Rogers Sugar (RSI) investor relations material

Executive summary

• Delivered strong Q1 2026 results with consolidated Adjusted EBITDA of $47 million, up 18% year-over-year, and Adjusted Net Earnings of $25 million, up 27% year-over-year, driven by strong Sugar segment performance and stable Maple segment results.

• Free cash flow for the trailing 12 months reached $89.3 million, a 4% increase from last year, supporting ongoing investments and shareholder returns.

• Largest publicly traded Canadian sweetener producer, benefiting from North American sugar demand and global maple product appeal.

• Maintained quarterly dividend of $0.09 per share.

• The LEAP Project, aimed at expanding sugar refining and logistics capacity, progressed as planned with $21.1 million invested in Q1 and total project costs expected between $280–$300 million.

Financial highlights

• Q1 2026 revenues were $298.2 million, down from $331.3 million year-over-year, mainly due to lower sugar prices and volumes.

• Adjusted Net Earnings per share rose to $0.19 from $0.15 year-over-year, driven by a favorable $7 million variance in Adjusted EBITDA.

• Adjusted Gross Margin per ton in the sugar segment increased to $304, up $79 from last year, supported by non-recurring procurement and freight items.

• Maple segment revenues grew 8% to $72 million, with Adjusted EBITDA at $5.8 million and gross margin percentage at 10.6%.

• Sugar sales volume fell 11% to 175,000 metric tonnes, while Maple volume grew 7% to 14.4 million pounds.

Outlook and guidance

• Sugar sales volume forecast for 2026 is around 750,000 metric tons, a 4% decline from 2025, mainly due to lower margin export sales.

• Domestic sugar demand expected to remain stable; maple sales volumes projected to rise 5% to 56 million pounds, driven by global demand.

• Production and maintenance costs, as well as distribution and admin expenses, are expected to edge higher due to market and wage increases.

• CapEx of approximately $27 million planned for core businesses in 2026, excluding LEAP project spending.

• LEAP Project construction to advance significantly in 2026, with $116 million in planned expenditures.