Slide 1: Q3 2025 Financial Results
Q3 2025 FINANCIAL RESULTS November 13, 2025
Slide 2: Forward-Looking Statements
F O R W A R D - LO O K I N G S TAT E M E N T S Certain statements in this presentation about KPT's and Kruger Products’ current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments constitute forward
Slide 3: Corporate Structure
C O R P O R AT E S T RU C T U R E 100% 1 87.9% 12.1% 1As of November 13, 2025 3
Slide 4: KP Tissue Inc – Vision and Mission
KP KP Tissue Inc OUR VISION TO BE THE MOST TRUSTED AND BEST LOVED TISSUE COMPANY IN NORTH AMERICA. OUR MISSION MAKING EVERYDAY LIFE MORE COMFORTABLE
Slide 5: Underlying Strategies
5 U N D E R LY I N G S T R AT E G I E S Drive Strong Revenue, Profit and Shareholder Value in a Sustainable Manner 1 2 3 4 5 Consumer As Our Expand Our End-to-End Supply Deliver Winning Team Compass Business Footprint Chain Excellence Sustainability & Culture 5
Slide 6: Q3 2025 Highlights
Q3 2025 HIGHLIGHTS Revenue Adjusted EBITDA1 Net Income $561.1M $85.7M $14.6M 7.7% 30.4% ($3.4)M over Q3 2024 over Q3 2024 over Q3 2024 $19.1M $20.9M over Q3 2024 over Q3 2024 +6.8% +8.8% Revenue Canada Revenue U.S. 1 Non-GAAP measure – see MD&A for the definition and reconciliation of the most compa
Slide 7: Pulp Input Prices
PULP INPUT PRICES Q3 2025 NBSK average prices1 in CAD decreased 7.1% and BEK average prices1 were down 8.6% sequentially. Q3 2025 NBSK average prices1 in CAD declined 2.6% while BEK average prices1 dropped 18.4% year-over-year. Industry analysts expect pulp prices to trend upwards over the upcoming
Slide 8: Operations
O P E R AT I O N S • New TAD tissue plant planned for 2028 • Network production rates remain positive, exceeding Q3 2025 targets • Memphis update – Seeing benefits from renewed asset strategy – Converting manufacturing results improved sequentially – Multi-purpose, state-of-the-art converting line p
Slide 9: Focused Brand Support
FOCUSED BRAND SUPPORT • Sustained focus on Made in Canada positioning and in-store promotions • Ongoing equity-building campaigns for Cashmere, Purex, SpongeTowels, Scotties, and Bonterra • Targeted expansion and support behind premium product portfolio • Launched 22nd Annual Cashmere Collection in
Slide 10: Brand Leadership Position
BRAND LEADERSHIP POSITION BATHROOM TISSUE FACI AL TISSUE PAPER TOWEL NO. 1 NO. 1 NO. 2 32.1% 45.4% 25.3% * Data represents Nielsen Canadian dollar market share for 52-week period ended September 6, 2025. 10
Slide 11: AFH Segment – Kruger Products
A F H S E G M E N T – K RU G E R P RO • Volume grew year-over-year and sequentially • Revenue and profitability increased vs prior year and sequentially • Consumer brands selling well and benefiting from Made in Canada sentiment in the commercial market • TITAN® Wipers and Cloths brand launched in Q
Slide 12: Quarterly Financial Summary
Q UA R T E R LY F I N A N C I A L S U M M A RY % Change (Million CAD$, unless otherwise noted) Q3 2025 Q2 2025 Q3 2024 Y/Y Q/Q Revenue 561.1 536.1 521.1 7.7% 4.7% Cost of Sales 460.0 462.2 437.3 5.2% (0.5)% Gross Profit 101.1 73.9 83.8 20.6% 36.8% Gross Margin 18.0% 13.8% 16.1% Adjusted EBITDA1 85.7
Slide 13: Quarterly Segmented Results
Q UA R T E R LY S E G M E N T E D R E S U LT S % Change (Million CAD$, unless otherwise noted) Q3 2025 Q2 2025 Q3 2024 Y/Y Q/Q Segment Revenue Consumer 468.3 449.2 429.2 9.1% 4.2% AFH 92.8 86.9 91.9 1.0% 6.9% Total Segment Revenue 561.1 536.1 521.1 7.7% 4.7% Segment Adjusted EBITDA1 Consumer 78.2 69
Slide 14: Revenue Compared to Q3 2024
Q 3 2 0 2 5 R E V E N U E C O M PA R E D TO Q 3 2 0 2 4 Increase primarily due to: $40.0M • Higher Consumer volume • Favourable selling prices across both segments Q3 2025 Revenue increase • Positive FX impact on U.S. dollar sales 7.7% over Q3 2024 Geographic revenue segmentation $19.1M $20.9M over
Slide 15: Adjusted EBITDA Compared to Q3 2024
Q 3 2 0 2 5 A D J U S T E D E B I T DA 1 C O M PA R E D TO Q 3 2 0 2 4 $20.0M $85.7M in Q3 2025 compared to $65.7M in Q3 2024 Q3 2025 Adjusted EBITDA1 increase Increase primarily due to: 30.4% • Higher sales volume over Q3 2024 • Increased selling prices • Lower pulp prices Adjusted EBITDA Margin1 •
Slide 16: Revenue Compared to Q2 2025
Q 3 2 0 2 5 R E V E N U E C O M PA R E D TO Q 2 2 0 2 5 Sequential increase primarily due to: $25.0M • Higher U.S. sales volume • Increased selling prices Q3 2025 Revenue increase 4.7% over Q2 2025 $1.7M $23.3M over Q2 2025 over Q2 2025 +0.6% +9.9% Revenue Canada Revenue U.S. 16
Slide 17: Adjusted EBITDA Compared to Q2 2025
Q 3 2 0 2 5 A D J U S T E D E B I T DA 1 C O M PA R E D TO Q 2 2 0 2 5 $13.2M $85.7M in Q3 2025 compared to $72.5M in Q2 2025 Q3 2025 Adjusted EBITDA1 increase Sequential increase primarily due to: 18.2% • Higher U.S. sales volume over Q2 2025 • Lower pulp prices • Increased selling prices Adjusted
Slide 18: Balance Sheet
BA L A N C E S H E E T (Million CAD$, unless otherwise noted) Q3 2025 Q2 2025 Q3 2024 Cash 149.1 85.3 111.2 Current Portion of Long-term Debt 97.9 80.0 169.9 Long-term Debt 1,083.5 1,125.5 997.5 Net Debt 1,032.3 1,120.2 1,056.2 LTM Adjusted EBITDA1 300.8 280.8 259.3 Net Debt/LTM Adjusted EBITDA1 3.4
Slide 19: Capital Expenditures
C A P I TA L E X P E N D I T U R E S $200 • Q3 2025 CAPEX totaled $16.2 million, $180 including $1.8 million related to $160 Sherbrooke Expansion Project $140 $120 • Anticipating $70-$80 million in CAPEX for Millions $100 2025, including Sherbrooke Expansion $80 Project $60 $40 • Outlook for 2026 se
Slide 20: Sustainability Focus
KEY TARGETS TO ACHIEVE BY 2030 S U S TA I N A B I L I T Y F O C U S 20
Slide 21: Accelerating Growth
ACCELERATING GROWTH • Preparing for new TAD tissue plant in 2028 • Managing margins amid volatile economic environment • Investing in operations to increase efficiency and capacity • Driving long-term brand share • AFH profitability benefitting from internal paper • Developing organizational capabil
Slide 22: Thank You
KP KP Tissue Inc THANK YOU WWW.KPTISSUEINC.COM