Utz Brands Inc · NYSE:UTZ
Utz Brands — Q1 2025 Earnings Presentation
49 slides from Utz Brands's earnings presentation, May 1, 2025
Slide 1: First Quarter 2025 Earnings Presentation
Utz Brands, Inc. First Quarter 2025 Earnings Presentation May 1, 2025
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements Certain statements made herein are not historical facts but are “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, as amended. The forward-looking statements generally are acco
Slide 3: Disclaimer (cont.)
Disclaimer (cont.) Trademarks This presentation may contain trademarks, service marks, trade names and copyrights of other companies, which are the property of their respective owners. Solely for convenience, some of the trademarks, service marks, trade names and copyrights referred to in this prese
Slide 4: Business Overview
Business Overview Howard Friedman Chief Executive Officer 4
Slide 5: Delivered a Strong Start to 2025
Delivered a Strong Start to 2025 o 1Q’25 Organic Net Sales growth of 2.9% led by Branded Salty Snacks growth of 4.9%(1) o Dollar and volume share gains in the Salty Snacks Category(2) o Consumer value need addressed with bonus packs and focused trade promotions o Productivity cost savings fueling Ad
Slide 6: Top-line and Bottom-line Growth in 1Q'25
Top-line and Bottom-line Growth in 1Q’25 Organic Net Sales Adjusted EBITDA Adjusted EPS (in millions) (in millions) +3% +4% +14% $342 $352 $43 $45 $0.16 $0.14 1Q’24 1Q’25 1Q’24 1Q’25 1Q’24 1Q’25 6 Note: See appendix for reconciliation of Utz Non-GAAP financial measures to most directly comparable GA
Slide 7: Topline Growth Driven by Strong Volume Gains and Value Focus
Topline Growth Driven by Strong Volume Gains and Value Focus o Total Organic Net Sales growth of +2.9% led by strong Net Sales Growth Drivers volume growth of +6.3% (1Q’25 % YoY Change) o Branded Salty Snacks Net Sales growth of +4.9% led by Boulder Canyon® Total Branded Non-Branded & Company(1) Sal
Slide 8: Successfully Shifting Our Net Sales Mix Towards Branded Salty Snacks
Successfully Shifting Our Net Sales Mix Towards Branded Salty Snacks Net Sales Mix Evolution 1Q’23(1) 1Q’25 Non-Branded, Non-Branded, Non-Salty Non-Salty 13% Snacks 18% Snacks 82% Branded Salty Branded Salty Snacks 87% Snacks Note: See appendix for reconciliation of Utz Non-GAAP financial measures t
Slide 9: Consistently Growing Branded Salty Snacks and Expanding Adj. EBITDA Margins
Consistently Growing Branded Salty Snacks and Expanding Adj. EBITDA Margins Branded Salty Snacks Adjusted EBITDA Quarterly Net Sales Growth Margin Expansion (YoY Change) (YoY Change, as a % of Net Sales) 4.7% 4.9% +160bps +150bps 3.8% 3.3% 2.9% +100bps +80bps +30bps 1Q’24 2Q’24 3Q’24 4Q’24 1Q’25 1Q’
Slide 10: Bonus Pack Program Drove Volume and Value for our Consumer in 1Q'25
Bonus Pack Program Drove Volume and Value for our Consumer in 1Q’25 o Bonus Pack Program launched in December 2024, Net Sales Growth Drivers (1Q’25 % YoY Change) offering the consumer 20% more volume for the same retail price, on six Utz® and On The Border® SKUs Total Branded Salty Company(1) Snacks
Slide 11: Our Power Four Brands Continued to Gain Share in 1Q'25
Our Power Four Brands Continued to Gain Share in 1Q’25 1Q’25 MULO+ w/Convenience YoY Growth Retail Volume (lbs.) 7.5% 5.7% o Dollar and volume share gains for total Company and Power Four Brands, led by Boulder Canyon® -1.6% Retail Price/lb. o Growth led by Expansion geographies driven by Impact of
Slide 12: Continued Volume Share Gains in our Core Geography
Continued Volume Share Gains in our Core Geography 1Q’25 Core Geographies YoY Retail Growth o Continued volume share gains for total Company and Retail Volume (lbs.) Power Four Brands supported by active portfolio assortment management 4.6% 2.9% o Disciplined investments to maintain price gaps prima
