Mgp Ingredients, Inc. · NASDAQ:MGPI
Mgp Ingredients — Q1 2025 Earnings Presentation
18 slides from Mgp Ingredients's earnings presentation, May 2025
Slide 1: Investor Presentation First Quarter 2025
INVESTOR PRESENTATION First Quarter 2025 May 2025
Slide 2: Forward Looking Statements and Non-GAAP Disclaimer
FORWARD LOOKING STATEMENTS AND NON-GAAP DISCLAIMER This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including without limitation statements regarding the impact of whiskey consumption and whiskey inventories on brand
Slide 3: First Quarter 2025 Results
FIRST QUARTER 2025 RESULTS ENCOURAGING FIRST QUARTER RESULTS WITH SIGNS OF POSITIVE PROGRESS ACROSS ALL THREE OPERATING SEGMENTS • Consolidated sales decreased 29% to $121.7 million. • Branded Spirits segment sales declined 4% due to double digit decline in mid and value priced brands portfolio. Pre
Slide 4: Lower Sales and Gross Profits Driven by Expected Decline in Brown Goods
LOWER SALES AND GROSS PROFITS PRIMARILY DRIVEN BY THE EXPECTED DECLINE IN BROWN GOODS FIRST QUARTER SALES AND GROSS PROFIT DECREASED BY 29% AND 31%, RESPECTIVELY Change vs Prior Year Change vs Prior Year Consolidated Sales Consolidated Gross Profit (Quarter Ended 3/31/2025) (Quarter Ended 3/31/2025)
Slide 5: Adjusted EPS Decline Reflects Lower Operating Income and Higher Tax Rate
ADJUSTED EPS DECLINE REFLECTS LOWER OPERATING INCOME AND HIGHER EFFECTIVE TAX RATE First Quarter Adjusted EPS(1) $1.07 $0.01 $0.01 $0.01 $0.36 ($0.66) ($0.01) ($0.07) Adjusted Basic and Operating income Interest expense, Other income Weighted average Effective tax rate Participanting Adjusted Basic
Slide 6: Branded Spirits
BRANDED SPIRITS PENELOPE’S ONGOING MOMENTUM DRIVING PREMIUM PLUS GROWTH Change vs Prior Year Branded Spirits (Quarter ended 3/31/2025) $MM $MM % Premium plus $22.3 $1.4 7% Mid 13.0 (1.7) (12) Value 7.3 (2.7) (27) Other 5.5 1.1 24 Sales $48.2 $(1.9) (4)% Gross Profit $22.2 $(0.3) (1)% Gross Margin 46
Slide 7: Distilling Solutions
DISTILLING SOLUTIONS BROWN GOODS SALES AND GROSS PROFIT DECLINE IN LINE WITH OUR EXPECTATIONS Change vs Prior Year Distilling Solutions (Quarter ended 3/31/2025) $MM $MM % Change Brown goods $33.7 $(32.7) (49)% Warehouse services 8.1 0.1 2 White goods and other co-products 5.2 (5.4) (51) Sales $46.9
Slide 8: Ingredient Solutions
INGREDIENT SOLUTIONS QUARTERLY PERFORMANCE IMPACTED BY UNFAVORABLE WEATHER AND TIMING OF COMMERCIALIZATION OF NEW CUSTOMERS Change vs Prior Year Ingredient Solutions (Quarter ended 3/31/2025) $MM $MM % Specialty wheat starches $15.9 $(6.4) (29)% Specialty wheat proteins 7.4 (2.7) (26) Commodity whea
Slide 9: Reaffirm 2025 Financial Guidance
REAFFIRM 2025 FINANCIAL GUIDANCE REMAIN ON-TRACK TO DELIVER FULL YEAR OUTLOOK Full Year 2025 Guidance1 Sales $520 million to $540 million Adjusted EBITDA $105 million to $115 million Adjusted basic EPS $2.45 to $2.75 Effective tax rate ~ 25% Basic weighted average shares outstanding ~ 21.3 million C
Slide 10: Successful Refinancing Reflects Strong Cash Flows and Balance Sheet
SUCCESSFUL REFINANCING REFLECTS STRONG CASH FLOWS AND BALANCE SHEET AMENDED CREDIT FACILITY FURTHER BOLSTERS ALREADY EXCELLENT ACCESS TO CAPITAL • Balance sheet remains healthy and well capitalized, with Net Leverage Ratio 1.6x total debt of $297 million and a cash position of $20 1.5x 1.5x million(
Slide 11: Focus Brands Driving Premium Plus Growth
FOCUS BRANDS DRIVING PREMIUM PLUS GROWTH Innovation Driving Strong Turnaround Continued Packaging Continues for Momentum Refresh in Q1 REBEL 100 +52% +13% +41% *13 Week Y/Y *13 Week Y/Y *13 Week Y/Y * *Nielsen Sales dollars – 13 week period ending 03/22/2025
Slide 12: Appendix
MGP APPENDIX
Slide 13: Change in Basic and Diluted EPS
CHANGE IN BASIC AND DILUTED EPS Change in Basic and Diluted EPS, quarter versus quarter EPS Change Quarter ended March 31, 2024 $0.92 Change in operating income (loss)1 (1.01) (110)% Change in interest expense, net1 0.01 1% Change in other income (expense), net1 0.01 1% Change in effective tax rate
Slide 14: Reconciliation of Selected GAAP to Non-GAAP Measures
RECONCILIATION OF SELECTED GAAP TO NON-GAAP MEASURES NET INCOME TO ADJUSTED EBITDA AND NET DEBT LEVERAGE RATIO ($ in thousands) 2020 2021 2022 2023 2024 Net Income $40,345 $90,817 $108,872 $107,130 $34,465 Interest 2,267 4,037 5,451 6,647 8,439 Taxes 12,256 30,279 31,300 34,616 33,977 Depreciation a
Slide 15: Reconciliation of Selected GAAP to Non-GAAP Measures
RECONCILIATION OF SELECTED GAAP TO NON-GAAP MEASURES NET DEBT LEVERAGE RATIO Quarter Ended Quarter Ended Quarter Ended Quarter Ended TTM1 ($ in thousands) 6/30/2024 9/30/2024 12/31/2024 3/31/2025 3/31/2025 Net income (loss) $32,017 $23,862 $(41,998) $(3,057) $10,824 Interest expense 2,205 2,174 2,04
Slide 16: Reconciliation of Selected GAAP to Non-GAAP Measures
RECONCILIATION OF SELECTED GAAP TO NON-GAAP MEASURES FOR THE QUARTERS ENDED MARCH 31, 2025 AND 2024 Quarter Ended March 31, 2025 (in thousands, except per share amounts) Operating Income Net Income Basic and Diluted EPS Reported GAAP Results $(747) $(3,057) $(0.14) Fair value of contingent considera
Slide 17: Reconciliation of Selected GAAP to Non-GAAP Measures
RECONCILIATION OF SELECTED GAAP TO NON-GAAP MEASURES RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA Quarter Ended Quarter Ended ($ in thousands) 3/31/2025 3/31/2024 Net income (loss) $(3,057) $20,584 Interest expense 1,854 2,019 Income tax expense 671 6,262 Depreciation and amortization 5,808 5,289
Slide 18: Description of Non-GAAP Items
DESCRIPTION OF NON-GAAP ITEMS • Fair value of contingent consideration relates to the quarterly adjustment of the contingent consideration liability related to the acquisition of Penelope Bourbon LLC. It is included in the Condensed Consolidated Statement of Income as a component of operating income