Lassonde Industries Inc. announces its Q4 and fiscal 2024 results
ROUGEMONT, QC, March 27, 2025 /CNW/ - Lassonde Industries Inc. (TSX: LAS.A) ("Lassonde" or the "Corporation") today announced its financial results for its fourth quarter and year ended December 31, 2024.
Financial Highlights:
Fourth quarters ended
Years ended
Dec. 31,2024
Dec. 31,2023
∆
Dec. 31,2024
Dec. 31,2023
∆
(in millions of dollars, unless otherwise indicated)
$
$
$
$
$
$
Sales
738.1
604.8
133.3
2,600.9
2,314.9
285.9
Gross profit
192.9
152.5
40.4
698.1
587.7
110.4
Operating profit
43.0
32.1
10.9
174.7
135.4
39.3
Profit
27.8
20.5
7.3
113.4
88.3
25.1
Attributable to:
Corporation's shareholders
27.1
21.0
6.1
114.1
87.5
26.6
Non-controlling interests
0.7
(0.5)
1.2
(0.7)
0.7
(1.5)
EPS (in $)
3.97
3.08
0.89
16.73
12.83
3.90
Weighted average number of shares outstanding (in thousands)
6,822
6,822
-
6,822
6,822
-
Adjusted EBITDA1
79.6
52.6
27.0
275.8
207.1
68.7
Adjusted EPS1 (in $)
5.13
3.14
1.99
19.05
13.18
5.87
Note: These are financial highlights only. Management's Discussion and Analysis, the audited consolidated financial statements and notes thereto for the year ended December 31, 2024 are available on the SEDAR+ website at www.sedarplus.ca and on the website of Lassonde Industries Inc.
"Lassonde delivered another quarter of strong profitable growth to conclude 2024 on a positive note," said Vince Timpano, Chief Executive Officer of Lassonde Industries Inc. "Solid fourth quarter results were driven by the contribution of Summer Garden, higher sales volume in our U.S. business resulting from our build-back plan as well as top-line growth in Canada driven by price adjustments to offset inflation related to orange juice and by product innovation launched throughout the year."
"We are entering 2025 with cautious optimism, as we continue to execute our strategic plan, including initiatives that will help reduce costs and improve capacity, most particularly with our announced plans for the construction of our new facility in New Jersey. We expect further progress in building back our U.S. volume, continued solid performance in Canada driven by our recently launched marketing campaign, as well as achieving synergies within our Specialty Food business in which we intend to reinvest to support long-term growth," added Mr. Timpano.
"Although the threat of tariffs in North America may impact consumer demand as well as the global supply chain, we have prepared measures to mitigate these effects to the extent possible. Driven by a strong product portfolio and a seasoned management team, Lassonde remains well positioned to lead through this period of uncertainty with a continued focus in driving sustained growth in 2025 and beyond," concluded Mr. Timpano.
Fourth Quarter Highlights:
Sales of $738.1 million. Excluding a $9.1 million favourable foreign exchange impact and sales from the Acquired Entities[2], sales were up $64.5 million (10.7%) from the same quarter last year, essentially due to higher sales volumes, mainly in the U.S., and to the favourable impact of selling price adjustments in Canada, mainly for private label products.
Gross profit of $192.9 million (26.1% of sales). Excluding gross profit from the Acquired Entities2, gross profit was up $16.0 million from the same quarter last year. This net increase results mainly from the following items:
A favourable impact of an increase in sales volume;
A favourable impact of selling price adjustments to offset the higher costs of certain inputs, essentially for orange juice and orange concentrates;
A decrease in the Corporation's conversion costs, a portion of which results from operational improvements, including the impact of the ongoing insourcing of manufacturing for certain products sold by the Corporation's U.S. beverage business units;
$2.2 million in start-up costs related to key growth and optimization projects; and
$1.2 million in expenses related to a production interruption at the Corporation's North Carolina plant, resulting from Hurricane Helene.
Operating profit of $43.0 million. Excluding the contribution from the Acquired Entities2, operating profit was up $2.1 million from the same quarter last year. This net increase results mainly from the following items:
Higher gross profit;
$9.2 million increase in transportation costs incurred to deliver products to clients and in finished goods warehousing costs, essentially in the U.S.;
$0.6 million in losses on capital assets in 2024 compared to a $1.5 million gain in 2023 related to business optimization; and
$1.9 million increase in expenses related to the multi-year strategy ("Strategy") and the implementation of new key systems as the Corporation continues to invest in its deployment.
