[First Quarter 2024 Performance](index=1&type=section&id=First%20Quarter%202024%20Performance) McCormick reported a strong start to 2024 with sales growth, improved operating income, and increased cash flow, driven by strategic investments and pricing actions [Overview & CEO Remarks](index=1&type=section&id=Overview%20%26%20CEO%20Remarks) McCormick's CEO highlighted strong Q1 results, reflecting successful prioritized investments, sequential volume improvements, and confidence in achieving 2024 outlook and long-term goals - The CEO stated that the strong Q1 performance reflects the early success of prioritized investments, leading to sequential improvement in volumes across segments[4](index=4&type=chunk) Q1 2024 Key Performance Indicators (YoY, in millions, except per share data) | Metric | Q1 2024 | Q1 2023 | Change | | :--- | :--- | :--- | :--- | | Sales | - | - | +3% (+2% constant currency) | | Operating Income | $234M | $199M | +17.6% | | Adjusted Operating Income | $238M | $227M | +5% | | Diluted EPS | $0.62 | $0.52 | +19.2% | | Adjusted Diluted EPS | $0.63 | $0.59 | +7% | | Cash Flow from Operations | $138M | $103M | +34.0% | - The company is prioritizing investments in key categories and growth levers, including brand marketing, new products, and proprietary technology, while using cost savings programs (CCI & GOE) to fuel these investments and expand margins[6](index=6&type=chunk) [Consolidated Financial Results](index=2&type=section&id=Consolidated%20Financial%20Results) Q1 2024 sales grew 3% from pricing, with gross profit margin expanding 140 basis points, leading to significant operating income and EPS growth - Q1 sales growth of **3%** was driven by a **3%** increase from pricing actions, partially offset by a **1%** volume and mix decline from strategic decisions to exit low-margin business and divest a canning business. Underlying volume and product mix was flat YoY[8](index=8&type=chunk) - Gross profit margin expanded by **140 basis points**, driven by favorable product mix, cost savings from CCI and GOE programs, and pricing actions, which were partially offset by cost inflation[9](index=9&type=chunk) - Adjusted earnings per share increased to **$0.63** from **$0.59**, driven by higher adjusted operating income and higher income from unconsolidated operations, notably from McCormick de Mexico[11](index=11&type=chunk) - Net cash from operating activities increased to **$138 million** from **$103 million** in the prior year, mainly due to higher operating income and working capital improvements[12](index=12&type=chunk) [Fiscal Year 2024 Financial Outlook](index=3&type=section&id=Fiscal%20Year%202024%20Financial%20Outlook) McCormick reaffirmed its FY2024 guidance, projecting sales from -2% to 0%, adjusted operating income growth of 3-5%, and adjusted EPS of $2.80-$2.85 FY 2024 Financial Outlook | Metric | Reported Growth | Constant Currency Growth | | :--- | :--- | :--- | | **Net Sales** | (2)% to 0% | (1)% to 1% | | **Adjusted Operating Income** | 3% to 5% | 4% to 6% | | **Adjusted EPS** | 4% to 6% | 5% to 7% | - The company expects to improve volume trends as the year progresses and return to volume growth, absent new macroeconomic headwinds. Strategic decisions from 2023 to exit low-margin business will impact 2024 volume growth[14](index=14&type=chunk) FY 2024 Earnings Per Share (EPS) Outlook (in $) | Metric | 2024 Projection | 2023 Actual | | :--- | :--- | :--- | | **Diluted EPS** | $2.76 to $2.81 | $2.52 | | **Adjusted Diluted EPS** | $2.80 to $2.85 | $2.70 | - The company anticipates returning a significant portion of its expected strong cash flow to shareholders through dividends[16](index=16&type=chunk) [Business Segment Results](index=3&type=section&id=Business%20Segment%20Results) This section details the first-quarter performance of McCormick's Consumer and Flavor Solutions segments, highlighting regional sales trends and key drivers [Consumer Segment](index=3&type=section&id=Consumer%20Segment) Consumer segment sales grew 1% from pricing, offset by volume declines from strategic