PREMIUM BRANDS HOLDINGS CORPORATION REPORTS RECORD THIRD QUARTER SALES AND ADJUSTED EBITDA AND DECLARES FOURTH QUARTER DIVIDEND

VANCOUVER, BC, Nov. 10, 2025 /CNW/ - Premium Brands Holdings Corporation (TSX: PBH), a leading producer, marketer and distributor of branded specialty food products, announced today its results for the third quarter of 2025.

QUARTER HIGHLIGHTS

• Record third quarter revenue of $2.0 billion representing a 19.1%, or $319.1 million, increase as compared to the third quarter of 2024
  
  
• Organic volume growth rate of 10.3%
  
  
• Solid progress on Specialty Foods' core U.S. growth initiatives in protein, sandwiches and artisan baked goods, which for the quarter generated a combined organic volume growth rate of 24.3%
  
  
• Including acquisitions, Specialty Foods' total U.S. sales, which represented 66.5% of its third quarter sales, grew by $238.3 million to $879.7 million
  
  
• Record third quarter adjusted EBITDA¹ of $179.1 million representing a 12.4%, or $19.7 million, increase as compared to the third quarter of 2024, despite significant protein cost inflation challenges, mainly associated with beef products
  
  
• Third quarter adjusted EPS¹ of $1.27 per share representing a 14.4%, or $0.16 per share, increase as compared to the third quarter of 2024
  
  
• Increased and narrowed 2025 sales guidance range to $7.4 billion to $7.5 billion based on the growing momentum of the Company's various growth initiatives.  2025 adjusted EBITDA guidance range was reduced and narrowed to $670 million to $680 million based on the transitory impact of continued increases in the cost of beef raw materials
  
  
• Declared a dividend of $0.85 per common share for the fourth quarter of 2025
  
  
• Subsequent to the quarter, completed the single largest new product launch in the Company's history

1

The Company reports its financial results in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (IFRS Accounting Standards).  Adjusted EBITDA and adjusted EPS are non-IFRS financial measures.  Reconciliations and explanations for all non-IFRS measures are included in the Non-IFRS Financial Measures section of this press release.

QUESTIONS AND ANSWERS SESSION

The Company will hold a Q&A session on its third quarter 2025 results today at 10:30 a.m. Vancouver time (1:30 p.m. Toronto time).  Management's pre-recorded remarks and an investor presentation that will be referenced on the conference call are available here or by navigating through the Company's website at www.premiumbrandsholdings.com.

Access to the Q&A session may be obtained by calling the operator at [phone] or [phone] (Conference ID: 72162) up to ten minutes prior to the scheduled start time.  For those who are unable to participate, a recording of the conference call will be available through to 12:59 p.m. Toronto time on December 10, 2025 at [phone] or [phone] (passcode: 72162#).  Alternatively, a recording of the conference call will be available on the Company's website at www.premiumbrandsholdings.com.

SUMMARY FINANCIAL INFORMATION
(In millions of dollars except per share amounts and ratios)

	13 weeks ended Sep 27, 2025	13 weeks ended Sep 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended Sep 28, 2024
Revenue	1,986.0	1,666.9	5,580.1	4,831.4
Adjusted EBITDA^1	179.1	159.4	492.7	445.0
Earnings	(1.7)	25.4	28.8	84.2
EPS	(0.04)	0.57	0.64	1.90
Adjusted earnings^1	56.8	49.4	146.7	130.3
Adjusted EPS^1	1.27	1.11	3.28	2.93
			Trailing Four Quarters Ended
			Sep 27, 2025	Sep 28, 2024
Free cash flow^1			276.2	250.2
Free cash flow per share			6.19	5.64
Declared dividends			152.6	148.1
Declared dividend per share			3.40	3.32
Payout ratio^1			55.2 %	59.2 %

1	Reconciliations for all non-IFRS measures are included in the Non-IFRS Financial Measures section of this press release.

"The North American food industry is undergoing significant disruption and is at a major inflection point as consumers shift to choosing foods with clean, wholesome protein-centric ingredients and reduce or eliminate their consumption of ultra-processed foods high in sugars, unhealthy fats and artificial colors, flavors and preservatives.  We have invested heavily in the product development and state-of-the-art capacity needed to cater to this shift and are now seeing the benefits of this investment with our three core U.S. market-focused initiatives in protein, sandwiches and artisan baked goods generating organic volume growth rates in the quarter of 21%, 24% and 57%, respectively.  In total, this represents $145 million of organic volume growth," said Mr. Paleologou, President and CEO.

