Core Insights - Maple Leaf Foods reported a total company sales increase of 8.0% to $1,356.3 million for the third quarter of 2025, with adjusted EBITDA growing by 21.7% to $171.4 million [2][10][21] Financial Performance - Total company sales for the third quarter were $1,356.3 million, up from $1,255.5 million in the same period last year, reflecting an 8.0% increase [10][13] - Adjusted EBITDA for the third quarter reached $171.4 million, a 21.7% increase from $140.8 million in the previous year, with an adjusted EBITDA margin rising from 11.2% to 12.6% [10][21] - Earnings for the third quarter were $43.1 million ($0.35 per basic share), compared to $17.7 million ($0.14 per basic share) last year, marking a significant improvement [10][18] Segment Performance - Sales in the Prepared Foods segment increased by 4.4%, while Poultry sales rose by 15.7%, and Pork sales grew by 10.4% [10][13] - Year-to-date sales for 2025 reached $3,959.8 million, an 8.3% increase compared to $3,658.0 million last year [10][13] Cost and Margin Analysis - Total company gross profit for the third quarter increased to $220.4 million, with a gross margin of 16.2%, compared to $186.2 million (14.8% gross margin) last year [11][14] - Selling, General and Administrative (SG&A) expenses for the third quarter were $115.3 million, up from $108.5 million last year, primarily due to higher variable compensation [16][35] Strategic Developments - The completion of the Canada Packers spin-off is seen as a milestone for Maple Leaf Foods, allowing both companies to focus on their respective growth strategies [2][4] - The company is implementing pricing actions to address input cost inflation, which is expected to take effect in the first quarter of 2026 [5][10] Outlook - The company anticipates that the consumer environment will remain stable for the remainder of the year, although macroeconomic factors may influence various operational aspects [5][10] - The previous 2025 outlook is no longer applicable following the spin-off of pork operations, as the company is now focusing on its continuing operations [3][4]
Maple Leaf Foods Reports Third Quarter 2025 Financial Results