Slide 13: Growth Accelerating in Expansion Geographies with 1Q'25 Retail Volume up +8.9%
Growth Accelerating in Expansion Geographies with 1Q’25 Retail Volume up +8.9% 1Q’25 Expansion Geographies YoY Retail Growth o Seventh consecutive quarter of share gains Retail Volume (lbs.) o Gained dollar and volume share for total Company and 10.9% 8.9% Power Four Brands o Growth driven by distri
Slide 14: Expansion Playbook Driving Significant Growth and Sustained Success
Expansion Playbook Driving Significant Growth and Sustained Success Utz Core and Expansion Geographies WA o Executing a proven playbook MT ND ME OR MN VT NH o Offering customers Direct to Warehouse delivery MA and/or Direct Store Delivery through our hybrid ID SD WI NY WY MI CT RI IA PA NV NE IL IN
Slide 15: Case Study: Adding Utz Brands to a Retailers' Assortment
Case Study: Adding Utz Brands to a Retailers’ Assortment Grows the Customer’s Salty Snack Share and Utz’s Company Share in Expansion Geographies Retailer A Retailer B Utz Brands Salty Snacks Dollar Share of Category at Retailer A Utz Brands Salty Snacks Dollar Share of Category at Retailer B 6.2% 11
Slide 16: Share Gains in Potato Chips, Cheese Snacks, and Pork
Share Gains in Potato Chips, Cheese Snacks, and Pork Total Sub-Category 1Q’25 Sub-Category Retail Sales YoY Growth Potato Chips Tortilla Chips Pretzels Cheese Snacks Pork Rinds 8.0% 2.7% 2.3% 2.2% 0.0% -1.8% -2.5% -2.8% -3.0% -4.6% % of UBI Retail 41% 20% 12% 9% 4% Sales o Boulder Canyon® growth in
Slide 17: Boulder Canyon Outperforming the Category in Natural and Traditional Channels
Boulder Canyon® Outperforming the Category in Natural and Traditional Channels o Brand’s better-for-you characteristics and bold taste profile are resonating with consumers 1Q’25 Retail Sales Growth o Boulder Canyon has the #1 selling Salty Snack SKU(1) in Circana MULO+ the Natural Channel over the
Slide 18: Continued Investment in New Product Innovation
Continued Investment in New Product Innovation Limited Edition Flavored Lemonade Tortilla Dipping Potato Chips Chips Café Chips o Leverages Company expertise in o New Lime & Sea Salt and Roasted o Blends a familiar sweet-tart tortilla chips and consumer desire Garlic & Mexican Herb flavors lemonade
Slide 19: Increased our 1Q'25 Marketing Investments +30% vs. prior year
Increased our 1Q’25 Marketing Investments +30% vs. prior year Launched new Investing in Experiences Social Media Campaign & Social Media Screenshot 2025-04-18 at 1.51.48 PM.png Zapp’s Superbowl #TeamUhtz and Mardi Gras #TeamOotz program #TeamYoutz Utz_Pronunciation-campaign_post3.mp4 Brand’s cult-li
Slide 20: Utz Household Penetration Growth is Outpacing the Category
Utz Household Penetration Growth is Outpacing the Category and at an All-time High; Holding Repeat Rate Even While Adding New Consumers Utz Household Penetration Utz Buyers (millions) Total Utz Buyer Repeat Rate 65 63.9 70 69.4% 69.4% 49.1% 62.0 50 47.9% 60 68 45 66 55 64 40 50 62 35 45 60 Latest 52
Slide 21: Financial Review
Financial Review Ajay Kataria Chief Financial Officer 21
Slide 22: 1Q'25 Financial Results Summary
1Q’25 Financial Results Summary 1Q’25 1Q’24 In $ millions, except per 13-weeks ended 13-weeks Ended YoY o Organic Net Sales +2.9% share amounts March 30, 2025 March 31, 2024 Change o +6.3% volume/mix and (3.4%) price Net Sales 352.1 346.5 +1.6% o Branded Salty Snacks Net Sales +4.9% Organic Net Sale
Slide 23: 1Q'25 Net Sales Bridge
1Q’25 Net Sales Bridge 1Q’25 Net Sales YoY Growth Decomposition o Volume/mix growth of +6.3% o Branded Salty Snacks volume/mix growth of +8.3% 6.3% led by Power Four Brands o Non-Branded & Non-Salty Snacks volume/mix change of (6.1%) primarily due to Partner Brands and Dips & Salsas -2.8% 2.9% o Pri
Slide 24: 1Q'25 Adjusted EBITDA Margin Bridge