"We are still in the early innings of this disruption and expect our sales growth to continue to accelerate in the coming quarters and years," added Mr. Paleologou.

"While we generated another quarter of record adjusted EBITDA, our margins for the quarter were below our expectations due to double digit cost inflation for certain key beef raw materials.  Looking forward, we are confident that this headwind is transitory and that the issues causing this most recent rise in beef prices are being addressed.  In the meantime, we are taking targeted pricing actions and developing new procurement initiatives to restore margins in the impacted product categories with the objective of putting us back on track to achieve our mid-term targeted annual adjusted EBITDA margin of 10%.

"Based on the momentum in our business we increased our sales guidance range for the year to $7.4 billion to $7.5 billion from a range of $7.2 billion to $7.4 billion.  Unfortunately, due to the headwinds associated with beef raw material cost inflation, which we expect to carry over to the fourth quarter, we reduced our adjusted EBITDA guidance range to $670 million to $680 million from a range of $680 million to $700 million.

"Our acquisitions pipeline has never been more robust, and we are active on several transactions which we hope to close in the next quarter or two.  We remain, however, committed to continuing to deleverage our balance sheet over the course of 2025 and fiscal 2026 and any transactions will be done within this context."

FOURTH QUARTER 2025 DIVIDEND

The Company also announced that its Board of Directors approved a cash dividend of $0.85 per share for the fourth quarter of 2025, which will be payable on January 15, 2026 to shareholders of record at the close of business on December 31, 2025.

Unless indicated otherwise in writing at or before the time the dividend is paid, each dividend paid by the Company in 2025 or a subsequent year is an eligible dividend for the purposes of the Enhanced Dividend Tax Credit System.

ABOUT PREMIUM BRANDS

Premium Brands owns a broad range of leading specialty food manufacturing and differentiated food distribution businesses with operations across Canada and the United States. 

www.premiumbrandsholdings.com

RESULTS OF OPERATIONS

The Company reports on two reportable segments, Specialty Foods and Premium Food Distribution, as well as non-segmented investment income and corporate costs (Corporate).  The Specialty Foods segment consists of the Company's specialty food manufacturing businesses while the Premium Food Distribution segment consists of the Company's differentiated distribution and wholesale businesses as well as certain seafood processing businesses. Investment income includes interest and management fees generated from the Company's businesses that are accounted for using the equity method.

Revenue

(in millions of dollars except percentages)
	13 weeks ended Sep 27, 2025	% ^(1)	13 weeks ended Sep 28, 2024	% ^(1)	39 weeks ended Sep 27, 2025	% ^(1)	39 weeks ended Sep 28, 2024	% ^(1)
Revenue by segment:
Specialty Foods	1,322.2	66.6 %	1,067.3	64.0 %	3,807.3	68.2 %	3,206.5	66.4 %
Premium Food Distribution	663.8	33.4 %	599.6	36.0 %	1,772.8	31.8 %	1,624.9	33.6 %
Consolidated	1,986.0	100.0 %	1,666.9	100.0 %	5,580.1	100.0 %	4,831.4	100.0 %
(1)     Expressed as a percentage of consolidated revenue.

Specialty Foods' (SF) revenue for the quarter increased by $254.9 million or 23.9% primarily due to: (i) organic volume growth of $142.4 million representing an organic volume growth rate (OVGR) of 13.3%; (ii) business acquisitions, which generated $73.3 million in growth; (iii) selling price increases of $28.5 million, which were primarily in response to higher beef, and to a lesser extent, pork and chicken raw material costs; and (iv) a $10.7 million increase in the translated value of sales generated by SF's U.S. based businesses due to a weaker Canadian dollar.

SF's OVGR of 13.3% was driven by: (i) a variety of protein, sandwich and baked goods growth initiatives in the U.S. which generated organic volume growth of $145.7 million representing an OVGR of 24.3%; and (ii) 1.0% organic volume growth in the Canadian market across a range of products, which was down from the last quarter largely due to less featuring of beef products.  These factors were partially offset by a decline in beef jerky sales caused by a large channel fill for a new product launch in the third quarter of 2024 as well as the overall product category being challenged by record high beef prices and consumer price sensitivity.