exits, with adjusted operating income up 2% due to pricing and cost savings Consumer Segment Q1 Financials (in millions) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net Sales | $921.5 | $909.5 | | Adjusted Operating Income | $176.3 | $173.4 | - Sales increased **1%** (**0.7% constant currency**), reflecting a **3%** increase from pricing actions offset by a **2%** volume decline. The volume decline includes a **1%** impact from discontinuing low-margin business[18](index=18&type=chunk) - Adjusted operating income rose **2%**, as pricing actions, cost savings, and lower distribution costs were partially offset by lower volume and higher brand marketing investments[19](index=19&type=chunk) [Consumer Segment by Region](index=4&type=section&id=Consumer%20Segment%20by%20Region) Regional performance varied, with Americas sales flat, EMEA growing 13% from broad-based volume, and APAC sales declining 7% due to slower China demand - **Americas:** Sales were comparable to Q1 2023, as pricing actions were offset by a **3%** volume decline, partly due to business discontinuation and weakness in prepared food categories[21](index=21&type=chunk) - **EMEA:** Sales grew **13%** (**8% constant currency**), driven by a **5%** increase from pricing and a **3%** increase from volume and product mix[21](index=21&type=chunk) - **APAC:** Sales decreased **7%** (**5% constant currency**), driven by a **6%** volume decline related to the macroeconomic environment in China[21](index=21&type=chunk) [Flavor Solutions Segment](index=4&type=section&id=Flavor%20Solutions%20Segment) Flavor Solutions sales increased 4% from pricing and volume, with adjusted operating income growing 15% due to higher sales, favorable mix, and cost savings Flavor Solutions Segment Q1 Financials (in millions) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net Sales | $681.2 | $656.0 | | Adjusted Operating Income | $61.4 | $53.4 | - Sales increased **4%** (**2.5% constant currency**), reflecting a **2%** increase from pricing and a **1%** increase from volume, partially offset by strategic business exits[20](index=20&type=chunk) - Adjusted operating income grew **15%** (**14% constant currency**), driven by pricing, higher volume, favorable product mix, and cost savings[22](index=22&type=chunk) [Flavor Solutions Segment by Region](index=4&type=section&id=Flavor%20Solutions%20Segment%20by%20Region) Americas led Flavor Solutions growth with 5% sales increase, EMEA sales declined 1% constant currency, and APAC sales rose 5% constant currency - **Americas:** Sales rose **5%** (**3% constant currency**), with a **2%** increase from pricing and **1%** growth in volume, driven by flavors and branded foodservice[20](index=20&type=chunk) - **EMEA:** Sales grew **2%** but decreased **1% constant currency**, including a **3%** decline from the canning divestiture. Pricing actions of **4%** were offset by a **2%** volume decline[27](index=27&type=chunk) - **APAC:** Sales increased **2%** (**5% constant currency**), reflecting a **4%** increase from pricing and **1%** growth in volume[27](index=27&type=chunk) [Non-GAAP Financial Measures & Reconciliations](index=5&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliations) This section details the company's use of non-GAAP measures, such as adjusted operating income and EPS, and constant currency results, to enhance comparability and show underlying performance - The company uses non-GAAP measures (e.g., adjusted operating income, adjusted net income, adjusted EPS) that exclude special charges. This is done to provide additional information for enhanced comparison to prior periods and is used by management to measure ongoing operational profitability[23](index=23&type=chunk)[25](index=25&type=chunk) Reconciliation of Q1 GAAP to Non-GAAP Operating Income (in millions) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Operating Income (GAAP) | $233.5 | $199.0 | | Impact of special charges | $4.2 | $27.8 | | Adjusted Operating Income (Non-GAAP) | $237.7 | $226.8 | Reconciliation of Q1 GAAP to Non-GAAP Diluted EPS (in $) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Diluted EPS (GAAP) | $0.62 | $0.52 | | Impact of special charges | $0.01 | $0.07 | | Adjusted Diluted EPS (Non-GAAP) | $0.63 | $0.59 | - Constant currency figures are presented to exclude the impact of foreign currency exchange rate fluctuations, providing additional insight into the underlying performance of operations outside the U.S.