John B Sanfilippo & Son (JBSS) 15th Annual Midwest IDEAS Investor Conference summary

Business overview and strategic direction

• Achieved $1.07 billion in net sales for FY 2024, with a major acquisition expanding into snack bars.

• Operates across consumer, commercial ingredients, contract manufacturing, and export channels, with a strategic shift toward higher-margin consumer products.

• Vertically integrated in pecans, walnuts, and peanuts, sourcing directly from growers.

• Family-run for four generations, emphasizing long-term growth and stability.

• Three strategic growth pillars: expand consumer reach, create value with key customers, and grow brands.

Financial performance and shareholder returns

• Volume (pounds sold) grew at a 3.7% CAGR over 10 years; diluted EPS at 8.1% CAGR; stock price at 15.8% CAGR.

• EBITDA has trended upward, reaching around $100 million annually in recent years.

• Regular dividends have increased annually since 2017, reaching $0.85 per share in 2024, with special dividends paid in some years.

• CapEx investments average $20 million annually, with $28.3 million in FY 2024, focused on efficiency and capacity.

• Maintains a strong balance sheet with low leverage and increasing net working capital.

Product and channel evolution

• Snack and trail mixes have grown from 10-12% to a major business segment over 10 years.

• Recent acquisition of a 300,000 sq ft facility in Lakeville, MN, added five production lines and $120 million in sales in FY 2024.

• Consumer channel net sales rose 11% to $872 million in FY 2024, driven by the acquisition and e-commerce growth.

• E-commerce strategy focuses on partnerships with major retailers' online platforms.

• Shifting away from lower-margin industrial and contract manufacturing channels to value-added consumer products.