SF's revenue for the first three quarters of 2025 increased by $600.8 million or 18.7% primarily due to: (i) organic volume growth of $254.6 million representing an OVGR of 7.9%; (ii) business acquisitions, which generated $222.8 million in growth; (iii) selling price increases of $73.0 million; and (iv) a $50.4 million increase in the translated value of sales generated by SF's U.S based businesses due to a weaker Canadian dollar.

Premium Food Distribution's (PFD) revenue for the quarter increased by $64.2 million or 10.7% due to: (i) selling price increases of $33.4 million, which were primarily in response to higher beef, and to a lesser extent, chicken and pork raw material cost increases; (ii) organic volume growth of $29.1 million representing an OVGR of 4.9%; and (iii) a $1.7 million increase in the translated value of sales generated by PFD's U.S. based businesses due to a weaker Canadian dollar.

PFD's OVGR of 4.9% was driven by: (i) the timing of certain processed lobster sales; (ii) continued year-over-year improvement in the Canadian retail and foodservice markets; and (iii) new retail selling relationships in Ontario and Quebec.

PFD's revenue for the first three quarters of 2025 increased by $147.9 million or 9.1% primarily due to: (i) selling price increases of $85.4 million; (ii) organic volume growth of $57.2 million representing an OVGR of 3.5%; and (iii) a $5.3 million increase in the translated value of sales generated by PFD's U.S. based businesses due to a weaker Canadian dollar.

Gross Profit

(in millions of dollars except percentages)
	13 weeks ended Sep 27, 2025	% ^(1)	13 weeks ended Sep 28, 2024	% ^(1)	39 weeks ended Sep 27, 2025	% ^(1)	39 weeks ended Sep 28, 2024	% ^(1)
Gross profit by segment:
Specialty Foods	273.0	20.6 %	234.1	21.9 %	785.8	20.6 %	712.2	22.2 %
Premium Food Distribution	91.3	13.8 %	90.5	15.1 %	262.1	14.8 %	259.9	16.0 %
Consolidated	364.3	18.3 %	324.6	19.5 %	1,047.9	18.8 %	972.1	20.1 %
(1)     Expressed as a percentage of the corresponding segment's revenue.

SF's gross profit as a percentage of its revenue (gross margin) for the quarter decreased by 130 basis points primarily due to: (i) raw material cost inflation, mostly associated with beef products, in its protein focused businesses - normalizing for this factor net of related selling price increases, SF's gross margin is 21.3%; (ii) increased plant overheads associated with new production capacity and adding production shifts at several facilities; and (iii) recent acquisitions, which on a combined basis are expected to generate margins below SF's average gross margin for the next several quarters as various sales and operational initiatives are implemented (see Forward Looking Statements).  These factors were partially offset by: (i) sales leveraging benefits associated with SF's organic volume growth; and (ii) production efficiency gains.

SF's gross margin for the first three quarters of 2025 decreased by 160 basis points primarily due to the same factors that impacted the current quarter.

PFD's gross margin for the quarter decreased by 130 basis points primarily due to: (i) reduced margins on lobster products resulting from low catch rates in the Maine fishery that have driven up shore prices, i.e. raw material costs; and (ii) its distribution businesses' selling price increases being only slightly higher than the associated commodity cost inflation as their current focus is on recovery of gross profit dollars.  These factors were partially offset by: (i) production efficiency gains; and (ii) sales volume growth leverage.

PFD's gross margin for the first three quarters of 2025 decreased by 120 basis points primarily due to the same factors that impacted the current quarter.

Selling, General and Administrative Expenses (SG&A)

(in millions of dollars except percentages)
	13 weeks ended Sep 27, 2025	% ^(1)	13 weeks ended Sep 28, 2024	% ^(1)	39 weeks ended Sep 27, 2025	% ^(1)	39 weeks ended Sep 28, 2024	% ^(1)
SG&A by segment:
Specialty Foods	143.0	10.8 %	122.0	11.4 %	422.1	11.1 %	385.6	12.0 %
Premium Food Distribution	50.0	7.5 %	49.0	8.2 %	152.5	8.6 %	153.6	9.5 %
Corporate	7.9		7.6		26.6		27.3
Consolidated	200.9	10.1 %	178.6	10.7 %	601.2	10.8 %	566.5	11.7 %
(1)     Expressed as a percentage of the corresponding segment's revenue.

