Saputo (SAP) Q4 2025 earnings summary

Executive summary

• Fiscal 2025 delivered revenue growth and stable adjusted EBITDA, with strong cash generation and transformation progress across all regions despite macroeconomic volatility and market pressures.

• Enhanced operational efficiency, disciplined cost control, and refined capital allocation supported consistent performance and margin stability.

• Accelerated share buybacks, with 4.8 million shares repurchased for $120 million in Q4 and additional $63 million post-quarter, supported by a strong balance sheet.

• Strategic focus on digital adoption, brand investment, and infrastructure set a solid foundation for FY26.

Financial highlights

• Q4 FY25 revenue was $4.753 billion, up 4.6% year-over-year; FY25 revenue reached $19.061 billion, up 9.9%.

• Q4 adjusted EBITDA was $376 million (down 0.8% YoY); FY25 adjusted EBITDA was $1.565 billion, up 3.7%.

• Q4 net earnings were $74 million (down 19.6% YoY); FY25 net loss was $176 million, mainly due to a $684 million UK impairment.

• Q4 adjusted net earnings were $128 million (down 17.9% YoY); FY25 adjusted net earnings were $619 million (down 5.4%).

• Cash from operations was $362 million in Q4 and $1.097 billion for FY25.

Outlook and guidance

• Confident in delivering growth in FY26, leveraging capital projects, commercial strategy, and demand for protein-rich products.

• Expect continued share buybacks, prudent capital allocation between capex, dividends, debt reduction, and repurchases.

• Margin expansion anticipated as duplicate costs fade and operational efficiencies are realized, especially post-Green Bay closure and with new facility ramp-ups.

• International sector to benefit from product mix optimization and cost reductions; Argentina expected to see improved milk availability and lower costs.

• FY26 capital expenditures planned at $360 million.