Q2 2024 Premium Brands Holdings Corp Earnings Call - Pre-Recorded
It followed a deck that was posted on our website. This morning.
George Doumet: Our presentation will follow the deck that was posted on our website this morning. We're now in Slide 4, which outlines certain highlights for the quarter. Overall results for the second quarter set new records, S.R. Premium Food Distribution Business began to stabilize, while our specialty food groups business delivered excellent on top line and margin growth by leveraging new capacities and capabilities, mainly focused on the US market. The consumer backdrop remains challenged in Canada, into a lesser extent in the US, but I'm pleased to report that despite this, customers remain open to new innovation, concepts, and ideas, and as such, our business development teams have never been busier with many exciting initiatives in the pipeline.
George Doumet: Our presentation will follow the deck that was posted on our website this morning. We're now in slide 4, which outlines certain highlights for the quarter. Overall results for the second quarter, set new records, S.R. Premium Food Distribution Business began to stabilize while our specialty food groups business delivered excellent on top line and margin growth by leveraging new capacities and capabilities mainly focused on the US market. The consumer backdrop remains challenged in Canada into a lesser extent in the US, but I'm pleased to report that despite this, customers remain open to new innovation, concepts and ideas, and as such, our business development teams have never been busier with many exciting initiatives in the pipeline.
Speaker Change: We're now on slide four which outlines certain highlights for the quarter overall results for the second quarter set New records.
Speaker Change: Our premium food distribution business began to stabilize while our specialty food groups business delivered excellent top line and margin growth by leveraging new capacities and capabilities, mainly focused on the U S market.
The consumer backdrop remains challenged in Canada and to a lesser extent in the U S. But I am pleased to report that despite this customers remain open to new innovation concepts and ideas and as such our business development teams have never been busier with many exciting initiatives in the <unk>.
Pipeline.
Our diverse portfolio of innovative innovative and high quality products.
George Doumet: Our diverse portfolio of innovative and high-quality products is attracting attention and gaining traction with new customers and channels as we rapidly expand into new regions and geographies. With state-of-the-art plans and new capacity coming on stream, in our US-based businesses as we speak, our US growth strategy is building momentum, as evidenced by the 12.9% volume growth generated by our major US sales initiatives. We're particularly pleased with progress made by our sandwich and protein groups as we leverage newly added capacity. These two platforms provide our customers with inflation, fighting, labor, and cost-saving solutions while improving quality and reducing waste, combined with the added benefit of enabling consistency of execution across customer-store networks.
George Doumet: Our diverse portfolio of innovative and high-quality products is attracting attention and gaining traction with new customers and channels as we rapidly expand into new regions and geographies. With state-of-the-art plans and new capacity coming on stream, in our US-based businesses as we speak, our US growth strategy is building momentum as evidenced by the 12.9% volume growth generated by our major US sales initiatives. We're particularly pleased with progress made by our sandwich and protein groups as we leverage newly added capacity. These two platforms provide our customers with inflation, fighting, labor and cost-saving solutions while improving quality and reducing waste, combined with the added benefit of enabling consistency of execution across customer-store networks.
Speaker Change: Is attracting attention and gaining traction with new customers and channels as we rapidly expand into new regions and geographies with state of the art plants and new capacity coming on stream in our U S based businesses as we speak our U S growth strategy is building momentum.
Speaker Change: As evidenced by the 12, 9% volume growth generated by a major U S sales initiatives.
We're particularly pleased with progress made by our sandwich and protein groups as we leverage newly added capacity.
Speaker Change: These two platforms provide our customers with inflation fighting labor and cost saving solutions, while improving quality and reducing waste combined with the added benefit of enabling consistency of execution across customer store networks.
Speaker Change: For more color on our various growth drivers I would refer you to this year's CEO letter to shareholders, which we recently posted on our website. The letter is titled transformational growth and explains our various capital allocation decisions and growth strategies.