SF's SG&A as a percentage of sales (SG&A ratio) for the quarter and for first three quarters of 2025 decreased by 60 basis points and 90 basis points, respectively, primarily due to sales growth leverage.

PFD's SG&A ratio for the quarter and for first three quarters of 2025 decreased by 70 basis points and 90 basis points, respectively, primarily due to sales growth leverage.

Adjusted EBITDA ⁽¹⁾

(in millions of dollars except percentages)
	13 weeks ended Sep 27, 2025	% ^(2)	13 weeks ended Sep 28, 2024	% ^(2)	39 weeks ended Sep 27, 2025	% ^(2)	39 weeks ended Sep 28, 2024	% ^(2)
Adjusted EBITDA by segment:
Specialty Foods	130.0	9.8 %	112.1	10.5 %	363.7	9.6 %	326.6	10.2 %
Premium Food Distribution	41.3	6.2 %	41.5	6.9 %	109.6	6.2 %	106.3	6.5 %
Corporate	(7.9)		(7.6)		(26.6)		(27.3)
Interest income from investments	15.7		13.4		46.0		39.4
Consolidated	179.1	9.0 %	159.4	9.6 %	492.7	8.8 %	445.0	9.2 %

(1)     Adjusted EBITDA is a non-IFRS financial measure. Reconciliation and explanations are included in the Non-IFRS Financial Measures section of this press release.

(2)     Expressed as a percentage of the corresponding segment's revenue.

Plant Start-up and Restructuring Costs

Plant start-up and restructuring costs consist of expenses associated with: (i) the start-up of new production capacity; (ii) the reconfiguration of existing capacity to gain efficiencies and/or additional capacity; and/or (iii) the restructuring of a business to improve its profitability.  The Company expects (see Forward Looking Statements) these investments to result in improvements in its future earnings and cash flows.

During the quarter, the Company incurred $19.0 million in plant start-up and restructuring costs relating primarily to the following projects, all of which are expected to expand its capacity and/or generate improved operating efficiencies (see Forward Looking Statements):

• The start-up of expanded meat stick capacity at the Company's Ferndale, WA plant to support a major new product launch in the fourth quarter of 2025;
• The reconfiguration of the Company's Waterloo, ON deli meats plant to improve production efficiencies and increase production capacity;
• The start-up of the Company's new 352,000 square foot sandwich production facility in Cleveland, TN;
• The reconfiguration of the Company's recently acquired cooked protein plant in Owasso, OK;
• The start-up of an additional production shift and new automation at the Company's artisan bakery in San Leandro, CA; and
• The reconfiguration of the Company's artisan bakery in San Francisco, CA.

Equity Earnings (Losses) from Investments in Associates

Equity earnings (losses) from investments in associates includes the Company's proportionate share of the earnings and losses of its investments in associates.

(in millions of dollars)	13 weeks ended Sep 27, 2025	13 weeks ended Sep 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended Sep 28, 2024
Clearwater:
Revenue	127.1	154.1	357.1	423.9
(Loss) earnings before payments to shareholders	(39.9)	2.7	(75.5)	2.8
Net loss	(76.7)	(19.5)	(159.9)	(62.8)
The Company:
Equity loss in Clearwater	(38.4)	(9.7)	(80.0)	(31.4)
Other net equity earnings (losses)	0.5	0.5	(0.6)	0.3
Equity losses from investments in associates	(37.9)	(9.2)	(80.6)	(31.1)

Clearwater Seafoods Incorporated (Clearwater)

Clearwater's revenue for the third quarter of 2025 as compared to the third quarter of 2024 decreased by $27.0 million primarily due to: (i) the sale of its Macduff land-based operations; (ii) the exit from its inshore lobster operations; and (iii) continued poor catch rates for Canadian sea scallops.  These factors were partially offset by: (i) strong recoveries in catch rates for clams, turbot and shrimp; and (ii) selling price inflation.  Excluding the impact of exited businesses, Clearwater's sales for the quarter as compared to the third quarter of 2024 were up $12.4 million.

Clearwater's earnings before payments to shareholders for the third quarter of 2025 as compared to the third quarter of 2024 decreased by $42.6 million primarily due to: (i) a $46.0 million write-down of net assets associated with the sale of Macduff's land-based operations; and (ii) higher minority interest expense resulting from improved profitability in its turbot and shrimp operations, which in the third quarter of 2024 incurred significant restructuring charges associated with bringing a new fishing vessel into operation.  These factors were partially offset by a $5.2 million increase in adjusted EBITDA, which was driven by improved catch rates and market conditions for clams and turbot; partially offset by lower catch rates for Canadian sea scallops.

