Financial Data and Key Metrics Changes - For 2024, total sales reached $6.841 billion, with adjusted EBITDA of $1.469 billion, representing a margin of 21% [8] - Adjusted diluted earnings per share for 2024 was $0.38, with free cash flow of $758 million for the full year [10][11] - Potash prices decreased by 24% compared to the previous year, impacting overall performance [9] Business Line Data and Key Metrics Changes - **Industrial Products**: Sales for 2024 were $1.239 billion, with EBITDA of $281 million. Fourth quarter EBITDA improved by 25% to $70 million despite lower sales [15][16] - **Potash Division**: Sales totaled $1.656 billion with EBITDA of $492 million. Average potash price fell nearly $100 CIF per ton, with total sales volume down by approximately 127,000 metric tons [18][19] - **Phosphate Solutions**: 2024 sales were $2.250 billion, with annual EBITDA of $559 million. EBITDA margin expanded to 25% despite lower acid prices [21][22] - **Growing Solutions**: Sales decreased to $1.950 billion, but EBITDA increased by 70% to $202 million, with a margin expansion to 10% [28] Market Data and Key Metrics Changes - Inflation rates remained stable except for Brazil, which saw a 40 basis point increase in Q4 [41] - Global industrial production growth was 2.4%, with expectations of 2.9% to 3.3% for 2025 [42] - Potash prices stabilized in January, while phosphate prices increased by 4% since year-end [45] Company Strategy and Development Direction - The company continues to focus on specialty-driven businesses, which represented 70% of 2024 EBITDA [10] - Strategic relationships and innovative product launches were emphasized as key growth drivers [11][32] - The company is advancing its battery material aspirations in Europe and has signed a strategic agreement for lithium iron phosphate production [27][35] Management's Comments on Operating Environment and Future Outlook - Management noted improvements in the geopolitical situation in Israel, which had previously impacted operations [8] - The outlook for potash prices is more favorable, with expectations of price increases in 2025 [86] - The company anticipates continued volume growth in Phosphate Solutions, despite a stable overall market [65] Other Important Information - The company distributed a total of $242 million in dividends for 2024, yielding 3.8% [11][54] - The balance sheet is reported as the strongest in recent years, with available resources of approximately $1.6 billion [54] Q&A Session Summary Question: Demand drivers in Phosphate Solutions - Management highlighted headwinds from WPA prices but noted increased volumes from specialty products, particularly in China [64] Question: Trade disputes and Industrial Products - Management discussed local production facilities in Europe and the impact of antidumping measures on market opportunities [68][70] Question: Chinese bromine capacity - No significant bankruptcies were reported, but there have been reductions in capacity in China [75] Question: Political changes in Eastern Europe - Demand for fertilizers remains solid, with expectations of stable potash shipments [77] Question: Potash price outlook - Management indicated a better outlook for potash pricing, with recent increases observed [86] Question: LFP demand for EVs vs. ESS - Management noted a significant shift towards LFP technologies, with demand for stationary storage being a primary opportunity [116]

Financial Data and Key Metrics Changes - For Q4 2024, the company reported net sales of $551.6 million and adjusted EBITDA of $86.1 million, slightly above expectations [8][19] - Adjusted gross profit percentage improved to 22.2% from 21.9% in Q4 2023, while adjusted EBITDA as a percentage of net sales increased to 15.6% from 15% [9][26] - Fiscal year 2024 net sales totaled $1.932 billion, with a net loss of $251.3 million or $3.18 per diluted share, and adjusted EBITDA of $295.4 million [19][20] Business Line Data and Key Metrics Changes - The Spices & Flavor Solutions business unit saw a 5% increase in Q4 net sales compared to the same period last year [9][34] - Specialty segment net sales decreased by $10.5 million or 4.6% in Q4 2024, primarily due to lower Crisco pricing [29] - Meals segment net sales decreased by $2.4 million or 1.9% in Q4 2024, attributed to lower volumes [31] - Frozen & Vegetables segment adjusted EBITDA decreased by $4.7 million in Q4 2024, impacted by foreign currency and increased pack costs [32] Market Data and Key Metrics Changes - Base business net sales decreased by 3.3% for fiscal year 