George Doumet: For more color on our various growth drivers, I would refer you to this year's CEO letter to shareholders, which we recently posted on our website. The letter is titled "Transformation of Growth" and explains our various capital allocation decisions and growth strategies. As you know, over the past five years, we have doubled down on capital investments in order to support our US growth, and we're starting to see these investments contribute to our overall results. This positions as well as we continue to execute our five-year plan and progress towards our 2027 targets of 10 billion in revenue and 10 to 12 percent EBDA margins.
George Doumet: For more color on our various growth drivers, I would refer you to this year's CEO letter to Shareholders, which we recently posted on our website. The letter is titled Transformation of Growth and explains our various capital allocation decisions and growth strategies. As you know, over the past five years, we have doubled down on capital investments in order to support our US growth, and we're starting to see these investments contribute to our overall results.
As you know over the past five years, we have doubled down on capital investments in order to support our U S growth and we're starting to see these investments contributed to our overall results.
This positions us well as we continue to execute our five year plan and progress towards our 2027 targets of $10 billion in revenue and 10% to 12% EBITDA margins. We are in the early innings of the game and we expect further improvements in operational excellence.
George Doumet: This positions as well as we continue to execute our five-year plan and progress towards our 2027 targets of 10 billion in revenue and 10 to 12 percent EBDA margins. We are in the early earnings of the game, and we expect further improvements in operation of excellence as our new capacity ramps up and efficiency and productivity begin to optimize across our plant network.
George Doumet: We are in the early earnings of the game, and we expect further improvements in operation of excellence as our new capacity ramps up and efficiency and productivity begin to optimize across our plant network.
As our new capacity ramps up in efficiency and productivity begin to optimize across our plant network.
We're now on slide five although we did not close any acquisitions during the quarter. We're pleased to report that we're in the advanced stages of due diligence on a number of deals and we hope to close a few in the near future.
George Doumet: We're now on slide five. Although we did not close any acquisitions during the quarter, we're pleased to report that we're in the advanced stages of due diligence on a number of deals, and we hope to close a few in the near future. We're now on slides six to nine, where we have included some pictures of products made and sold in both the retail and food service channels across North America by our Express Expresco. This was our initial investment in the Code Protein Space and specializes in the production of cooked, ready-to-use skewers. It is a key asset in our cooked protein portfolio, an area that we had identified as having many white space growth opportunities due to favorable consumer lifestyle and demographic trends.
George Doumet: We're now on slide five, although we did not close any acquisitions during the quarter, we're pleased to report that we're in the advanced stages of due diligence on a number of deals, and we hope to close a few in the near future. We're now on slide six to nine, where we have included some pictures of products made and sold in both the retail and food service channels across North America by our Express Expresco was our initial investment in the Code Protein Space and specializes the production of cooked, ready-to-use skewers.
Speaker Change: We're now on slide six to nine where we have included some pictures of products made and sold in both the retail and foodservice channels across North America by our express co foods business.
Speaker Change: <unk> was our initial investment in the cooked protein space and specializes the production of cooked ready to eat skus. It is a key asset in our cooked protein portfolio an area that we had identified as having many white space growth opportunities due to favorable consumer lifestyle and demographic trends.
George Doumet: It is a key asset in our cooked protein portfolio, an area that we had identified as having many white space growth opportunities due to favorable consumer lifestyle and demographic trends. Expresco operates a state-of-the-art 75,000 square-foot facility in Montreal and has grown in sales and geographic reach substantially since our original investment in 2015, with nearly 70% of its sales now coming from the U.S, market. We believe that Expresco's progress in the U.S, combined with the momentum over other cooked protein businesses will help drive our overall sales of ready-to-eat meat proteins to $1 billion by the end of our current five-year plan, up from $600 million today.
Speaker Change: Express co operates a state of the art 75000 square foot facility in Montreal and has grown in sales and geographic reach substantially since our original investment in 2015 with nearly 70% of its sales now coming from the U S market, we believe that express <unk> progress.
