Q4 2025 BUSINESS UPDATE TO ACCOMPANY MANAGEMENT COMMENTARY February 11, 2026 FORWARD -LOOKING STATEMENTS FEBRUARY 11, 2026 This presentation contains a number of forward-looking statements as defined under U.S. federal securities laws, including, but not limited to, statements, estimates, and projections relating to our business and long-term strategy; our ambitions, goals, targets, and commitments; our activities, efforts, initiatives, plans, and programs, and our investments in such activities, efforts, i ...

Financial Data and Key Metrics Changes - The company achieved its first full year of profitable growth, with revenue growth of 4.7% and 2.2% on a constant currency basis for the full year [23] - Adjusted EBITDA was positive at $6.8 million for the full year, marking a significant improvement [23] - In Q4, revenue grew by 9.1% and 4.3% on a constant currency basis, with a gross margin of 34.5%, an increase of 580 basis points compared to last year's Q4 [23][24] Business Line Data and Key Metrics Changes - Volume growth in Europe and international segments was 13.9%, contributing to a $9.9 million increase in segment-adjusted EBITDA [25] - North America experienced an 8.8% revenue decline primarily due to a change in sourcing strategy at a large customer, but excluding this customer, the segment grew 10% in the quarter [25] - Greater China saw a slight decline in constant currency revenue, but the food service channel grew by 5% [25] Market Data and Key Metrics Changes - The Europe and international segment saw solid growth of 7% in established markets and 54% in expansion markets [16] - North America also achieved 7% growth in both retail and food service when excluding the largest food service customer [16] - Household penetration is increasing, particularly among younger consumers, indicating a positive trend for the brand [18] Company Strategy and Development Direction - The company is focused on executing a refreshed growth playbook that emphasizes increased relevance, attacking barriers to conversion, and increasing availability to consumers [12][19] - Plans for 2026 include completing a strategic review of the Greater China segment and potentially accelerating growth through various options [11] - The company aims to maintain a culture of efficiency while driving growth and impact in a disciplined manner [10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving stronger profitable growth in 2026, expecting constant currency revenue growth of 3%-5% and adjusted EBITDA of $25 million-$35 million [11][27] - The management highlighted the importance of driving efficiencies and improving free cash flow, which is expected to improve from 2025 levels [26] - The company is optimistic about the potential for growth in the oat milk category, despite current market pressures [45] Other Important Information - The company has reduced its cost of goods sold per liter by 23% and total SG&A by nearly $100 million, reflecting significant restructuring efforts [8][9] - The company plans to increase CAPEX to support growth, particularly in the Europe and International segment [29] Q&A Session Summary Question: Expectations for North America food service in 2026 - Management noted that they have diversified their customer base and expect continued growth outside the large customer that has been a drag on performance [32][34] Question: Enhancing protein content in response to competitor products - Management emphasized their focus on fiber rather than protein, aligning with consumer trends towards fiber-rich diets [39][41] Question: Drivers of oat milk category declines in U.S. retail - Management acknowledged category softness but highlighted their outperformance and increasing household penetration as positive indicators [45][49] Question: Free Cash Flow expectations and improvements - Management explained that improvements in free cash flow are expected in 2026, driven by higher adjusted EBITDA and better working capital management [52][70] Question: Increasing household penetration and its drivers - Management attributed the increase in household penetration to the new growth playbook and a focus on making products relevant to younger consumers [58][60]

Despite the earnings pressure, Kraft Heinz posted what it characterized as strong cash generation. Cahillane said free cash flow improved by nearly 16% versus the prior year, providing “healthy capital allocation optionality.”With pressure on gross margin and incremental marketing investments, constant currency adjusted operating income declined 11.4% in 2025, he said. The company reported adjusted EPS of $2.60, down 15% from 2024, driven by those operating dynamics and a higher year-over-year effective tax ...

Core Viewpoint - Kraft Heinz has decided to pause its plans to split into two separate businesses, focusing instead on returning to profitable growth [1][3] Company Strategy - The newly appointed CEO, Steve Cahillane, believes that the company's challenges are manageable and that there is a larger opportunity for growth than initially expected [2] - The primary focus will be on executing the operating plan and ensuring all resources are aligned to achieve profitable growth [3] Financial Performance - Kraft Heinz reported a net sales decline of 3.4% to $6.35 billion in the fourth quarter, with a 4.2% decrease on an organic basis and a 4.7% drop in volume/mix [5][6] - The company recorded an operating income of $1.1 billion in the fourth quarter, a significant improvement from an operating loss of $40 million a year earlier, despite facing intangible asset impairment losses of $1.3 billion [6] - For the full year, net sales fell 3.5% to $24.49 billion, with an organic decline of 3.4% and a volume/mix decrease of 4.1% [6] Losses and Impairments - The company faced substantial goodwill impairment losses, leading to an annual operating loss of $4.67 billion, compared to a profit of $1.68 billion in the previous year [7] - Kraft Heinz reported a full-year net loss of $5.84 billion, a stark contrast to a profit of $2.74 billion the year before [7] Investment Plans - Cahillane announced plans to invest $600 million in marketing, sales, R&D, product superiority, and selective pricing to support the company's growth strategy [4][5] - The company maintains a strong balance sheet and robust free cash flow capabilities, which will facilitate these investments while still generating excess cash [5]

