Group 1: Rogers Communications - The company reported a profit attributable to shareholders of $743 million or $1.37 per diluted share for the quarter ended Dec. 31, an increase from $558 million or $1.02 per diluted share in the same quarter of the previous year [1] - Revenue totaled $6.17 billion, up from $5.48 billion in the same quarter a year earlier, driven by a significant increase in media revenue, which rose to $1.24 billion from $547 million [2] - Wireless revenue for the quarter was $2.97 billion, slightly down from $2.98 billion a year earlier, while cable revenue remained stable at $1.98 billion [2] Group 2: Canadian Pacific Kansas City (CPKC) - CPKC reported a 10% decline in net income to $1.08 billion for the quarter ended Dec. 31, down from $1.20 billion in the same period a year earlier [3][7] - Fourth-quarter revenues rose 1% to $3.92 billion from $3.87 billion, supported by a 3% increase in grain and container revenue [4] - For the full year, CPKC's net income increased by 11% to $4.14 billion, with revenues climbing almost 4% to $15.08 billion [4] Group 3: CGI Inc. - CGI reported a first-quarter profit of $442 million, up from $438.6 million a year earlier, with revenue rising nearly 8% to $4.08 billion from $3.79 billion [9][10] - The profit per diluted share for the quarter was $2.03, an increase from $1.92 per diluted share a year earlier [9] - CGI announced a collaboration deal with OpenAI to expand the use of artificial intelligence across its business and assist clients in adopting it [10] Group 4: Cascades Inc. - Cascades has agreed to sell a packaging plant to Crown Paper Group for $65.5 million, including real estate assets, with the transaction expected to close soon [14] - The CEO stated that the sale is part of the company's commitment to improve profitability and optimize operations [15] - This transaction follows another deal where Cascades sold a flexible packaging plant to Five Star Holding for $31 million [15]

Strategy and Focus - The company aims to enhance competitiveness and drive value creation by focusing on strategic levers such as pulp capacity expansions in Latin America and Asia, and the acceleration of new integrated capacity in China[5, 7, 10] - A key strategic goal is deleveraging towards a net debt/adjusted EBITDA ratio of less than 2.5x[10] - The company is focusing on extracting value from previous capital allocation decisions and accelerating the fiber-to-fiber (F2F) strategy[10] - The company is implementing cost reduction initiatives, aiming for R$80 million to R$115 million in total cost reduction by 2026[101] Pulp & Paper Market Dynamics - The market for BHKP (Bleached Hardwood Kraft Pulp) is experiencing organic growth, with a CAGR of +2.1% expected from 2024 to 2029, increasing from 41.4 Mt to 45.9 Mt[14, 17] - BHKP is gaining market share in BCP (Bleached Chemical Pulp), with an estimated 700 kt of F2F demand in 2025[20] - New confirmed BHKP integrated capacity is projected to reach 6.0 Mt between 2025 and 2029[29] Financial Management - The company is adopting a more conservative approach towards its net debt target, aiming for a net debt/adjusted EBITDA ratio of less than 2.5x[149] - The company has successfully issued debt in 2025 below its bond curve, with the 2036 bond achieving the company's lowest G-Spread ever[150] - The company is protecting cash flow exposure against FX risk through a consistent hedging policy[156]

Core Insights - The Covid pandemic highlighted the decline in relevance of office supply stores like Office Depot and Office Max, as consumers turned to alternative sources for essential items like toilet paper [3][4][5] - The shift towards e-commerce and changing consumer habits have significantly impacted the demand for traditional office supplies, leading to store closures and reduced foot traffic [8][9] Group 1: Decline of Office Supply Stores - Office supply stores have become less essential over time due to changing consumer habits and increased competition from e-commerce giants like Amazon and Walmart [4][8] - The chains have closed over 1,110 stores since 2013, with more closures likely as the market continues to evolve [7][8] - The decline in demand for office supplies is attributed to the rise of remote and hybrid work models, which have reduced the need for in-store purchases [8] Group 2: Financial and Operational Changes - ODP Corporation, which owns Office Depot and Office Max, is undergoing a transition to private ownership under Atlas Holdings, aiming for operational efficiency and a leaner cost structure [9][10] - The move to go private may allow ODP to focus on long-term investments in various business areas, potentially strengthening its market position [10] - Financial strain from falling sales has led to restructuring efforts and a planned acquisition by Atlas Holdings [8][9]

Core Viewpoint - Consumer staples companies, such as Coca-Cola, are considered safe haven investments during economic downturns due to consistent demand for their products, which are often necessities or frequently purchased items [2][4]. Group 1: Coca-Cola - Coca-Cola is recognized for its strong brand and has maintained a dividend yield of 2.9%, having increased its dividend for over 50 years, earning it the title of Dividend King [5]. - The stock is currently viewed as somewhat expensive, with price-to-sales and price-to-earnings ratios above their five-year averages [5]. Group 2: PepsiCo - PepsiCo, also a Dividend King, offers a diversified portfolio that includes snacks and packaged foods, with a higher dividend yield of 3.7% [6]. - The company’s valuation is attractive, with both price-to-sales and price-to-earnings ratios below their five-year averages, and it continues to invest in growth through acquisitions [6]. Group 3: Unilever - Unilever presents a more adventurous option with a portfolio that includes consumer products and food, generating around 40% of its revenue from North America and Europe, while the rest comes from faster-growing markets in Latin America and Asia [7]. - The company offers a dividend yield of 3.1%, making it an appealing choice for investors seeking growth [7]. Group 4: Tobacco Companies - Altria and British American Tobacco are high-yield options, with dividend yields of 7.2% and 7.5% respectively, despite facing long-term volume decline in cigarette sales [8][9]. - These companies have shown resilience during uncertain times, as smokers tend to remain loyal and may increase consumption during economic stress [8]. Group 5: Overall Consumer Staples Sector - The consumer staples sector offers a variety of investment options that can provide stability and reliable dividends during market volatility [10][11]. - Companies like Coca-Cola, PepsiCo, Unilever, Altria, and British American Tobacco are highlighted as solid choices for investors concerned about market conditions [11].