George Doumet: Expresco operates a state-of-the-art 75,000 square-foot facility in Montreal and has grown in sales and geographic reach substantially since our original investment in 2015, with nearly 70% of its sales now coming from the U.S. market. We believe that Expresco's progress in the U.S. combined with the momentum over other cooked protein businesses will help drive our overall sales of ready-to-eat meat proteins to $1 billion by the end of our current five-year plan, up from $600 million today.
Will: In the U S combined with the momentum over other cooked protein businesses will help drive our overall sales of ready to eat meat proteins to $1 billion by the end over current five year plan plan up from $600 million today, I will now pass it to will.
Will: Thanks George.
Will: I will now pass it to Will. Thanks, George.
Will: I will now pass it to Will. Thanks, George.
Will: <unk> I begin I would like to remind you that some of the statements made on today's call may constitute forward looking information and our future results may differ materially from what we discuss please refer to our MD&A for the 13 and 52 weeks ended December 32023.
Will: Before I begin, I would like to remind you that some of the statements made on today's call may constitute forward-looking information, and our future results may differ materially from what we discussed. Please refer to our MDNA for the 13 and 52 weeks ended December 30, 2023, as well as other information on our website for a broader description of the risk factors that could affect our performance. Turning to slide 11, our sales for the quarter were a record $1.7 billion, up $72 million as compared to $1.63 billion in the second quarter of 2023. This increase was driven by four factors, namely organic volume growth of $62 million in our specialty foods group, currency translation gains of $9.3 million, business acquisitions net of shutdowns which contributed $5.9 million, and $6.1 million in selling price inflation.
Will: Before I begin, I would like to remind you that some of the statements made on today's call may constitute forward-looking information and our future results may differ materially from what we discussed. Please refer to our MDNA for the 13 and 52 weeks ended December 30, 2023, as well as other information on our website for a broader description of the risk factors that could affect our performance. Turning to slide 11, our sales for the quarter were a record $1.7 billion, up $72 million as compared to $1.63 billion in the second quarter of 2023.
Will: As well as other information on our website for a broader description of the risk factors that could affect our performance.
Will: Turning to slide 11.
Our sales for the quarter were a record $1 $7 billion.
Will: Up $72 million as compared to 163 billion.
In the second quarter of 2023.
Will: This increase was driven by four factors, namely organic volume growth of $62 million in our specialty foods group.
Will: This increase was driven by four factors, namely organic volume growth of $62 million in our specialty foods group, currency translation gains of $9.3 million, business acquisitions net of shutdowns which contributed $5.9 million and $6.1 million in selling price inflation. These factors were partially offset by a $12 million contraction in our premium food distribution groups organic volume. Our specialty food groups growth was driven primarily by the US market focus growth initiatives in our protein, sandwich, and bakery businesses that George discussed earlier.
Will: Currency translation gains was $9 3 million business.
Will: Acquisitions net of shutdowns, which contributed $5 9 million and $6 1 million in selling price inflation.
These factors were partially offset by a $12 million contraction and our premium food distribution groups organic volume.
Will: These factors were partially offset by a $12 million contraction in our premium food distribution group's organic volume. Our specialty food groups' growth was driven primarily by the US market focus growth initiatives in our protein, sandwich, and bakery businesses that George discussed earlier. This was partially offset by a $6.5 million decrease in the group sales in Canada, which was largely due to production-related issues associated with capacity expansion projects. Special foods growth was also happened by general consumer spending decreases in the beef jerky category, resulting from a challenging consumer environment and historically high beef commodity prices. The 2.2% decrease in the volumes of our premium food distribution group, which was an improvement from the 5.3% decrease we saw last quarter, was primarily due to challenging consumer environments that resulted in a general decline in sales in the Canadian Food Service Channel, less featuring a premium seafood and beef products in the Canadian retail channel, and lower lobster exports to China.