Revenue and Adjusted EBITDA Outlook

See Forward Looking Statements for a discussion of the risks and assumptions associated with forward looking statements.

2025 Outlook

(in millions of dollars)	Revised	Previous
Revenue guidance range	7,400 - 7,500	7,200 - 7,400
Adjusted EBITDA guidance range	670 - 680	680 - 700

The Company revised up its 2025 sales guidance range based on the growing momentum of its protein, sandwich and baked goods growth initiatives in the U.S.  It revised down its adjusted EBITDA guidance range based on the transitory impact of continued increases in the cost of beef raw materials.  It is pursuing a variety of strategies to address this issue including targeted selling price increases and new procurement strategies (see Forward Looking Statements).

These estimates are based on a range of assumptions (see Forward Looking Statements) including: (i) reasonably stable economic environments in Canada and the U.S.; (ii) no significant changes in the tariffs associated with: (a) the Company's U.S. based operations importing raw materials; and (b) the Company's Canadian operations exporting finished goods to the U.S.; and (iii) the Canadian dollar remaining at current levels relative to the U.S. dollar. 

The Company's guidance also does not reflect potential future acquisitions, however, it remains active on this front and is pursuing several opportunities (see Forward Looking Statements). 

5 Year Plan

(in millions of dollars)	5-Year Target (2027)
Revenue	10,000
Adjusted EBITDA	1,000

The Company has a strong pipeline of sales and acquisition opportunities and remains on track to meet or exceed the five-year targets it set at the beginning of 2023 (see Forward Looking Statements).

Premium Brands Holdings Corporation
Consolidated Balance Sheets
(in millions of Canadian dollars)
	Sep 27, 2025	Sep 28, 2024 Restated	Dec 28, 2024 Restated	Dec 31, 2023 Restated
Current assets:
Cash and cash equivalents	28.6	9.2	49.2	27.6
Accounts receivable	592.4	410.9	495.8	509.9
Inventories	1,059.3	809.4	900.7	746.7
Prepaid expenses and other assets	41.5	35.1	56.2	43.8
	1,721.8	1,264.6	1,501.9	1,328.0
Capital assets	1,249.6	1,382.0	1,422.0	1,163.9
Right of use assets	890.9	564.3	681.6	565.3
Intangible assets	548.2	530.2	555.9	540.6
Goodwill	1,122.1	1,093.4	1,133.9	1,084.1
Investments in and advances to associates	447.5	453.4	457.1	453.5
Other assets	20.8	22.3	51.4	22.7
Deferred income tax assets	27.0	18.4	14.4	10.2
	6,027.9	5,328.6	5,818.2	5,168.3
Current Liabilities:
Cheques outstanding	14.0	17.5	29.9	16.4
Bank indebtedness	4.8	47.2	19.1	-
Dividends payable	38.2	37.9	38.1	34.4
Accounts payable and accrued liabilities	661.5	472.2	579.3	470.9
Current portion of puttable interest in subsidiaries	34.7	31.2	31.7	30.4
Current portion of long-term debt	0.6	1.3	1.0	2.0
Current portion of lease obligations	78.7	57.8	61.9	53.9
Current portion of provisions	8.4	4.0	-	29.9
Convertible unsecured subordinated debentures	455.9	469.2	470.9	484.5
	1,296.8	1,138.3	1,231.9	1,122.4
Long-term debt	1,950.3	1,675.8	1,921.1	1,510.4
Lease obligations	899.9	589.1	695.0	583.4
Puttable interest in subsidiaries	43.8	42.4	45.3	42.4
Deferred revenue	0.2	2.7	0.2	2.8
Provisions	16.1	14.3	24.2	14.5
Deferred income tax liabilities	140.0	126.9	131.3	125.9
	4,347.1	3,589.5	4,049.0	3,401.8
Equity attributable to shareholders:
Retained earnings (deficit)	(92.6)	(10.7)	(6.8)	18.8
Share capital	1,727.5	1,707.4	1,721.5	1,703.9
Reserves	45.9	42.4	54.5	43.8
	1,680.8	1,739.1	1,769.2	1,766.5
	6,027.9	5,328.6	5,818.2	5,168.3