Core Viewpoint - A class action lawsuit has been filed against BellRing Brands, Inc. and its senior executives for securities fraud following a significant stock drop attributed to potential violations of federal securities laws [1][2]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Southern District of New York, captioned Denha v. BellRing Brands, Inc., No. 1:26-cv-00575 [2]. - Investors have until March 23, 2026, to request to be appointed to lead the case [2]. Group 2: Company Background - BellRing Brands develops, markets, and sells "convenient nutrition" products, primarily ready-to-drink protein shakes under the Premier Protein brand [3]. - The company previously claimed that its sales growth was due to increased consumer demand and various positive factors, while downplaying competitive pressures [3]. Group 3: Stock Performance and Impact - On May 6, 2025, BellRing's CFO indicated that several key retailers had reduced their inventory levels, leading to a projected mid-single-digit headwind for Q3 growth, resulting in a stock price drop of $14.88 per share, or 19% [4]. - Following the announcement of narrowed fiscal year 2025 sales outlook on August 4, 2025, the stock dropped by $17.46 per share, nearly 33%, the next day [5][6].

Financial Data and Key Metrics Changes - In 2025, Kraft Heinz experienced a significant year-over-year decline in both top-line and bottom-line results, with organic net sales pressured by market share losses, particularly in the U.S. retail sector [4][5] - Adjusted EPS for 2025 was $2.60, reflecting a 15% decline compared to 2024, driven by lower operational results and a higher effective tax rate [5][27] - Free Cash Flow improved nearly 16% year-over-year, totaling $3.7 billion, with a Free Cash Flow conversion rate of 119% [5][28] Business Line Data and Key Metrics Changes - Organic net sales in North America retail declined by 5.2%, primarily due to share loss in Lunchables, Spoonables, and frozen meals and snacks [5][6] - Global away-from-home organic net sales decreased by 1.5%, impacted by lower traffic trends in the U.S., although international markets showed growth [6] - Emerging markets saw organic net sales increase by 4.6%, driven by double-digit growth in LATAM and East regions, despite a decline in Indonesia [6][7] Market Data and Key Metrics Changes - North America organic net sales declined by 5.4%, with significant losses in the U.S. cold cuts and away-from-home segments [24] - International developed markets experienced a 2.4% decline in organic net sales, primarily due to softness in the U.K. market [25] - Emerging markets reported a 2.2% increase in organic net sales, with growth outside of Indonesia [25] Company Strategy and Development Direction - The company aims to return to organic, profitable growth by contemporizing brands, differentiating products, and improving commercial execution [3][8] - A significant investment of approximately $600 million is planned for 2026 to support the operating plan and drive recovery [8][9] - The focus will be on enhancing brand alignment with consumer preferences and improving marketing and sales capabilities [16][30] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenging market conditions, including worsening consumer sentiment and industry trends, which have heightened the recovery path's difficulty [9][10] - The company plans to pause separation efforts to concentrate resources on executing the operating plan and restoring business momentum [10][11] - Expectations for 2026 include a projected decline in organic net sales of 3.5%-1.5% and adjusted EPS in the range of $1.98-$2.10 [31][32] Other Important Information - The company generated gross efficiencies of approximately $690 million in 2025, reflecting ongoing productivity improvements [27] - Capital allocation priorities for 2026 include increased investment in the business, maintaining net leverage around three times, and returning excess capital to shareholders [29] Q&A Session Summary Question: What are the expectations for the 2026 outlook? - The company expects organic net sales to decline by 3.5%-1.5%, with an adjusted gross profit margin decrease of 75-25 basis points year-over-year [31] - Adjusted EPS is anticipated to be in the range of $1.98-$2.10, reflecting a higher effective tax rate and increased investments [32]

Leadership Changes - JM Smucker is eliminating the COO role, with COO John Brase transitioning from the company [1] - Mark Smucker has reassumed the role of president in addition to being chair and CEO [1] Executive Remit Expansion - CFO Tucker Marshall will expand his responsibilities to include executive vice president of JM Smucker's frozen handheld, spreads, and sweet baked snacks businesses [2] - The sweet baked snacks segment has been under pressure, prompting a need for strategic changes [2] Financial Performance and Impairments - In June, JM Smucker announced a focus on narrowing priorities for its sweet-snacks division after recording impairment charges of $980 million, including $867.3 million related to goodwill and $112.7 million tied to the Hostess brand [3] - The company had previously recorded over $1 billion in impairment charges for the same units in March [3] Strategic Plans for Improvement - Mark Smucker outlined plans to enhance the sweet-snacks unit's performance, including reducing SKUs by 25%, closing a factory, and establishing a dedicated sales force [4] - The company aims to stabilize and improve profitability in sweet baked snacks while maintaining momentum in Frozen Handheld and Spreads [4] Promotions and New Appointments - Rob Ferguson has been promoted to chief product supply officer and executive vice president, overseeing coffee, pet, and away-from-home businesses [5] - Jill Penrose has been promoted to chief people and administrative officer and chief of staff, adding corporate strategy responsibilities [5] - Tim Wayne has been appointed general manager of coffee and away-from-home businesses, while Robert Crane will head sales and international [6] New Roles and Searches - JM Smucker will search for a chief technology officer to oversee its AI strategy, as well as senior vice presidents for operations and supply chain, and for science and technical community [7]

