
Slide 22: Appendix
APPENDIX 22
Slide 23: Summary of Quarterly Financial Results & KPIs
SUMMARY OF QUARTERLY FINANCIAL RESULTS & KPIs 2022 2023 2024 (In millions of CAN$, except per common share amounts, where noted) Year Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year Financial Results Sales 4,466 1,134 1,168 1,198 1,138 4,638 1,109 1,180 1,201 1,211 4,701 Operating income (loss) 33 (80) 64 80 (24)
Slide 24: Year-Over-Year Sales Reconciliation
YEAR-OVER-YEAR SALES RECONCILIATION +6% (M CAN$) 1,250 21 23 1,211 1,200 42 (13) 1,150 1,138 1,100 Sales Volume Sales (M CAN$) Q4 2023 Price and other items F/X CAN$ Mix Q4 2024 Containerboard 561 37 17 10 (12) 613 Specialty Products 160 8 3 4 — 175 Tissue Papers 390 (3) 1 7 (1) 394 Corporate, Recov
Slide 25: Year-Over-Year EBITDA (A) Reconciliation
YEAR-OVER-YEAR EBITDA (A)1 RECONCILIATION - Higher + Higher selling prices + Higher realized spread production costs partially offset by lower energy and transportation costs - Higher raw material costs + Lower production costs - Higher raw material costs Lower operating costs and higher + volume pa
Slide 26: Sequential Sales Reconciliation
SEQUENTIAL SALES RECONCILIATION (M CAN$) +1% 1,250 8 1,225 19 1,211 1,201 (4) 1,200 (13) 1,175 Sales Volume Sales (M CAN$) Q3 2024 F/X CAN$ Price Mix and other items Q4 2024 Containerboard 610 10 4 (1) (10) 613 Specialty Products 169 3 2 — 1 175 Tissue Papers 390 6 2 (3) (1) 394 Corporate, Recovery
Slide 27: Sequential EBITDA (A) Reconciliation
SEQUENTIAL EBITDA (A)1 RECONCILIATION Higher selling prices, lower raw material + Higher selling prices and lower raw + costs material costs - Lower contribution from Recovery - Lower volume offset by less favourable mix - Slightly lower volume operations + Slightly positive contribution from other
Slide 28: Cost of Sales, Selling and Administrative Expenses
COST OF SALES, SELLING AND ADMINISTRATIVE EXPENSES (In millions of Canadian dollars) 2024 2023 Q4 2024 Q3 2024 Q4 2023 Cost of sales Raw materials 1,690 1,570 434 448 390 Wages and benefits 782 773 200 190 194 Energy 210 231 54 51 53 Delivery 534 540 131 132 139 Other 640 617 163 154 149 Depreciatio
Slide 29: Selected Reference Prices
SELECTED REFERENCE PRICES Current Current Containerboard - Selected Products (US$/s.t.) Specialty Products - Selected Products (Jan-25) (US$/s.t.) (Jan-25) 1,000 1,200 1,100 1,070 900 905 1,000 800 795 900 800 700 700 600 600 Aug-23 Nov-22 Feb-22 May-21 Aug-20 Nov-19 Nov-24 Feb-24 May-23 Aug-22 Nov-
Slide 30: Selected Reference Prices and Fibre Costs
SELECTED REFERENCE PRICES AND FIBRE COSTS 2022 2023 2024 2024 vs 2023 These indexes should only be used as an indicator of trends and they may be different than our actual selling prices or purchasing costs. Year Q1 Q2 Q3 Q4 Year Q1 Q2 Q3 Q4 Year (units) (%) Selling Prices (average) PACKAGING PRODUC
Slide 31: For More Information
For more information: www.cascades.com/investors Jennifer Aitken, MBA Director, Investor Relations 514-282-2697 / investor@cascades.com