1Q’25 Adjusted EBITDA Margin Bridge 1Q’25 Adjusted EBITDA Margin Change Decomposition o Continued Productivity savings across manufacturing and procurement o Pricing impact primarily due to bonus packs and focused trade promotions 3.7% (0.4%) (0.3%) 12.5% 0.4% (2.9%) (0.2%) 12.8% o Increased Marketi
Slide 25: Continued Investments in Supply Chain Across Manufacturing & Distribution
Continued Investments in Supply Chain Across Manufacturing & Distribution to Support Growth and Drive Productivity Rice Distribution Center New Kettle Line New Pretzel Line o Hanover, Pennsylvania o Kings Mountain, North Carolina o Hanover, Pennsylvania o Consolidates six warehouses o +35% more capa
Slide 26: On Track to Deliver $150M+ Productivity Savings in 2024-2026
On Track to Deliver $150M+ Productivity Savings in 2024-2026, $15M higher than Initial Investor Day target Productivity Delivered (1)(2)(3) 6% ~6% 4% 3% 2% 1% 2020 2021 2022 2023 2024 2025E (1) Represents cost savings realized during each 52-week or 53-week fiscal year as a percentage of prior fisca
Slide 27: Cash Flow and Balance Sheet Highlights
Cash Flow and Balance Sheet Highlights o Cash flow reflects pacing of net working capital Cash Flow Highlights 13-Weeks Ended March 30, 2025 (“NWC”) & capital investments Net Cash Used in Operations $20.2M Capital Expenditures $38.8M o Capital investments to support manufacturing plant automation an
Slide 28: Reaffirming Full Year 2025 Outlook
Reaffirming Full Year 2025 Outlook FY’25 Expected Growth vs. FY’24 Actual Results Key Assumptions Organic Net Sales Low-single digits Continued Branded Salty Snacks growth, particularly the Power Four Brands, and less decline in Non-Branded & Non-Salty Snacks Adjusted EBITDA +6% to +10% Strong Adj.
Slide 29: Closing
Closing Howard Friedman Chief Executive Officer 29
Slide 30: Executing Against our Initial December 2023 Investor Day Commitments
Executing Against our Initial December 2023 Investor Day Commitments in a Challenging Environment o Gaining volume share in both our Core and Expansion markets(1) o Expanding both Adj. Gross Margin and Adj. EBITDA Margin behind strong productivity programs and mix shift to Branded Salty Snacks o Exp
Slide 31: Appendix
) BOULDED Th GANYON ® Appendix
Slide 32: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 32
Slide 33: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 33
Slide 34: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 34
Slide 35: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 35
Slide 36: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures (1) Interest Income from IO loans refers to Interest Income that we earn from IO notes receivable that have resulted from our initiatives to transition from RSP distribution to IO distribution ("Business Transformation Init
Slide 37: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 37
Slide 38: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 38
Slide 39: Appendix Additional Reconciliations as Previously Disclosed
Appendix Additional Reconciliations as Previously Disclosed 39
Slide 40: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 40
Slide 41: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 41
Slide 42: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 42
Slide 43: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 43
Slide 44: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 44
Slide 45: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 45
Slide 46: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 46
Slide 47: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 47
Slide 48: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 48
Slide 49: Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures
Reconciliation of Non-GAAP Financial Measures to Reported Financial Measures See footnotes in Utz’s 1Q’25 earnings press release dated May 1, 2025 49