B&g Foods, Inc. · NYSE:BGS
B&g Foods — Debt Investor Presentation (June 2024)
25 slides from B&g Foods's debt investor presentation, Jun 18, 2024
Slide 1: Confidential Lender Presentation June 2024
Confidential Lender Presentation June 2024
Slide 2: Disclaimer
Confidential Disclaimer 2 Special Notice regarding Material Non-Public Information THE COMPANY HAS REPRESENTED THAT THE INFORMATION CONTAINED IN THIS LENDER PRESENTATION IS EITHER PUBLICLY AVAILABLE OR DOES NOT CONSTITUTE MATERIAL NON-PUBLIC INFORMATION WITH RESPECT TO THE COMPANY, ITS SUBSIDIARIES
Slide 3: Forward Looking Statements
Confidential Forward Looking Statements 3 The following presentation and the oral statements made from time to time by executive officers of B&G Foods may contain “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. We intend such forward-looking s
Slide 4: Non-GAAP Measures and Unaudited Financial Information
Confidential Non-GAAP Measures and Unaudited Financial Information 4 This presentation includes “non-GAAP (Generally Accepted Accounting Principles) financial measures.” “base business net sales” ( which we define as net sales without the impact of acquisitions until the acquisitions are included in
Slide 5: Today's Presenters
5 Confidential Today’s Presenters 5 Bruce Wacha, Exec. Vice President of Finance and CFO Casey Keller, President and CEO
Slide 6: Transaction Overview
6 Confidential Transaction Overview
Slide 7: Summary Overview
7 Confidential Summary Overview Company Overview ► B&G Foods manufactures, sells and distributes a diverse portfolio of branded, high quality, shelf stable and frozen food and household products across the United States, Canada and Puerto Rico ► B&G Foods has organized itself into four business unit
Slide 8: Pro Forma Capitalization
8 Confidential Pro Forma Capitalization 8 Note: Dollars in millions. Sources & Uses Pro Forma Capitalization 1. As of June 14, 2024, outstanding balance on Revolving Credit Facility was $205mm, Term Loan B due 2026 was $507mm, and Secured Notes due 2028 was $549mm. 2. Actual transaction fees and exp
Slide 9: Summary Terms – Senior Secured Credit Facilities
9 Confidential Summary Terms – Senior Secured Credit Facilities 9 Revolving Credit Facility Term Loan B Borrower: • B&G Foods, Inc. (the “Borrower”) Tranche Size: • $625mm • $600mm Maturity: • 3-year extension, December 2028 (1) • 3-year extension, October 2029 (2) Guarantees: • All present and futu
Slide 10: Timeline
10 Confidential Timeline 10 U.S. Bank Holiday Key Transaction Date Timing Event Tuesday, June 18 Announce Term Loan B Offering Thursday, June 20 Lender Call at 11:00AM ET Thursday, June 27 Commitments Due at 12:00PM ET Thereafter Close & Fund Transaction June 2024 S M T W T F S 1 2 3 4 5 6 7 8 9 10
Slide 11: Organizational Chart
11 Confidential Organizational Chart 11 Key: Borrower Guarantors Non-Guarantors • $625mm Revolving Credit Facility due 2028 • $600mm Term Loan B due 2029 • $549mm Secured Notes due 2028 • $100mm Other Secured Debt • $550mm Senior Notes due 2027 B&G Foods North America, Inc. Operating Company Domesti
Slide 12: Company Highlights
12 Confidential Company Highlights
Slide 13: Key Investment Highlights
13 Confidential • Acquire and operate established food brands and maintain relevancy with today’s consumer • Proven cash flow driven M&A at accretive multiples • Target moderate top line growth across portfolio • Strong focus on cash flow generation and working capital efficiency • Maintain high qua
Slide 14: We Have Assembled a Portfolio of More than Fifty Brands
