Post Holdings (POST) Q4 2024 earnings summary

Executive summary

• Achieved strong Q4 and full-year results, with Adjusted EBITDA up 45% over two years and 13.8% year-over-year, driven by organic growth and pet acquisitions.

• Generated approximately $1 billion in free cash flow over two years, with FY24 free cash flow at $502.2 million and pricing catching up to input costs.

• Reduced net leverage by more than a full turn over two years, with significant refinancing extending maturities and increasing liquidity.

• Recent acquisitions include Smucker's pet food business, Perfection Pet Foods, and Deeside Cereals, integrated into respective segments.

• Matt Mainer was promoted to Executive Vice President, CFO and Treasurer, effective November 13, 2024.

Financial highlights

• Q4 consolidated net sales were $2.01 billion, up 3.3% year-over-year, with gross profit margin at 28.6%.

• Q4 Adjusted EBITDA was $349 million; fiscal year Adjusted EBITDA was $1,403.6 million, up 13.8% year-over-year.

• Fiscal year net earnings increased 21.7% to $366.7 million; diluted EPS was $5.64, up from $4.82.

• Repurchased 3 million shares in FY24 at an average price of $102 per share, totaling $300.8 million.

• Capital expenditures totaled $429.5 million in 2024.

Outlook and guidance

• FY25 Adjusted EBITDA expected in the range of $1.41–$1.46 billion, with balanced quarterly cadence and segment variations.

• CapEx guidance for FY25 is $380–$420 million, focused on network optimization, pet food safety, and facility expansions.

• Expecting a more normalized operating environment in FY25, with inflation leveling but not receding and consumer volumes under pressure.