Winpak (WPK) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue rose 3.4% year-over-year to $285.1M; full-year revenue declined 0.9% to $1,130.9M.

• Net income attributable to equity holders increased 5.1% in Q4 to $36.6M; full-year net income up 0.9% to $149.5M.

• Gross profit margins improved to 32.3% in Q4 and 32.0% for the year, driven by raw material cost savings.

• Share buybacks and increased dividends, including a special dividend, highlighted capital returns.

Financial highlights

• Q4 EPS was 58 cents, up from 54 cents in Q4 2023; full-year EPS reached 235 cents, up from 228 cents.

• EBITDA for Q4 was $62.2M, up from $53.6M; full-year EBITDA reached $240.8M, up from $228.5M.

• Cash and cash equivalents ended the year at $497.3M, down $44.6M from 2023.

• Operating cash flow before working capital changes was $236.8M for the year.

• Capital expenditures totaled $123.3M, mainly for Winnipeg facility expansion.

Outlook and guidance

• Projected 2025 sales volume growth of 5–7%, targeting pet food, in-mold-label, dairy, and healthcare markets.

• Gross profit margins expected in the 31–32% range for 2025.

• Capital expenditures forecast at $110–$130M, focused on Winnipeg facility expansion.

• Monitoring potential North American trade measures and labor negotiations as key uncertainties.