Will: Our specialty food group's growth was driven primarily by the U S market focus growth initiatives and our protein sandwich and bakery businesses that George discussed earlier.
Will: This was partially offset by a $6 $5 million decrease in the group sales in Canada, which was largely due to production related issues associated with capacity expansion projects.
Will: This was partially offset by a $6.5 million decrease in the group sales in Canada which was largely due to production related issues associated with capacity expansion projects. Special foods growth was also happened by general consumer spending decreases in the beef jerky category, resulting from a challenging consumer environment and historically high beef commodity prices. The 2.2% decrease in the volumes of our premium food distribution group which was an improvement from the 5.3% decrease we saw last quarter was primarily due to challenging consumer environments that resulted in a general decline in sales in the Canadian Food Service Channel, less featuring a premium seafood and beef products in the Canadian retail channel and lower lobster exports to China.
Will: Specialty foods growth was also hampered by general consumer spending decreases in the beef jerky category, resulting from a challenging consumer environment and historically high beef commodity prices.
Will: The two 2% decrease in the volumes of our premium food distribution group, which was an improvement from the five 3% decrease we saw last quarter was primarily due to challenging consumer environment that resulted in a general decline in sales in the Canadian Foodservice channel less featuring a P.
Will: Premium seafood and beef products in the Canadian retail channel and lower lobster exports to China.
Turning to slide 12.
Will: You can see the organic volume growth rates of our major protein sandwich and bakery sales initiatives in the U S.
Will: Turning to slide 12, you can see the organic volume growth rates of our major protein, sandwich, and bakery sales initiatives in the US. Our protein and bakery initiatives generated organic volume growth rates of 7.2% and 20.4%, respectively. Both of which were below our expectations due to several major product launches being delayed to later in 2024 and early 2000s. As well as a weaker than expected trends in consumer spending in the food service channel. The delayed product launches were the result of new capacity startup-related issues and longer-than-expected new business onboarding timelines. Our US-focused sandwich initiatives generated an organic volume growth rate of 16.7%, which was ahead of plan primarily due to the success of several recent new product launches.
Will: Turning to slide 12, you can see the organic volume growth rates of our major protein, sandwich, and bakery sales initiatives in the US. Our protein and bakery initiatives generated organic volume growth rates of 7.2% and 20.4% respectively. Both of which were below our expectations due to several major product launches being delayed to later in 2024 and early 2000s. As well as a weaker than expected trends in consumer spending in the food service channel.
Will: Our protein and bakery initiatives generated organic volume growth rates of seven 2% and 24% respectively. Both of which were below our expectations due to several major product launches being delayed to later in 2024 and early 2025 as <unk>.
Will: Well as a weaker than expected trends in consumer spending in the foodservice channel.
Will: The delayed product launches were the result of new capacity startup related issues and longer than expected new business Onboarding timelines.
Will: The delayed product launches were the result of new capacity startup related issues and longer than expected new business onboarding timelines. Our US-focused sandwich initiatives generated an organic volume growth rate of 16.7%, which was ahead of plan primarily due to the success of several recent new product launches. Turning to slide 13, while we are maintaining our sales guidance range for 2024 of $6.65 billion to $6.85 billion. We are, however, increasing the probability of being at the lower end of this range based on the delayed product launches I referred to earlier.
Will: Our U S focused sandwich initiatives generated an organic volume growth rate of 16, 7%.
Will: Which was ahead of plan primarily due to the success of several recent new product launches.
Will: Turning to slide 13, while we are maintaining our sales guidance range for 2024 or $6 $65 billion to $6 85 billion.
Will: Turning to slide 13, while we are maintaining our sales guidance range for 2024 of $6.65 billion to $6.85 billion. We are, however, increasing the probability of being at the lower end of this range based on the delayed product launches I referred to earlier. The slides show for 2024 the midpoint of our guidance range, or $6.75 billion, which would represent an organic volume growth rate of 7.3%. Turning to slide 14, our adjusted EBDA for the quarter was $164.6 million, representing an increase of $12.2 million, or 8%, as compared to the second quarter of 2022. Our adjusted EBDA margin increased by 40 basis points to a 6-year second quarter high of 9.7%, and marks our fifth consecutive quarter of year-over-year increases in our margin.