Premium Brands Holdings Corporation
Consolidated Statements of Operations
(in millions of Canadian dollars except per share amounts)
	13 weeks ended Sep 27, 2025	13 weeks ended  Sep 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended    Sep 28, 2024
Revenue	1,986.0	1,666.9	5,580.1	4,831.4
Cost of goods sold	1,621.7	1,342.3	4,532.2	3,859.3
Gross Profit before depreciation, amortization, and plant start-up and restructuring costs	364.3	324.6	1,047.9	972.1
Interest income from investments in associates	15.7	13.4	46.0	39.4
Selling, general and administrative expenses before depreciation and amortization	200.9	178.6	601.2	566.5
Operating profit before depreciation, amortization, and plant start-up and restructuring costs	179.1	159.4	492.7	445.0
Depreciation of capital assets	26.5	26.4	78.4	74.3
Amortization of intangible assets	5.8	5.4	17.8	16.1
Amortization of right of use assets	20.8	16.5	58.4	49.2
Accretion of lease obligations	14.0	6.9	31.5	21.1
Plant start-up and restructuring costs	19.0	11.1	35.5	29.5
Interest and other financing costs	41.6	43.7	128.2	127.5
Acquisition transaction costs	1.0	1.1	2.8	3.4
Change in value of puttable interest in subsidiaries	1.0	1.0	3.0	5.2
Change in value and accretion of provisions	0.2	0.4	0.6	4.2
Provision released	-	-	-	(20.5)
Equity losses (earnings) from investments in associates	37.9	9.2	80.6	31.1
Change in fair value of option liabilities	-	-	(12.0)	(20.0)
Other expenses	-	-	0.9	4.8
Earnings before income taxes	11.3	37.7	67.0	119.1
Provision for income taxes (recovery)
Current	13.1	14.8	40.2	43.2
Deferred	(0.1)	(2.5)	(2.0)	(8.3)
	13.0	12.3	38.2	34.9
Earnings (loss)	(1.7)	25.4	28.8	84.2
Earnings (loss) per share
Basic	(0.04)	0.57	0.64	1.90
Diluted	(0.04)	0.57	0.64	1.89
Weighted average shares outstanding (in millions)
Basic	44.7	44.4	44.7	44.4
Diluted	44.9	44.6	44.9	44.6

Premium Brands Holdings Corporation
Consolidated Statements of Cash Flows
(in millions of Canadian dollars)
	13 weeks ended Sep 27, 2025	13 weeks ended  Sep 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended    Sep 28, 2024
Cash flows from (used in) operating activities:
Earnings (loss)	(1.7)	25.4	28.8	84.2
Items not involving cash:
Depreciation of capital assets	26.5	26.4	78.4	74.3
Amortization of intangible assets	5.8	5.4	17.8	16.1
Amortization of right of use assets	20.8	16.5	58.4	49.2
Accretion of lease obligations	14.0	6.9	31.5	21.1
Change in value of puttable interest in subsidiaries	1.0	1.0	3.0	5.2
Equity losses (earnings) from investments in associates	37.9	9.2	80.6	31.1
Non-cash financing costs	2.2	2.1	6.7	5.9
Change in value and accretion of provisions	0.2	0.4	0.6	4.2
Provision released	-	-	-	(20.5)
Change in fair value of option liabilities	-	-	(12.0)	(20.0)
Deferred income tax recovery	(0.1)	(2.5)	(2.0)	(8.3)
Other expenses	-	-	0.9	4.8
	106.6	90.8	292.7	247.3
Change in non-cash working capital	(76.6)	12.7	(217.5)	10.8
	30.0	103.5	75.2	258.1
Cash flows from (used in) financing activities:
Long-term debt, borrowings	216.1	140.6	969.4	462.3
Long-term debt, repayments	(135.5)	(133.7)	(886.6)	(323.1)
Payments for lease obligations	(28.6)	(20.4)	(77.3)	(60.0)
Bank indebtedness and cheques outstanding	(22.2)	26.8	(30.2)	48.3
Dividends paid to shareholders	(38.1)	(37.9)	(114.4)	(110.2)
Repayment of convertible debentures	-	-	(172.5)	-
Proceeds from issuance of convertible debentures – net of issuance costs	-	-	164.6	-
	(8.3)	(24.6)	(147.0)	17.3
Cash flows from (used in) investing activities:
Capital asset additions	(46.0)	(82.1)	(164.6)	(284.5)
Business acquisitions	(3.3)	-	(23.1)	-
Payment of provisions	-	-	-	(10.7)
Payment to shareholders of non-wholly owned subsidiaries	-	-	-	(3.6)
Net change in share purchase loans and notes receivable	0.2	0.2	1.3	1.4
Investments in and advances to (receipts from) associates – net of distributions	43.1	0.1	4.8	3.6
Proceeds from sale of assets and leaseback of real estate	-	-	232.8	-
	(6.0)	(81.8)	51.2	(293.8)
Change in cash and cash equivalents	15.7	(2.9)	(20.6)	(18.4)
Cash and cash equivalents – beginning of period	12.9	12.1	49.2	27.6
Cash and cash equivalents – end of period	28.6	9.2	28.6	9.2
Interest and other financing costs paid	33.2	46.4	112.0	125.3
Income taxes paid	7.8	8.8	42.4	37.0

