Jamieson Wellness (JWEL) investor relations material

Executive summary

• Q2 revenue grew 7.7% to $199.1M, led by 13.8% branded segment growth and strong gains in China (up 70.8%–73%) and the U.S., driven by innovation and marketing campaigns.

• Adjusted EBITDA increased 11.2% to $35.1M, with margin up to 17.6%; adjusted diluted EPS rose 14.3% to $0.40.

• Strategic Partners segment revenue declined 24.9% to $21.8M due to order timing and tariff-related delays, with recovery expected in Q4.

• Successful digital and influencer campaigns, especially the 6/18 event in China, and new product launches fueled growth across all key markets.

• International markets saw momentum from new launches and health campaigns.

Financial highlights

• Gross profit margin improved to 40.6% (up 540 bps year-over-year); gross profit increased by $15.8M to $80.8M.

• Adjusted EBITDA grew to $35.1M; adjusted net earnings reached $17.3M, up 17.8% year-over-year.

• Net earnings for Q2 were $13.8M, up 66.3% from Q2 2024.

• Cash from operations before working capital was $18.8M; cash from operations increased to $11.4M from $6.9M year-over-year.

• Simple free cash flow conversion remained above 90% for the quarter.

Outlook and guidance

• FY2025 consolidated revenue guidance set at $800M–$840M (9.0%–14.5% growth); adjusted EBITDA expected at $157M–$163M (11.0%–15.5% growth).

• Jamieson Brands revenue guidance raised to $695M–$725M (10.5%–15.3% growth), with China revenue growth now 30%–40%.

• Strategic Partners revenue guidance lowered to $105M–$116M due to delayed launches; Q3 consolidated revenue guided at $182M–$192M.

• Adjusted diluted EPS forecasted at $1.79–$1.90 (11%–18% growth), reflecting higher interest expense and working capital needs.

• China and international segments expected to grow 30%–40% and 20%–30% respectively in 2025.