Excluding items impacting comparability but including the Acquired Entities2, adjusted EBITDA1 was $79.6 million (10.8% of sales), up $27.0 million from the same quarter last year.
Profit attributable to the Corporation's shareholders of $27.1 million, resulting in EPS of $3.97, up 29.0% from the same quarter in 2023. Excluding the contribution from the Acquired Entities2 and the impact of additional financial expenses, net of taxes, related to the Summer Garden acquisition, profit attributable to the Corporation's shareholders was up $3.4 million (or 15.9%) year over year. Excluding items impacting comparability, adjusted EPS1 was $5.13, up 63.4% from the same quarter last year.
Operating activities generated $75.7 million in cash compared to $77.8 million generated in the same quarter last year. Excluding cash flows from Acquired Entities2, operating activities generated $20.7 million less than in the fourth quarter of 2023 on a comparable basis. This decrease in cash inflows was essentially due to a change in non-cash operating working capital items, which generated $25.0 million less cash than in the same quarter of 2023, partly offset by a $9.8 million net withdrawal of certain excess amounts invested in its defined benefit pension plans.
Dividend of $1.00 per share, paid on December 13, 2024.
Fiscal 2024 Highlights:
Sales of $2,600.9 million. Excluding a $19.9 million favourable foreign exchange impact and sales from the Acquired Entities2, the Corporation's sales were up $163.6 million (7.1%) from last year, mainly due to the favourable impact of selling price adjustments in Canada and an increase in the U.S. sales volume for both private label and branded products, partly offset by an unfavourable change in the U.S. sales mix, mainly for private label products.
Gross profit of $698.1 million (26.8% of sales). Excluding a $4.7 million unfavourable foreign exchange impact and gross profit from the Acquired Entities2, gross profit was up $77.4 million from last year. This net increase results mainly from the following items:
A favourable impact of selling price adjustments to offset the higher costs of certain inputs, essentially for orange juice and orange concentrates;
A decrease in the Corporation's conversion costs, a portion of which results from operational improvements, including the impact of the ongoing insourcing of manufacturing for certain products sold by the Corporation's U.S. beverage business units;
A favourable impact of an increase in sales volume;
$2.2 million in start-up costs related to key growth and optimization projects; and
$1.2 million in expenses related to a production interruption at the Corporation's North Carolina plant, resulting from Hurricane Helene.
Operating profit of $174.7 million. Excluding the contribution from the Acquired Entities2, operating profit was up $36.6 million from last year. This net increase results mainly from the impact of the following items:
Higher gross profit;
$19.0 million increase in finished goods warehousing costs and transportation costs incurred to deliver products to clients, essentially in the U.S.;
$10.1 million in costs related to the Summer Garden acquisition;
$3.2 million unfavourable foreign exchange impact that affected the conversion of the selling and administrative expenses of the U.S. entities into Canadian dollars;
$2.5 million net increase in other selling and administrative expenses;
$0.7 million in losses on capital assets in 2024 compared to a $1.0 million gain in 2023 related to business optimization; and
$1.3 million increase in expenses related to the Strategy and the implementation of new key systems as the Corporation continues to invest in its deployment.
Excluding items impacting comparability but including the Acquired Entities2, adjusted EBITDA1 was $275.8 million (10.6% of sales), up $68.7 million from last year.
Profit attributable to the Corporation's shareholders of $114.1 million, resulting in EPS of $16.73, up 30.4% from 2023. Excluding the contribution from the Acquired Entities2 and the impact of additional financial expenses, net of taxes, related to the Summer Garden acquisition, the profit attributable to the Corporation's shareholders was up $30.4 million (or 34.5%) year over year. Excluding items impacting comparability, adjusted EPS1 was $19.05, up 44.5% from last year.
As at December 31, 2024, the Corporation had total assets of $2,277.8 million versus $1,665.7 million as at December 31, 2023, a 36.7% increase arising mainly from the Summer Garden assets of $408.4 million, an increase in property, plant and equipment as well as a higher foreign exchange conversion rate as at December 31, 2024.
As at December 31, 2024, long-term debt, including the current portion, stood at $477.5 million, representing ...