NON-IFRS FINANCIAL MEASURES

The Company uses certain non-IFRS financial measures including adjusted EBITDA, free cash flow, adjusted earnings and adjusted earnings per share, which are not defined under IFRS and, as a result, may not be comparable to similarly titled measures presented by other publicly traded entities, nor should they be construed as an alternative to other earnings measures determined in accordance with IFRS.  These non-IFRS measures are calculated as follows:

Adjusted EBITDA

(in millions of dollars)	13 weeks ended Sep 27, 2025	13 weeks ended Sep 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended Sep 28, 2024
Earnings before income taxes	11.3	37.7	67.0	119.1
Plant start-up and restructuring costs	19.0	11.1	35.5	29.5
Depreciation of capital assets	26.5	26.4	78.4	74.3
Amortization of intangible assets	5.8	5.4	17.8	16.1
Amortization of right of use assets	20.8	16.5	58.4	49.2
Accretion of lease obligations	14.0	6.9	31.5	21.1
Interest and other financing costs	41.6	43.7	128.2	127.5
Acquisition transaction costs	1.0	1.1	2.8	3.4
Change in value of puttable interest in subsidiaries	1.0	1.0	3.0	5.2
Change in value and accretion of provisions	0.2	0.4	0.6	4.2
Provision released	-	-	-	(20.5)
Equity losses (earnings) from investments in associates	37.9	9.2	80.6	31.1
Change in fair value of option liabilities	-	-	(12.0)	(20.0)
Other expense	-	-	0.9	4.8
Adjusted EBITDA	179.1	159.4	492.7	445.0

Free Cash Flow

(in millions of dollars)	52 weeks ended Dec 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended Sep 28, 2024	Rolling Four Quarters
Cash flow from operating activities	253.1	75.2	258.1	70.2
Changes in non-cash working capital	74.9	217.5	(10.8)	303.2
	328.0	292.7	247.3	373.4
Lease obligation payments	(81.5)	(77.3)	(60.0)	(98.8)
Business acquisition transaction costs	5.8	2.8	3.4	5.2
Plant start-up and restructuring costs	43.7	35.5	29.5	49.7
Maintenance capital expenditures	(45.2)	(41.8)	(33.7)	(53.3)
Free cash flow	250.8	211.9	186.5	276.2

Adjusted Earnings and Adjusted Earnings per Share

(in millions of dollars except per share amounts)	13 weeks ended Sep 27, 2025	13 weeks ended Sep 28, 2024	39 weeks ended Sep 27, 2025	39 weeks ended Sep 28, 2024
Earnings	(1.7)	25.4	28.8	84.2
Plant start-up and restructuring costs	19.0	11.1	35.5	29.5
Amortization of intangible assets associated with acquisitions	5.8	5.4	17.8	16.1
Acquisition transaction costs	1.0	1.1	2.8	3.4
Change in value of puttable interest in subsidiaries	1.0	1.0	3.0	5.2
Change in value and accretion of provisions	0.2	0.4	0.6	4.2
Provision released	-	-	-	(20.5)
Equity losses (earnings) from investments in associates	37.9	9.2	80.6	31.1
Change in fair value of option liabilities	-	-	(12.0)	(20.0)
Other expense	-	-	0.9	4.8
	63.2	53.6	158.0	138.0
Current and deferred income tax effect of above items, and unusual tax recovery	(6.4)	(4.2)	(11.3)	(7.7)
Adjusted earnings	56.8	49.4	146.7	130.3
Weighted average shares outstanding	44.7	44.4	44.7	44.4
Adjusted earnings per share	1.27	1.11	3.28	2.93