Will: We are however, increasing the probability of being at the lower end of this range based on the delayed product launches I referred to earlier.
Will: The slide shows for 2024 at the midpoint of our guidance range or $6 75 billion, which would represent an organic volume growth rate of seven 3%.
Will: The slides shows for 2024 the midpoint of our guidance range, or $6.75 billion, which would represent an organic volume growth rate of 7.3%. Turning to slide 14, our adjusted EBDA for the quarter was $164.6 million, representing an increase of $12.2 million or 8% as compared to the second quarter of 2022. Our adjusted EBDA margin increased by 40 basis points to a 6-year second quarter high of 9.7%, and marks our fifth consecutive quarter of year-over-year increases in our margin.
Will: Turning to slide 14, our adjusted EBITDA for the quarter was $164 $6 million, representing an increase of $12 $2 million or 8% as compared to the second quarter of 2022.
Will: Our adjusted EBITDA margin increased by 40 basis points to a six year second quarter high of nine 7% and marks our fifth consecutive quarter of year over year increases in our margin.
Will: The increases in our adjusted EBITDA and adjusted EBITDA margin were driven by sales leveraging and improved plant efficiencies in our specialty foods group and stronger margins on process lobster products and our premium food distribution group.
Will: The increases in our adjusted EBDA margin were driven by sales leveraging and improved plant efficiencies in our specialty foods group, and stronger margins on processed lobster products in our premium foods distribution group. These factors were partially offset by additional plant overhead associated with new production capacity being brought online by our specialty foods group, and general wage inflation across most of our businesses. Turning to slide 15, we are maintaining our adjusted EBDA guidance range for $2,024 of $630 million to $650 million, but like with our sales guidance, we are increasing the probability of being at the lower end of this range based on the delayed product launches.
Will: The increases in our adjusted EBDA margin were driven by sales leveraging and improved plant efficiencies in our specialty foods group, and stronger margins on processed lobster products in our premium foods distribution group. These factors were partially offset by additional plant overhead associated with new production capacity being brought online by our specialty foods group, and general wage inflation across most of our businesses. Turning to slide 15, we are maintaining our adjusted EBDA guidance range for $2,024 of $630 million to $650 million, but like with our sales guidance, our increasing the probability of being at the lower end of this range based on the delayed product launches.
Will: These factors were partially offset by additional plant overhead associated with new production capacity being brought online by our specialty foods group and general wage inflation across most of our businesses.
Will: Turning to slide 15, we are maintaining our adjusted EBITDA guidance range for 2024 of $630 million to $650 million, but like with our sales guidance are increasing the probability of being at the lower end of this range based on the delayed product launches.
Will: The slide shows for 2024 the midpoint of this range, or $640 million, and a resulting adjusted EBDA margin of 9.5% based on the midpoint of our sales guidance. The 9.5% margin, which is a 60 basis points improvement as compared to 2023, would be a historic high water mark for us. Furthermore, we would be only 50 basis points away from achieving our midterm target of an annual adjusted EBDA margin of 10%. Turning to slide 16, adjusted earnings and earnings per share for the quarter were $56.9 million and $1.28 per share respectively.
Will: The slide shows for 2024, the midpoint of this range or $640 million and a resulting adjusted EBITDA margin of nine 5% based on the midpoint of our sales guidance.
Will: The slide shows for 2024 the midpoint of this range, or $640 million, and a resulting adjusted EBDA margin of 9.5% based on the midpoint of our sales guidance. The 9.5% margin, which is a 60 basis points improvement as compared to 2023, would be a historic high water mark for us. Furthermore, we would be only 50 basis points away from achieving our midterm target of an annual adjusted EBDA margin of 10%. Turning to slide 16, adjusted earnings and earnings per share for the quarter were $56.9 million and $1.28 per share, respectively. Up slightly from $56.3 million and $1.27 per share, respectively, in the second quarter of 2023.