[30](index=30&type=chunk) [Financial Statements](index=11&type=section&id=Financial%20Statements) This section presents McCormick's consolidated financial statements, including the income statement, balance sheet, and cash flow statement, for the first quarter of 2024 [Consolidated Income Statement](index=11&type=section&id=Consolidated%20Income%20Statement) Q1 2024 net sales reached **$1.60 billion**, with gross profit at **$599.3 million** and net income at **$166.0 million**, or **$0.62** per diluted share Q1 Consolidated Income Statement Highlights (in millions, except per-share data) | Metric | Q1 2024 | Q1 2023 | | :--- | :--- | :--- | | Net Sales | $1,602.7 | $1,565.5 | | Gross Profit | $599.3 | $562.9 | | Operating Income | $233.5 | $199.0 | | Net Income | $166.0 | $139.1 | | Earnings Per Share - Diluted | $0.62 | $0.52 | [Consolidated Balance Sheet](index=12&type=section&id=Consolidated%20Balance%20Sheet) As of Feb 29, 2024, total assets were **$12.89 billion**, liabilities decreased to **$7.63 billion**, and shareholders' equity increased to **$5.26 billion** Consolidated Balance Sheet Highlights (in millions) | Metric | Feb 29, 2024 | Nov 30, 2023 | | :--- | :--- | :--- | | Total Current Assets | $2,020.2 | $2,001.6 | | Total Assets | $12,890.1 | $12,862.3 | | Total Current Liabilities | $2,973.8 | $3,098.9 | | Long-Term Debt | $3,329.1 | $3,339.9 | | Total Liabilities | $7,632.7 | $7,778.8 | | Total Shareholders' Equity | $5,257.4 | $5,083.5 | [Consolidated Cash Flow Statement](index=13&type=section&id=Consolidated%20Cash%20Flow%20Statement) Q1 2024 net cash from operating activities improved to **$138.4 million**, with stable investing activities and increased financing cash outflow due to dividends Q1 Consolidated Cash Flow Highlights (in millions) | Metric | Three Months Ended Feb 29, 2024 | Three Months Ended Feb 28, 2023 | | :--- | :--- | :--- | | Net Cash Provided by Operating Activities | $138.4 | $103.4 | | Net Cash Used in Investing Activities | ($61.8) | ($61.5) | | Net Cash Used in Financing Activities | ($67.7) | ($44.7) | | Increase in Cash and Cash Equivalents | $11.4 | $22.8 |

McCormick & Company, Incorporated (NYSE:MKC) Q4 2023 Earnings Conference Call January 25, 2024 8:00 AM ET Company Participants Faten Freiha - VP of IR Brendan Foley - President and CEO Mike Smith - EVP and CFO Conference Call Participants Andrew Lazar - Barclays Ken Goldman - JPMorgan Alexia Howard - Bernstein Max Gumport - BNP Paribas Steve Powers - Deutsche Bank Adam Samuelson - Goldman Sachs Matt Smith - Stifel Robert Moskow - TD Cowen Rob Dickerson - Jefferies Faten Freiha Good morning. This is Faten Fr ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended November 30, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-14920 McCORMICK & COMPANY, INCORPORATED (Exact name of registrant as specified in its charter) | | Maryland | | 52-0408290 | | --- | ...

McCormick & Company, Incorporated (NYSE:MKC) Q3 2023 Earnings Conference Call October 3, 2023 8:00 AM ET Company Participants Faten Freiha - Vice President of Investor Relations Brendan Foley - President and Chief Executive Officer Mike Smith - Executive Vice President and Chief Financial Officer Conference Call Participants Andrew Lazar - Barclays Alexia Howard - Bernstein Max Gumport - BNP Paribas Adam Samuelson - Goldman Sachs Steve Powers - Deutsche Bank Matt Smith - Stifel Robert Moskow - TD Cowen Rob ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended August 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-14920 McCORMICK & COMPANY, INCORPORATED (Exact name of registrant as specified in its charter) Maryland 52-0408290 (State or ot ...