2024 compared to fiscal year 2023, with a decline of 2.5% when excluding the impact of lower Crisco oil pricing [11] - The company expects continued volume challenges in the first half of 2025, with a projected net sales range of $1.89 billion to $1.95 billion for fiscal year 2025 [12][39] Company Strategy and Development Direction - The company is focused on reshaping its portfolio to improve margins and cash flow, aiming for adjusted EBITDA as a percentage of net sales to approach 20% [14] - A strategic review of the frozen and remaining canned vegetable businesses is underway for potential divestiture [15] - The company aims to reduce leverage below 5 times through divestitures and excess cash flow to facilitate strategic acquisitions [41] Management's Comments on Operating Environment and Future Outlook - Management views current consumer behavior as a temporary reaction to elevated prices, expecting stabilization in purchasing patterns in the coming months [55][56] - The company anticipates a challenging first half of 2025 but expects improvement in the second half as consumer reactions to inflationary pressures begin to normalize [12][38] Other Important Information - The company recorded pretax non-cash impairment charges of $320 million related to intangible trademark assets during fiscal 2024 [20] - Net interest expense decreased by $0.6 million to $39.6 million in Q4 2024, attributed to reduced long-term debt [27] Q&A Session Summary Question: What does the impairment charge on Green Giant frozen imply about potential suitors? - The impairment charge is driven by accounting and business performance, not indicative of expected sale value [48] Question: Clarification on the $10 million to $15 million benefit from a 53rd week. - The benefit is approximately three days, which is less than typical expectations [50] Question: Are current headwinds in the packaged food industry more structural or temporary? - Management believes the headwinds are temporary and expects consumer purchasing patterns to stabilize [55][56] Question: What is the outlook for top-line momentum given prolonged elevated prices? - Management is monitoring consumption trends and expects to lap negative trends from the previous year [67] Question: How is the company preparing for potential tariffs on products from Mexico? - The company is modeling potential impacts but finds it early to speculate on outcomes [78] Question: What is the status of free cash flow for 2024 and expectations for 2025? - Cash from operations for 2024 was comparable to the previous year, with expectations for 2025 to be slightly better [118][119] Question: How will the company manage its focus segments differently? - The company plans to invest in growth for Spices & Flavor Solutions while managing Specialty for margins and cash flow [136]

Financial Data and Key Metrics Changes - For fiscal year 2024, organic net sales were $12 billion, down 2.1% due to a prolonged volume recovery in the domestic retail business [21] - Adjusted gross margin expanded by 58 basis points, and adjusted operating margin expanded by 34 basis points year-over-year [8] - Adjusted EPS for the fiscal year was $2.67, with a net leverage ratio of 3.37 times, improved from over 5.5 times [10][22] Business Line Data and Key Metrics Changes - In Q4, organic net sales declined 2.4%, driven by a volume decline of 1.8% and a 0.6% price mix reduction [23] - The Snacks business saw positive consumption trends, helping to gain market share, while Grocery and Foodservice segments experienced volume declines [24] - Refrigerated and Frozen segments showed volume increases, with Frozen single-serve meals returning to growth [12][24] Market Data and Key Metrics Changes - Approximately 65% of the portfolio held or gained volume share in Q4, marking the fourth consecutive quarter of share gains [11] - In the Snacks domain, 80% of brands held or gained volume share, indicating strong competitive performance [12] - The international business delivered strong sales growth, driven by results from Mexico and global exports [24] Company Strategy and Development Direction - The company is focused on maximizing consumer engagement through strategic investments, aiming for gradual volume improvements [18] - Continued brand building investments are planned for fiscal 2025, with expectations of stable adjusted gross margins despite ongoing inflation [19] - The company aims to achieve $1 billion in cost savings by the end of fiscal 2025, targeting a net leverage ratio of approximately 3.2 times [17][32] Management's Comments on Operating Environment and Future Outlook - The management anticipates a challenging consumer environment in fiscal 2025 but expects a transition towards a normalized operating environment [18] - The company is encouraged by steady volume improvement and market share gains from investments made during fiscal 2024 [31] - Fiscal 2025 guidance includes organic net sales growth projected to be flat to down 1.5%, with adjusted EPS expected between $2.60 and $2.65 [20][32] Other Important Information - The company repaid a $1 billion senior note in Q4 and improved free cash flow by approximately $1 billion over fiscal 2023 [30] - Capital expenditures increased by 7% to $388 million, with dividends paid amounting to $659 million in fiscal 2024 [30] - The company plans to resume minimal share repurchases in fiscal 2025 to offset dilution from equity incentive plans [32] Q&A Session Summary Question: What are the expectations for organic net sales growth in fiscal 2025? - The company expects organic net sales growth to be flat to down 1.5% compared to fiscal 2024 [32] Question: How is the company addressing inflation and cost pressures? - The company plans to achieve approximately 4% cost savings as a percentage of cost of goods sold to offset projected inflation [18][32] Question: What is the outlook for the Snacks and Frozen segments? - The Snacks segment is expected to continue its positive momentum, while Frozen is anticipated to maintain steady growth [12][24]

Financial Data and Key Metrics Changes - Q3 net sales were approximately $3 billion, reflecting an organic net sales decline of 2% [7][19] - Adjusted gross margin increased by 52 basis points to 28.7%, driven by increased productivity [7][20] - Adjusted operating margin was 16.4%, representing a 49 basis point decrease compared to the prior year quarter [7] - Q3 adjusted EPS was $0.69, a decrease of $0.07 over the prior year quarter [7][20] - Free cash flow for the year to date reached $1.2 billion, with a conversion rate of approximately 124% [17][27] Business Line Data and Key Metrics Changes - Grocery and Snacks segment net sales increased by 3.4% compared to the prior year, driven by improved price mix [22] - Refrigerated and Frozen segment net sales declined by 8.1%, primarily due to increased strategic investments [22] - International segment saw volume and net sales increase over the prior year quarter, driven by strong performance in Mexico and global exports [16] - Foodservice segment net sales decreased due to reduced or exited less profitable business and softness in food away from home traffic [16] Market Data and Key Metrics Changes - Approximately 52% of brands held or gained unit share, a 12% increase compared to the prior year [13] - In the frozen category, Conagra's portfolio outperformed the market on a volume basis [12][14] - Recent four weeks of volume consumption improved to -1.2% year-over-year, a 6.5 percentage point improvement since Q1 [12] Company Strategy and Development Direction - The company continues to prioritize brand building investments across merchandising, innovation, and advertising to drive volumes while sustaining gross margin recovery [10][11] - Innovation remains a key strategic tool, with plans to modernize recipes and expand product offerings [15] - The company is focused on operational efficiency and cost savings to improve margins while maintaining investment in brands [23][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving targets and driving shareholder value based on consumer response to investments and cost savings progress [5] - The company is increasing expectations for adjusted operating margin while reaffirming net sales and adjusted EPS guidance [5][28] - Management noted that the stabilization in the supply chain has enabled further productivity initiatives [8] Other Important Information - The company reduced its net leverage ratio to 3.44 times, reflecting strong free cash flow and debt reduction efforts [17][27] - Adjusted SG&A increased by 7.4%, primarily due to the timing of incentive compensation expense [20] Q&A Session Summary Question: What are the expectations for the adjusted operating margin? - The company has modestly increased its adjusted operating margin expectations to approximately 15.8% for the full year [28] Question: How is the company addressing the challenges in the Foodservice segment? - The company is focusing on reducing or exiting less profitable business while managing price mix increases to offset volume declines [16][22]