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 March 31, 2021 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: 001-37763 TURNING POINT BRANDS, INC. (Exact name of registrant as specified in its charter) Delawar ...

Turning Point Brands, Inc. (NYSE:TPB) Q1 2021 Results Earnings Conference Call April 27, 2021 10:00 AM ET Company Participants Louie Reformina - Chief Business Development Officer Larry Wexler - President, Chief Executive Officer, Director Graham Purdy - Chief Operating Officer Conference Call Participants Vivien Azer - Cowen Eric Des Lauriers - Craig-Hallum Greg Pendy - Sidoti Operator Good morning and welcome to the Turning Point Brands first quarter 2021 earnings conference call. All participants will be ...

m Point Brint Brint Brint TURNING POINT™ B R A S N D × INVESTOR PRESENTATION Q1 2021 | NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM | | N Y S E : T P B | 5 2 0 1 I N T E R C H A N G E W A Y , L O U I S V I L L E K Y | T U R N I N G P O I N T B R A N D S . C O M | FORWARD LOOKING STATEMENTS DisclaimerTurning Point Brands (NYSE: TPB) This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may generally be i ...

Company Overview - Turning Point Brands, Inc. operates in three segments: Zig-Zag Products, Stoker's Products, and NewGen Products, with a focus on branded consumer products in the alternative smoking accessories and Other Tobacco Products (OTP) industries [257]. - The company has a market share of 34.0% in cigarette papers and 63.0% in make-your-own (MYO) cigar wraps, ranking 1 overall in both categories [263]. - As of December 31, 2020, the company's products were available in approximately 190,000 U.S. retail locations, expanding its North American retail presence to an estimated 210,000 points of distribution [259]. Acquisitions and Investments - In June 2020, the company acquired certain tobacco assets from Durfort Holdings for $47.7 million, enhancing its product offerings in the alternative cigar and cigar wrap market [272]. - In October 2020, the company acquired a 20% stake in Wild Hempettes LLC for $2.5 million, with options to increase ownership based on milestones [275]. - The company made acquisitions totaling $39.4 million in 2020, compared to $7.7 million in 2019 [409]. Financial Performance - Total net sales for the year ended December 31, 2020, increased to $405.1 million, up 11.9% from $361.9 million in 2019 [303]. - Consolidated net income for the year ended December 31, 2020, was $33.0 million, up 139.9% from $13.8 million in 2019 [303]. - The company’s operating income for 2020 was $64.1 million, a substantial increase from $26.9 million in 2019 [405]. - Adjusted EBITDA for 2020 was $90.236 million, up from $67.337 million in 2019, representing a growth of 34% [340]. Segment Performance - Zig-Zag products segment net sales rose to $132.8 million, a 22.1% increase from $108.7 million in 2019, driven by a 19.7% volume increase [304]. - Stoker's products segment net sales increased to $115.9 million, up 16.0% from $99.9 million in 2019, with volume growth of 12.0% [306]. - NewGen products segment net sales grew to $156.4 million, a 2.0% increase from $153.4 million in 2019, primarily due to growth in Nu-X and vape distribution businesses [307]. Profitability Metrics - Gross profit for the year ended December 31, 2020, was $189.6 million, reflecting a 38.7% increase from $136.7 million in 2019 [303]. - Gross profit in the Zig-Zag Products segment rose to $78.2 million, an increase of 31.7% from $59.4 million in 2019, with gross profit as a percentage of net sales increasing to 58.9% [309]. - Gross profit in the Stoker's Products segment increased to $61.5 million, up 17.6% from $52.3 million in 2019, with gross profit as a percentage of net sales rising to 53.0% [310]. - NewGen products segment gross profit surged to $49.9 million, a 99.1% increase from $25.1 million in 2019, with gross profit as a percentage of net sales increasing to 31.9% [311]. Expenses and Liabilities - Selling, general, and administrative expenses increased to $125.6 million, a 14.3% rise from $109.9 million in 2019 [303]. - Interest expense, net, rose to $20.2 million, reflecting a 16.6% increase from $17.3 million in 2019 [303]. - Income tax expense increased significantly to $10.0 million, a 390.0% rise from $2.0 million in 2019 [303]. - Total liabilities increased to $358.5 million in 2020 from $340.0 million in 2019 [403]. Cash Flow and Capital Structure - Net cash provided by operating activities rose to $43.7 million in 2020, a 16% increase from $37.8 million in 2019 [347]. - Net cash used in investing activities was $64.8 million in 2020, a decrease of 508% compared to net cash provided of $15.9 million in 2019 [349]. - Long-term debt as of December 31, 2020, was $277.962 million, slightly up from $268.951 million in 2019 [353]. - The company had unrestricted cash on hand of $41.8 million as of December 31, 2020, down from $95.3 million in 2019 [345]. Market Presence and Growth Opportunities - The company has identified additional growth opportunities in the emerging alternatives market, establishing Nu-X as a subsidiary dedicated to alternative products [258]. - The company reported a significant increase in inventories, rising to $79.8 million in 2020 from $71.0 million in 2019 [403]. - The company’s products are available in over 210,000 retail outlets across North America, indicating a strong market presence [414]. Regulatory and Compliance Matters - The company submitted Premarket Tobacco Applications (PMTAs) for 250 products to the FDA prior to the September 9, 2020 deadline, covering a broad assortment of products in the vapor category [274]. - The Company has established an MSA escrow account as a means of compliance with the Master Settlement Agreement, which may not prevent future regulations from adversely affecting operations [448]. - Federal excise taxes on tobacco products could materially affect the Company's financial condition, although e-cigarettes and related products are not currently assessed federal excise taxes as of December 31, 2020 [455].

