THS Reports Preliminary Q1 Results, Keeps FY25 View Amid Economic Woes

Core Viewpoint - TreeHouse Foods, Inc. is implementing internal restructuring actions to enhance operational efficiency while reaffirming its financial outlook for fiscal 2025, projecting adjusted net sales between $3.34 billion and $3.40 billion, and adjusted EBITDA from continuing operations ranging from $345 million to $375 million [1][2]. Financial Projections - The company expects adjusted net sales for the first quarter of fiscal 2025 to reach at least $792 million, with adjusted EBITDA projected at a minimum of $52 million [2]. - The financial guidance for fiscal 2025 includes a partial-year benefit from recent cost-saving measures, with full impact expected to be realized gradually through fiscal years 2025 and 2026 [2]. Organizational Changes - TreeHouse Foods is reorganizing its internal operations, eliminating about 150 corporate roles and removing a key leadership position to streamline operations [5][6]. - The exit of Executive Vice President Scott Tassani by the end of May will not be followed by refilling his position, aiming to reduce overhead costs and accelerate decision-making processes [5][6]. Market Conditions - The company is monitoring global trade conditions and tariff uncertainties, which could impact its business, noting that approximately 5% of its net sales in 2024 came from international markets, primarily Canada [3][6]. - Almost all finished goods currently comply with USMCA, indicating a focus on regulatory compliance in trade [3]. Performance Context - TreeHouse Foods' shares have decreased by 35.2% over the past three months, contrasting with the industry's growth of 3% [8].