Post Holdings Inc (POST) Reports Strong Adjusted EBITDA Growth in Q4 and FY 2023 - Stockxpo - Grow more with Investors, Traders, Analyst and Research

Post Holdings Inc (POST) Reports Strong Adjusted EBITDA Growth in Q4 and FY 2023

On November 16, 2023, Post Holdings Inc (POST, Financial) released its 8-K filing, detailing the company’s financial performance for the fourth quarter and the fiscal year ended September 30, 2023. The company, a consumer packaged goods holding entity, reported a significant increase in net sales, operating profit, and Adjusted EBITDA for both the quarter and the fiscal year.

Financial Performance Overview

Post Holdings Inc (POST, Financial) experienced a robust fourth quarter, with net sales reaching $1.9 billion, a 23.2% increase from the previous year. This growth was partly attributed to the inclusion of $404.5 million in net sales from the Pet Food business acquired from The J. M. Smucker Company. The company’s operating profit for the quarter was $153.0 million, up 16.0% year-over-year, despite a non-cash goodwill impairment of $42.2 million related to the Refrigerated Retail segment.

For the fiscal year, Post Holdings Inc (POST, Financial) reported net sales of $7.0 billion, marking a 19.5% increase. The operating profit for the year stood at $598.9 million, a substantial 44.1% growth from the prior year. Adjusted EBITDA for the year was $1,233.4 million, reflecting a 28.0% increase. The company’s net earnings from continuing operations, however, saw a decrease of 59.0% to $301.3 million, primarily due to gains on extinguishment of debt and income on swaps in the prior year.

Segment Performance

The Post Consumer Brands segment, which includes North American ready-to-eat cereal, pet food, and peanut butter, saw a significant increase in net sales for both the quarter and the fiscal year, largely due to the Pet Food acquisition. The Weetabix segment experienced a sales increase but faced a decrease in segment profit and Adjusted EBITDA. The Foodservice segment reported a decrease in net sales for the quarter but an increase in segment profit and Adjusted EBITDA. The Refrigerated Retail segment faced a decrease in net sales and segment profit for the quarter, with volume declines primarily due to price elasticities and a shift towards private label products.

Capital Management and Outlook

During the fourth quarter, Post Holdings Inc (POST, Financial) repurchased 1.6 million shares of its common stock for $136.5 million. As of November 16, 2023, the company had $178.7 million remaining under its share repurchase authorization. Looking ahead, management expects Adjusted EBITDA for fiscal year 2024 to be between $1,200-$1,260 million, excluding any contribution from the pending acquisition of Perfection Pet Foods, LLC.

Post Holdings Inc (POST, Financial) continues to navigate a dynamic market environment, leveraging strategic acquisitions and capital management to drive growth. The company’s strong Adjusted EBITDA performance underscores its operational resilience and ability to adapt to market conditions.

For a detailed breakdown of Post Holdings Inc (POST, Financial)’s financial performance, including reconciliations of non-GAAP measures, please refer to the full 8-K filing.

Explore the complete 8-K earnings release (here) from Post Holdings Inc for further details.

Leave a Reply

Your email address will not be published. Required fields are marked *

scroll to top