14 Confidential We Have Assembled a Portfolio of More than 50 Brands 14 1996 1997 1998 1999 2000 2003 2004 2006 2007 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Recent Divestitures March Acquisition November Acquisition February Acquisition January IPO October Acquisition August License J
Slide 15: A Portfolio of Large, Established & Defensible Niche Brands
15 Confidential A Portfolio of Large, Established & Defensible Niche Brands 15 ANNUAL NET SALES BY BRAND $400+ Million $100-$399 Million $50-$99 Million <$50 Million
Slide 16: We Have Four Business Units
16 Confidential We Have Four Business Units 16 Meals 25% Specialty 33% Frozen & Vegetables 22% Spices & Flavor Solutions 20% Q1-2024 Net Sales by Business Unit
Slide 17: We Have Four Business Units
17 Confidential We Have Four Business Units 17 ▪ We began transitioning to four Business Units in August 2022 – Frozen & Vegetables, Meals, Specialty and Spices & Flavor Solutions ▪ These Business Units clarify the portfolio focus and future platforms for acquisitions, and push accountability down t
Slide 18: Financial Update
18 Confidential Financial Update
Slide 19: Q1'2024 vs. Q1'2023 Performance
19 Confidential Q1’2024 vs. Q1’2023 Performance 19 • Base Business Net Sales declined 4.4% Q1’2024 vs. Q1’2023 ‒ Primarily driven by a decrease in net pricing, including increased promotional trade spend and list price decreases in Crisco products to reflect decreases in underlying commodity input c
Slide 20: Demonstrated Commitment to Debt Reduction
20 Confidential Demonstrated Commitment to Debt Reduction 20 • Following the sale of Back to Nature in January 2023, B&G Foods used nearly all of the net proceeds to repay $50.0mm of Term Loan B • Following the sale of the Green Giant U.S. Shelf Stable product line in November 2023, B&G Foods has us
Slide 21: Capitalization & Statistics
21 Confidential Capitalization & Statistics 21 Note: Adj. EBITDA, Adj. EBITDA before SBC and Covenant Adj. EBITDA are non-GAAP financial measures. Please refer to p. 4 and the non-GAAP reconciliation schedule on p. 23 for further detail. 1. All ratios are based on Covenant Adj. EBITDA, which reflect
Slide 22: Historical Financial Performance
22 Confidential Historical Financial Performance 22 1. Adj. EBITDA, Adj. Gross Profit and Adj. EBITDA less Capex are non-GAAP financial measures. Please refer to p. 4 and the non-GAAP reconciliation schedule on p. 23 and 24 for further detail. ($ in millions) Fiscal Year Ended December LTM 2021 2022
Slide 23: Non-GAAP Reconciliations – Net Income to EBITDA and Adjusted EBITDA
23 Non-GAAP Reconciliations – Confidential Net Income to EBITDA and Adjusted EBITDA 23 ($ in millions) Fiscal Year Ended December LTM 2021 2022 2023 Q1'2024 Net Income $67 ($11) ($66) ($110) Income Tax Expense (Benefit) 26 (8) (1) (33) Interest Expense, Net 107 125 151 150 Depreciation and Amortizat
Slide 24: Non-GAAP Reconciliations – Gross Profit to Adjusted Gross Profit
24 Confidential ($ in millions) Fiscal Year Ended December LTM 2021 2022 2023 Q1'2024 Gross Profit $437 $410 $456 $450 Acquisition/divestiture-related expenses and non-recurring expenses included in cost of goods sold (1) 34 9 3 3 Adj. Gross Profit $471 $419 $458 $453 24 1. Acquisition/divestiture r
Slide 25: Non-GAAP Reconciliations – Net Sales to Base Business Net Sales
25 Non-GAAP Reconciliations – Confidential Net Sales to Base Business Net Sales 25 Note: Q1’2024 represents the thirteen weeks ended March 30, 2024; Q1’2023 represents the thirteen weeks ended April 1, 2023. 1. From Q1’2024 + Q1’2023, reflects net sales of the Green Giant U.S. shelf-stable product l