The Simply Good Foods Company · NASDAQ:SMPL
The Simply Good Foods — Q1 2025 Earnings Presentation
17 slides from The Simply Good Foods's earnings presentation, Jan 8, 2025
Slide 1: Conference Call & Webcast Presentation
Conference Call & Webcast Presentation January 8, 2025
Slide 2: Disclaimer
Disclaimer Forward Looking Statements Certain statements made herein are not historical facts but are forward-looking statements for purposes of the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are accompanied by or include w
Slide 3: Geoff Tanner, President and Chief Executive Officer
Geoff Tanner President and Chief Executive Officer 3
Slide 4: Agenda
Agenda 1. Introduction by Mark Pogharian, VP of Investor Relations 2. Overview and Q1 Highlights by Geoff Tanner, President and CEO 3. Financial Summary and Fiscal Year 2025 Outlook by Shaun Mara, CFO 4. Q&A 4
Slide 5: Key Messages
Key Messages Total Simply Goods Foods Q1 retail takeaway1 of about 8% • Strong Quest and OWYN POS growth offset by expected Atkins declines Net sales increased 10.6% driven by the OWYN acquisition • Legacy sales affected by the timing of shipments 2 • Gross margin of 38.2% was greater than our estim
Slide 6: Quest Overview
Quest Overview Quest Q1 retail takeaway increased 10% 1 • Solid retail takeaway across all major channels and customers • While early, innovation performing in line with our estimates • Ecommerce momentum continues with Q1 retail takeaway growth of 18% Snacks2 and Bars Q1 retail takeaway1increased a
Slide 7: Atkins Overview
Atkins Overview Atkins Q1 retail takeaway 1 declined 4%; slightly better than plan and sequentially improved from the Q4 decline of 5% • RTD shakes retail takeaway1 increased about 5% driven by growth in both measured and unmeasured channels • Fiscal Q1 retail takeaway1 increased at Atkins’ two larg
Slide 8: OWYN Overview
OWYN Overview Strong retail takeaway1 in measured and unmeasured channels: Retail Takeaway $ (millions) and % Change1 vs. Year Ago 2 Measured Channels Unmeasured Channels 3 Measured + Unmeasured Channels $41 +67% $29 YoY +81% YoY $25 $16m $12 +39% $9 YoY F1Q24 F1Q25 F1Q24 F1Q25 F1Q24 F1Q25 Strong me
Slide 9: Summary
Summary First quarter marketplace results a positive start to the year While early, fiscal 2Q25 is tracking to our expectations “Mainstreaming” of high protein, low-sugar, low-carb food options continues to gain momentum - The relevance of the category and demand for our products should contin
Slide 10: Shaun Mara, Chief Financial Officer
Shaun Mara Chief Financial Officer 10
Slide 11: Net Sales Overview
Net Sales Overview First quarter Net Sales $341.3 million, increased 10.6% versus last year - Quest net sales less than plan due to customer timing; shipments occurred subsequent to Q1 close - Atkins performance in line with estimates - OWYN net sales slightly greater than plan Drivers of Growth 1 L
Slide 12: First Quarter Profitability
First Quarter Profitability Fiscal Q1 2025 vs. Year Ago Period Gross Profit Adjusted EBITDA (and % Margin)1 (and % Margin)1,2 Net Income1 +13.3% Year-Over-Year +13.1% Year-Over-Year +7.2% Year-Over-Year Percent Change Percent Change Percent Change Includes $1.0 million inventory step-up, a 30 bps he
Slide 13: Adjusted Diluted Earnings Per Share
Adjusted Diluted Earnings Per Share Reconciliation of Adjusted Diluted EPS 1 1This line item reflects the aggregate tax effect of all non-tax adjustments reflected in the preceding line items of the table. The tax effect of each adjustment is computed (i) by dividing the gross amount of the adjustme
Slide 14: Balance Sheet & Cash Flow
Balance Sheet & Cash Flow Cash balance at November 30, 2024 of $121.8 million - Cash flow from operations of $32.0 million Term loan balance at November 30, 2024, $350 million (SOFR + 250 bps) 1 - Term loan debt pay-down of $50 million in F1Q25 - Trailing twelve-month Net Debt to Adjusted EBITDA rat
Slide 15: Fiscal 2025 Outlook
Fiscal 2025 Outlook Reaffirm fiscal year 2025 outlook 1 Expect higher ingredient and packaging cost to pressure gross margin Fiscal 2025 outlook: Includes $3.2 million inventory step-up, a 20 bps headwind 1Reflects current regulatory statutes at January 8, 2025 15
Slide 16: Simply, Go
SIMPLY, GO"
Slide 17: Thank You
The Simply Good Foods Company — Q1 2025 Earnings Presentation on 6ix