UTZ Brands (UTZ) investor relations material

Executive summary

• Entered into a definitive agreement to be acquired by Intersnack Group for $14.25 per share, a 91% premium, with closing expected in Q4 2026.

• Net sales increased 1.4% year-over-year to $371.8M for the quarter and 2.0% to $733.1M for the half-year, driven by higher net price realization offset by lower volume/mix.

• Adjusted EBITDA rose 14.4% to $55.7M for the quarter and $103.6M for the half-year, up from $48.7M and $93.8M year-over-year.

• Net loss attributable to controlling interest was $10.1M for the quarter and $11.8M for the half-year, compared to net income of $10.5M and $18.0M in the prior year periods; reported EBITDA fell 55.5% due to non-recurring items.

• Adjusted net income increased 14.8% to $27.1M; adjusted EPS up 11.8% to $0.19.

Financial highlights

• Branded Salty Snacks net sales grew 3.3% for the quarter and 4.2% for the half-year, while Non-Branded & Non-Salty Snacks declined 12.1% and 13.3%, respectively.

• Gross profit margin decreased 10bps to 25.9%, but adjusted gross profit margin expanded 150bps to 33.2%.

• Selling, general, and administrative expenses increased 15.1% for the quarter and 12.9% for the half-year, mainly due to higher marketing and expansion costs.

• Interest expense was $10.7M for the quarter and $21.1M for the half-year, with a weighted average interest rate of 6.4%.

• Cash flow from operations was $11.7M; adjusted free cash flow improved to $(0.7)M.

Outlook and guidance

• No outlook for 2026 provided due to pending acquisition; no conference call will be held for Q2 and YTD results.

• Transaction with Intersnack Group expected to close in Q4 2026, subject to regulatory and stockholder approvals.