FORWARD LOOKING STATEMENTS 

This press release contains forward looking statements with respect to the Company, including, without limitation, statements regarding its business operations, strategy and financial performance and condition, cash distributions, proposed acquisitions, budgets, projected costs and plans and objectives of or involving the Company.  While management believes that the expectations reflected in such forward looking statements are reasonable and represent the Company's internal expectations and belief as of November 10, 2025, there can be no assurance that such expectations will prove to be correct as such forward looking statements involve unknown risks and uncertainties beyond the Company's control which may cause its actual performance and results in future periods to differ materially from any estimates or projections of future performance or results expressed or implied by such forward looking statements.   

Forward looking statements generally can be identified by the use of the words "may", "could", "should", "would", "will", "expect", "intend", "plan", "estimate", "project", "anticipate", "believe" or "continue", or the negative thereof or similar variations.  Forward looking statements in this press release include statements with respect to the Company's expectations and/or projections on its: outlook and 5-year plan, margins, sales and operational initiatives; commodity costs; revenue and earnings; cash flow; capacity; operational efficiencies; gross profit; adjusted EBITDA; plant start-up and restructuring costs; income tax rates; dividends and dividend policy; project and maintenance capital expenditures; business acquisitions; net working capital; liquidity and capital resources; financial performance and results; capital needs; buying strategies; financial leverage ratios; value of puttable interests; lease renewal transactions; risks and uncertainties; and accounting policies.

Some of the factors that could cause actual results to differ materially from the Company's expectations are outlined below under the Risks and Uncertainties section in the Company's Management Discussion & Analysis for the 13 and 39 weeks ended September 27, 2025.

Assumptions used by the Company to develop forward looking statements contained or incorporated by reference in this press release are based on information currently available to it and include those outlined below as well as those outlined elsewhere in this document.  Readers are cautioned that this information is not exhaustive.

• The Company will be able to achieve the projected sales growth and operating efficiencies associated with the capital investments it has made in recent years.
• There will not be any material changes in the long-term food trends that have been driving growth in many of the Company's businesses.  These include: (i) growing demand for higher quality foods made with simpler, more wholesome ingredients and/or with differentiated attributes such as zero sugar, antibiotic free, no added hormones or use of organic ingredients; (ii) increased reliance on healthier and less processed convenience-oriented foods for on-the-go snacking as well as easy meal preparation, both at home and in foodservice; (iii) healthier eating, including reduced sugar consumption and an increased emphasis on animal protein and seafood; (iv) increased snacking in between and in place of meals; (v) increased interest in understanding the provenance of individual food products; and (vi) increased social awareness of issues such as reconciliation with Indigenous Peoples, sustainability, and ethical supply chain practices. 
• There will not be any material changes in the competitive environment of the markets in which the Company's businesses compete.
• There will not be any material changes in the Company's relationships with its larger customers including the loss of a major product listing and/or being forced to give significant product pricing concessions.
• The Company will be able to offset significant increases in the average cost of procured products and raw materials purchased by it with selling price increases.
• The Company will be able to access sufficient goods and services at reasonable prices.
• The Company will be able to access sufficient skilled and unskilled labor at reasonable wage levels.
• The value of the Canadian dollar relative to the U.S. dollar will fluctuate in line with the levels seen over the last several months.
• The Company's major capital projects, plant start-up and restructuring, and business acquisition initiatives will progress in line with its expectations.
• Weather conditions in the Company's core markets will not have a significant impact on any of its businesses.
• The Company will be able to negotiate new collective agreements with no labor disruptions.
• The Company will be able to access reasonably priced debt and equity capital.
• Contractual counterparties will continue to fulfill their obligations to the Company.
• There will be no material changes to the tax, environmental and other regulatory requirements governing the Company.

Management has set out the above summary of assumptions related to forward looking statements included in this press release to provide a more complete perspective on the Company's future operations.  Readers are cautioned that this press release may not be appropriate for other purposes.

Unless otherwise indicated, the forward looking statements in this press release are made as of November 10, 2025 and, except as required by applicable law, will not be publicly updated or revised.  This cautionary statement expressly qualifies the forward looking statements in this press release.

SOURCE Premium Brands Holdings Corporation

For further information, please contact George Paleologou, President and CEO, or Will Kalutycz, CFO at [phone]