Will: The nine 5% margin, which is a 60 basis points improvement as compared to 2023 would be a historic high watermark for us.
Will: Furthermore, we would be only 50 basis points away from achieving our mid term target of an annual adjusted EBITDA margin of 10%.
Will: Turning to slide 16, our adjusted earnings and earnings per share for the quarter were $56 $9 million and $1 28 per share respectively up slightly from $56 $3 million and $1 27 per share respectively in the second.
Will: Up slightly from $56.3 million and $1.27 per share respectively in the second quarter of 2023. This represents the first year-over-year increase in these metrics since the latter part of 2020. In 2022, when our earnings started to be impacted by rapidly increasing interest rates, combined with higher lease costs, depreciation and debt levels associated with our capital investment plan. Looking forward, we expect to generate significant momentum in improving our adjusted earnings and EPS as interest rates moderate and we continue to leverage our recent capital investments to grow our business.
Will: Order of 2023.
Will: This represents the first year over year increase in these metrics since the latter part of 2022, when our earnings started to be impacted by rapidly increasing interest rates combined with higher lease costs depreciation and debt levels associated with our capital investment plan.
Will: This represents the first year-over-year increase in these metrics since the latter part of 2020. In 2022, when our earnings started to be impacted by rapidly increasing interest rates, combined with higher lease costs, depreciation, and debt levels associated with our capital investment plan. Looking forward, we expect to generate significant momentum in improving our adjusted earnings and EPS as interest rates moderate and we continue to leverage our recent capital investments to grow our business. Turning to slide 17, for the quarter we spend $104.4 million in capital expenditures consisting of $83.2 million on major project CAPEX, $11.5 million in smaller project CAPEX, and $9.7 million in maintenance CAPEX.
Will: Looking forward, we expect to generate significant momentum and improving our adjusted earnings and EPS as interest rates moderate and we continue to leverage our recent capital investments to grow our business.
Speaker Change: Turning to slide 17 for the quarter, we spent $104 4 million in capital expenditures consisting of $83 $2 million on major project Capex $11 $5 million in smaller project, Capex and $9 $7 million in maintenance Capex.
Will: Turning to slide 17, for the quarter we spend $104.4 million and capital expenditures consisting of $83.2 million on major project CAPEX, $11.5 million in smaller project CAPEX, and $9.7 million in maintenance CAPEX. We define project CAPEX as investments that are expected to generate an unlearned aftertax internal rate of return of 15% or greater. All other capital expenditures are classified as maintenance CAPEX. Primarily, all our major capital expenditures in the quarter were on projects to increase the capacities and many cases operating efficiencies of our protein, sandwich and bakery businesses to support their US focus growth initiatives.
Speaker Change: We defined project Capex is investments that are expected to generate an unlevered after tax internal rate of return of 15% or greater.
Will: We define project CAPEX as investments that are expected to generate an unlearned aftertax internal rate of return of 15% or greater. All other capital expenditures are classified as maintenance CAPEX. Primarily, all our major capital expenditures in the quarter were on projects to increase the capacities and, in many cases, operating efficiencies of our protein, sandwich, and bakery businesses to support their US focus growth initiatives. Looking forward, based on our approved project CAPEX pipeline, we expect to invest another $230 million over the next five quarters in these projects. We also expect to partially offset these expenditures with proceeds from the sale and lease back a real estate associated with some of these projects.
Speaker Change: All other capital expenditures are classified as maintenance Capex.
Speaker Change: Primarily all of our major capital expenditures in the quarter were on projects to increase the capacities and many cases operating efficiencies of our protein sandwich and bakery businesses to support their U S focused growth initiatives.
Speaker Change: Looking forward based on our approved project Capex pipeline, we expect to invest another $230 million over the next five quarters in these projects.