Employment and Economic Outlook - The employment report is anticipated to show an increase in U.S. job growth despite a sluggish labor market, influenced by tariff uncertainty and tighter immigration enforcement [1][8] - Retail sales have stalled unexpectedly, raising the probability of an interest-rate reduction in April to 35.5% from 32.2% [1][8] - Markets are pricing in the first interest rate cut to occur in June, coinciding with the expected Senate approval of President Trump's Fed chair nominee, Kevin Warsh [2][8] Corporate Earnings and Market Reactions - Cloudflare's shares surged by 14% following a better-than-expected forecast for annual and first-quarter sales [5][8] - Robinhood's shares fell by 7.2% after reporting fourth-quarter revenue below Wall Street expectations [6][8] - Lyft's shares dropped 17% due to a quarterly profit forecast and annual ride volumes that did not meet Wall Street expectations [9][8] Legislative and Regulatory Developments - The U.S. House of Representatives rejected a Republican bid to block challenges to Trump's tariffs, potentially allowing Democrats to reverse tariffs imposed on Canada [7][8] - A Supreme Court ruling on the legality of the tariffs is expected in the coming months [7][9]

Group 1: Economic and Business Insights - The 1980s were characterized by a strong American work ethic and significant career opportunities, with a notable appeal in its music, intellectual strength, and economic power [1] - Indian economic reforms began in the 1980s, leading to a foreign exchange crisis in the early 1990s and subsequent major reforms [2] - Japan's economic narrative in the 1980s was dominated by its real estate valuation, which at one point suggested the Imperial Palace grounds were worth more than all of California's real estate [2] - General Electric (GE) was a leading company with a market cap of $600 billion in 2000, emphasizing management principles that remain relevant today [14] Group 2: Shifts in Business Strategy - The transition from operational efficiency to strategic focus and then to cultural importance reflects the evolution of business practices as companies scale [3] - The concept of SOAR thinking (strengths, opportunities, aspirations, results) is presented as a more applicable framework than traditional SWOT analysis in real-world business scenarios [4] - The rise of Asia, particularly Hong Kong, is noted as a significant shift in career opportunities, surpassing Europe by the late 1990s [5] Group 3: Technological Developments - The 2000s saw the emergence of niche markets, exemplified by Google disrupting the advertising market and the valuation of Chobani yogurt at $20 billion in 2025 [6] - Bill Gates' observation about underestimating long-term technological changes highlights the transformative impact of innovations like electric cars and artificial intelligence [7] - The rise of artificial intelligence is accompanied by concerns of overcapacity in AI infrastructure, reminiscent of the early internet bubble's telecom investments [12][15] Group 4: Investment and Market Trends - The acquisition of CG Power during the uncertainty of Covid-19 exemplifies antifragile thinking, with the asset now valued at approximately $11 billion [11] - The potential for significant losses in AI infrastructure investments is noted, as the market may be oversaturated with players [12][15] - The concept of "grindcore," combining hard work and hustle, is introduced as a new mindset for success in the tech industry [13]

（来源：新华日报） 西津渡 焦山碑林，墨香与年味交织。这座"江中浮玉"在冬日更显清幽，历代名家的石刻在岁月沉淀中静默无 语，却诉说着千年的文化传承。 开心休博园 扬中博物馆 句容宝华山国家森林公园 金山景区 □ 熊敏 纪安璐 陈瑶 辛正 腊月的风里，已隐约飘来年节的香气。 当神州大地奏响新春序曲时，有一座城，正在长江与运河的交汇处，酝酿着一场不同寻常的年味盛宴 ——这就是镇江，一座在时光里浸润人间烟火的江南古城。 山水间的画卷：一城山水，全域风景 镇江的年味，藏在山水胜景里。主城区有名扬四海的金山、焦山、北固山、南山和西津渡，下辖句容、 丹阳、丹徒、扬中、经开区等地也各具风韵，共同绘就了一幅全域旅游的山水长卷。 此时的金山寺，蜡梅已悄然绽放，暗香浮动于青砖黛瓦间。慈寿塔下，祈福的红丝带在冬日微风中轻 舞，系着一个个朴素而真挚的新年愿望。登高远眺，长江如带，城市尽收眼底。新春之际，来这里祈求 家庭和睦、平安顺遂，有着别样的意义。 西津渡古街上，青石板路被岁月打磨得光滑如镜，两旁明清建筑悬挂起大红灯笼，从"一眼看千年"的昭 关石塔到英国领事馆旧址，历史在这里层层叠叠。夜幕降临，千盏灯笼同时点亮，整条街巷仿佛一条流 ...