m Point Brint Brint Brint TURNING POINT™ B R A S N D × INVESTOR PRESENTATION Q4 2020 | NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM | | N Y S E : T P B | 5 2 0 1 I N T E R C H A N G E W A Y , L O U I S V I L L E K Y | T U R N I N G P O I N T B R A N D S . C O M | FORWARD LOOKING STATEMENTS DisclaimerTurning Point Brands (NYSE: TPB) This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may generally be i ...

Financial Data and Key Metrics Changes - In Q4 2020, revenue increased by 31% to $105 million, and adjusted EBITDA rose by 81% to $26 million compared to Q4 2019 [9][11] - Full-year revenue reached $405 million, up 12% from the previous year, with full-year EBITDA of $90 million at the high end of guidance [10][11] - Adjusted EBITDA for Q4 was up 81% to $25.8 million, with incremental margins of 46% for the quarter and 53% for the year [48][49] Business Line Data and Key Metrics Changes - Zig-Zag Products segment saw net sales increase by 47% to $40.5 million, driven by strong growth in US rolling papers and MYO cigar wraps [41] - Stoker's Products net sales increased by 15.2% to $28.8 million, with MST portfolio growing by 25% [45] - NewGen segment net sales increased by 30% to $36 million, with gross profit of $11.8 million and a gross margin of 32.7% [47] Market Data and Key Metrics Changes - Zig-Zag Papers strengthened its market position, increasing its share by 1.9 points year-over-year to 36.7% [25] - Stoker's moist snuff market share grew to 5.5%, up over 1 full share point compared to the previous year [31] - E-commerce accounted for double digits of US paper sales during the quarter, indicating a significant growth driver [30] Company Strategy and Development Direction - The company rebranded its core segments to better align with its positioning as a branded consumer products company [13] - Focus on expanding e-commerce and alternative distribution channels, particularly for Zig-Zag products [39] - Plans to pursue acquisitions to enhance growth, with a strong liquidity position following a $250 million senior secured notes issuance [22][56] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the business momentum heading into 2021, expecting continued growth in core segments [23][60] - The company anticipates double-digit sales growth for Zig-Zag and high single-digit growth for Stoker's in 2021 [51][53] - Management highlighted the importance of FDA enforcement actions and the potential impact on the NewGen segment [21][55] Other Important Information - The company expects to adopt new convertible accounting standards, which will affect interest expense reporting [57] - Management noted the challenges faced during the COVID-19 pandemic but emphasized the workforce's commitment to servicing customers [12] Q&A Session Summary Question: Update on FDA dialogue regarding PMTA - Management noted progress with the FDA and expects movement in the upcoming quarter, looking forward to executing in the marketplace [64][65] Question: Pricing environment for Smokeless products - Management observed accelerated price increases in the Smokeless category and expects this trend to continue through 2021 [67] Question: Thoughts on cannabinoid products - Management is focused on CBD but is waiting for FDA clarity before making significant moves; they have invested in THC-related accessories but cannot touch flower directly [70][71] Question: Drivers of gross margin growth for segments - Management indicated that margins for Zig-Zag and Stoker's will continue to improve, with expectations for Zig-Zag margins to remain above 60% [74] Question: Future market share for Stoker's - Management is optimistic about Stoker's growth, driven by same-store sales and a significant distribution opportunity [78] Question: Growth potential in alternative channels for Zig-Zag - Management highlighted significant underrepresentation in alternative channels, estimating potential volume could be 30% to 40% of the overall market [85] Question: M&A strategy and focus areas - Management is focused on expanding the Zig-Zag portfolio and is open to attractive opportunities in the cannabis sector, particularly cash-flowing assets [89]