Will: Looking forward, based on our approved project CAPEX pipeline, we expect to invest another $230 million over the next five quarters in these projects. We also expect to partially offset these expenditures with proceeds from the sale and lease back a real estate associated with some of these projects. Slide 18 shows some of the key metrics we use to assess our financial position. Our debt leverage levels increase slightly as compared to last quarter, with our senior debt TBI ratio at 3.4 to 1, and our total debt TBI ratio, which includes our subordinate convertible debentures, at 4.4 to 1.
Will: We also expect to partially offset these expenditures with proceeds from the sale and leaseback of real estate associated with some of these projects.
Will: Slide 18 shows some of the key metrics, we use to assess our financial position.
Will: Slide 18 shows some of the key metrics we use to assess our financial position. Our debt leverage levels increase slightly as compared to last quarter, with our senior debt TBI ratio at 3.4 to 1, and our total debt TBI ratio, which includes our subordinate convertible debentures, at 4.4 to 1. Both metrics are above the long-term target ranges we have set for them, but well within our shorter-term operating parameters. In terms of liquidity, we finished the quarter in a strong position with almost $550 million in unused credit capacity. Furthermore, subsequent to the quarter, we increased our unused credit capacity by $150 million US dollars in conjunction with extending the maturity date of these facilities to July 2028.
Will: Our debt leverage levels increased slightly as compared to last quarter with our senior debt TV <unk> ratio at $3 41, and our total debt to EBITDA ratio, which includes our subordinate convertible debentures at $4 four to one.
Will: Both metrics are above the long term target ranges, we have set for them, but well within our shorter term operating parameters.
Will: Both metrics are above the long-term target ranges we have set for them but well within our shorter-term operating parameters. In terms of liquidity, we finished the quarter in a strong position with almost $550 million in unused credit capacity. Furthermore, subsequent to the quarter, we increased our unused credit capacity by $150 million US dollars in conjunction with extending the maturity date of these facilities to July 2028.
Will: In terms of liquidity, we finished the quarter in a strong position with almost $550 million in unused credit capacity. Furthermore, subsequent to the quarter, we increased our unused credit capacity by 150 million U S dollars in conjunction with extending the maturity date of these facilities.
Will: To July 2028.
Will: The next and final slide shows the variety of our free cash flow and dividend metrics over the last 18 plus years.
Will: The next and final slide shows a variety of our free cash flow and dividend metrics over the last 18-plus years. For 2024, in the first quarter of the year, we increased our quarterly dividend rate by 10.4% to 85 cents per share. Looking forward, we expect to significantly improve our free cash flow and free cash flow per share in 2024, driven by leveraging the significant capital investments we have made over the last three years and the moderation of interest rates.
Will: The next and final slide shows a variety of our free cash flow and dividend metrics over the last 18 plus years. For 2024, in the first quarter of the year, we increased our quarterly dividend rate by 10.4% to 85 cents per share. Looking forward, we expect to significantly improve our free cash flow and free cash flow per share in 2024, driven by leveraging the significant capital investments we have made over the last three years and the moderation of interest rates.
Will: For 2024 in the first quarter of the year, we increased our quarterly dividend rate by 10, 4% to 85 per share looking.
Will: Looking forward, we expect to significantly improve our free cash flow and free cash flow per share in 2024, driven by leveraging the significant cap capital investments we've made over the last three years and the moderation of interest rates.
Will: That concludes our presentation. Please join us on our Q&A Conference call. Later today at 10, 30 am Vancouver time, or $1 30 PM Toronto time.
Will: That concludes our presentation. Please join us on our Q&A conference call later today at 10:30 a.m. Vancouver time or 1:30 p.m. Toronto time. Thank you.
Will: That concludes our presentation. Please join us on our Q&A conference call later today at 10.30 a.m. Vancouver time or 1.30 p.m. Toronto time. Thank you.
Will: <unk>.