Financial Data and Key Metrics Changes - In the second quarter, the company achieved 8% sales growth or 10% in constant currency, with an 11% contribution from pricing and a 1% decline in volume and product mix [43][44] - Adjusted operating income increased by 35% year-over-year, leading to a 25% increase in adjusted earnings per share [46][143] - The gross margin is projected to improve by 50 to 100 basis points compared to 2022, reflecting favorable pricing impacts and cost savings [5][39] Business Line Data and Key Metrics Changes - The Consumer segment saw a 7% increase in constant currency sales, driven by a 9% increase from pricing actions, partially offset by a 2% volume decline [2][43] - Flavor Solutions segment reported a 13% increase in constant currency sales, with a 14% increase from pricing actions, despite a 1% volume decline [140] - The Americas Consumer segment's exit from the Direct Store Delivery (DSD) business impacted volume, but overall performance showed sequential improvement [12][44] Market Data and Key Metrics Changes - In the Americas, total U.S. branded portfolio consumption grew 7%, with strong performance in spices and seasonings [126] - EMEA region experienced its strongest quarterly sales performance in two years, with double-digit growth driven by effective pricing [134] - The Asia Pacific region saw Flavor Solutions sales grow 22% in constant currency, benefiting from a 13% volume increase in China [141] Company Strategy and Development Direction - The company aims to balance cash usage by funding growth investments, returning capital to shareholders, and paying down debt [4] - A focus on brand marketing and innovation is expected to drive growth, particularly in the grilling season with new product launches [132][145] - The company is committed to optimizing its cost structure and improving margins through its Global Operating Effectiveness (GOE) program [74][75] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in strong demand and a positive growth trajectory for the second half of the year, despite some pressures in the consumer market [41][42] - The recovery in China is expected to continue, although at a slower pace than initially anticipated [30][109] - Management noted that while private label products have gained market share, consumers still prefer branded products, indicating a focus on value [113][119] Other Important Information - The company is experiencing a transition in leadership, with Brendan Foley set to become the next CEO [64][65] - The company is actively managing inventory levels and has resolved previous supply issues, positioning itself for growth in the second half of the year [75][146] Q&A Session Summary Question: How is the company addressing customer inventory levels? - Management indicated that there is no significant trade inventory destocking and that the difference between sales and consumption is normalizing [15][48] Question: What is the outlook for the grilling season? - The company is optimistic about the grilling season, with strong innovation and promotional activities planned [20][132] Question: How does the company view the competitive landscape regarding private label products? - Management acknowledged some trade down to private label but emphasized that consumers still prefer brands, and the company is focusing on value [113][119]

The following slides accompany a June 29, 2023, earnings release conference call. This information should be read in conjunction with the press release issued on that date. ADD COLA Lawrence Kurzius Chairman and Chief Executive Officer | --- | --- | |-------------------------------------------------------------------|-------| | | | | Delivered double-digit constant currency sales growth | | | Drove meaningful year-over-year margin expansion | | | Achieved GOE cost savings in line with expectations | | | | | ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended May 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-14920 McCORMICK & COMPANY, INCORPORATED (Exact name of registrant as specified in its charter) Maryland 52-0408290 (State or other ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended February 28, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-14920 McCORMICK & COMPANY, INCORPORATED (Exact name of registrant as specified in its charter) Maryland 52-0408290 (State or ...

4th QUARTER 2022 Financial Results and Outlook McCORMICK & COMPANY, INC. JANUARY 26, 2023 FORWARD-LOOKING INFORMATION These and other forward-looking statements are based on management's current views and assumptions and involve risks and uncertainties that could significantly affect expected results. Results may be materially affected by factors such as: the company's ability to drive revenue growth; the company's ability to increase pricing to offset, or partially offset, inflationary pressures on the cos ...