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 September 30, 2020 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: 001-37763 TURNING POINT BRANDS, INC. (Exact name of registrant as specified in its charter) (St ...

Financial Data and Key Metrics Changes - The company reported $104 million in revenue and $24 million in EBITDA for Q3 2020, exceeding expectations [7][48] - Adjusted EBITDA for the quarter was $23.9 million, compared to $18.8 million in the prior year, achieving 70% incremental margins [48] - The company raised its 2020 guidance for total net sales to $395 million to $401 million, up from previous guidance of $370 million to $382 million [50] Business Line Data and Key Metrics Changes - Smokeless segment net sales increased 13.7% to $29.8 million, with MST portfolio sales growing 16.3% [39] - Smoking segment net sales increased 19% to $36 million, driven by strong growth in U.S. rolling papers and MYO cigar wraps [42] - NewGen segment net sales decreased 4.8% to $38.4 million, with flat performance in vape distribution [46] Market Data and Key Metrics Changes - Stoker's Moist Snuff market share increased by 60 basis points to 5.1% [22] - Zig-Zag papers increased their market share by 4.2 percentage points year-over-year to 35.3% [25] - The smokable hemp market is projected to grow from $70 million to $80 million in 2020 to a range of $300 million to $400 million by 2025 [14] Company Strategy and Development Direction - The company is focusing on strategic acquisitions and investments in growing markets, including a $15 million investment in dosist and a partnership with WildHemp [15][18] - The company aims to leverage its regulatory expertise to navigate the PMTA process and expects significant upside as the market consolidates [12][36] - The company is committed to expanding its product pipeline and enhancing its brand presence in the cannabis and CBD markets [16][19] Management's Comments on Operating Environment and Future Outlook - Management noted that the company successfully navigated a volatile selling environment and saw positive trends across all product lines [7] - The company anticipates near-term volatility due to the PMTA process but remains optimistic about long-term growth opportunities [31][36] - Management expressed confidence in the company's ability to capitalize on increased cannabis consumption as legalization spreads [30] Other Important Information - The company ended the quarter with $67 million in cash and $114 million in available liquidity, indicating strong financial health [51] - The company has implemented cost-cutting measures that have contributed to improved margins and operating leverage [49] Q&A Session Summary Question: What was the impact of distribution gains on volume sales in the Smoking segment? - Management indicated that there was about $3 million to $5 million from wraps, offsetting inventory reductions in the second quarter [60] Question: How is the company preparing for potential consumer behavior changes due to economic pressures? - Management stated that they are positioned to benefit from down trading trends and are preparing new product initiatives to capture market share [65] Question: What is the plan for distribution of dosist products? - The focus will initially be on the THC-free segment, with potential for future cannabis product distribution depending on legalization [74] Question: When is the PMTA-related inventory liquidation expected to normalize? - Management expects inventory liquidation to continue through the end of the year and into the first quarter of 2021, with a catalyst being the FDA's enforcement of product approvals [75] Question: What is the expected impact of recent investments on the company's financials? - Management indicated that dosist will be accounted for as a non-controlling investment, while WildHemp is expected to contribute significantly to sales and gross margins [83]

m Point Brint Brint Brint TURNING POINT™ B R S A N D × INVESTOR PRESENTATION Q3 2020 NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM Disclaimer FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may generally be identified by the use of words such as "anticipate," "believe," "expect," "intend," "plan" and "will" or, in each case, their negative, or other variations or comparab ...

m Point Brint Brint Brint TURNING POINT™ B R A N D × ๊INVESTOR PRESENTATION Q2 2020 NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM Disclaimer FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may generally be identified by the use of words such as "anticipate," "believe," "expect," "intend," "plan" and "will" or, in each case, their negative, or other variations or comparabl ...