Lassonde Industries (LAS-A) investor relations material

Executive summary

• Achieved 8.3% sales growth to $724 million in Q3 2025, with all business units contributing and strong gains from the Summer Garden acquisition.

• Operating profit rose nearly 23% year-over-year, driven by effective pricing, improved private label mix, and operational improvements.

• Adjusted EBITDA increased 24.7% to $86.4 million, and adjusted EPS reached $5.84, up from $4.53.

• Integration of Summer Garden and ramp-up of new production assets in North Carolina supported operational improvements and cost structure.

• Construction of the New Jersey plant is on schedule, supporting network expansion and future growth.

Financial highlights

• Q3 2025 sales: $723.9M (+8.3% YoY); gross profit: $197.6M (27.3% margin, +9.9% YoY); operating profit: $57.9M (+22.7% YoY).

• Adjusted EBITDA: $86.4M (+24.7% YoY, 11.9% margin); adjusted EPS: $5.84 (up 28.9%); profit attributable to shareholders: $39.8M (+28.8% YoY).

• Summer Garden contributed $48.1M in sales; EBITDA margin at 16% for Q3 and 21% for nine months.

• Operating cash flow was $117.8M, up from $87M, driven by higher EBITDA and working capital improvements.

• CapEx reached $35.4M in Q3 and is expected up to 7% of sales for the full year.

Outlook and guidance

• Full-year 2025 sales expected to increase slightly above 10%, excluding currency, with continued contribution from Summer Garden and new marketing initiatives.

• Priorities include private label volume build-back in the U.S., innovation in Canada, and food service expansion.

• Capital expenditures for 2025 estimated up to 7% of sales, funded mainly by operating cash flows.

• Leverage ratio anticipated to remain near the lower end of 2.0-2.5x through 2026.

• Effective tax rate projected at 24.5% for 2025.