Mississauga, Ontario, May 4, 2016 - Maple Leaf Foods Inc. (TSX: MFI) today reported its financial results for the first quarter, March 31, 2016.
- Adjusted EBITDA(1) margin increased to 10.2% in the first quarter of 2016, achieving the Company's target return on the significant transformational investment
- Adjusted EBITDA margin of 10.2% compared to 4.7% last year and 8.7% in the fourth quarter of 2015
- Adjusted Earnings per Share(2) of $0.28 compared to $0.05 last year
- Net earnings of $42.3 million compared to a net loss of $2.9 million last year
“The first quarter was a milestone for Maple Leaf, as we delivered on our financial target and commitment to shareholders that we would build a sustainably more profitable company,” said Michael McCain, President and CEO. “Our company and board took the longer-term view of value creation. Today I am proud that our transformation, one of the largest in the North American food industry, is delivering the financial goals that we set back in 2010. This reflects the perseverance of many thousands of nmpeople, who with single-minded purpose executed a complex and far reaching strategy. Our accomplishment is a tribute to mthem.”
“In this quarter we made excellent progress in reducing ramp-up operational inefficiencies in our supply chain, and we saw improvements in margins driven by innovation and product mix," continued Mr. McCain. "Maple Leaf Foods bears little resemblance to the company we were in 2010. It is stronger. It is globally competitive. It is at the leading edge of innovation. It mis building a sustainable future. And we are committed to making the next chapter as rewarding as the last.”
Consolidated Financial Overview
- Sales were $796.9 million compared to $780.2 million last year, an increase of 2.1%
- Adjusted Operating Earnings(3) increased to $53.6 million compared to $10.4 million last year
- Adjusted EBITDA margin increased to 10.2% from 4.7% last year and 8.7% in the fourth quarter of 2015
- Adjusted Earnings per Share was $0.28 compared to $0.05 last year
- Net earnings of $42.3 million ($0.31 per share) increased from a loss of $2.9 million (loss of $0.02 per share) last myear
- Free Cash Flow(4) was $25.2 million compared to a use of $61.0 million last year
Several items are excluded from the discussions of underlying earnings performance as they are not representative of ongoing moperational activities. Refer to the section entitled Reconciliation of Non-IFRS Financial Measures at the end of this news mrelease for a description and reconciliation of all non-IFRS financial measures.
Source: MapleLeaf