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Canada Packers Inc

Canada Packers Inc. Reports 2025 Third Quarter Financial Results and Declares First Dividend

TSX:CPKR
www.canadapackers.com 

Year-over-year double digit sales and Adjusted EBITDA growth

MISSISSAUGA, ON , Nov. 5, 2025 /CNW/ - Canada Packers Inc. ("Canada Packers" or the "Company") (TSX: CPKR) today reported its financial results for the three and nine months ended September 30, 2025.

Third Quarter Highlights

  • Pro forma Adjusted EBITDA(i) for the quarter is estimated to have increased 37% over the same quarter in the prior year, to approximately $56 million, resulting in an estimated 11.8% pro forma Adjusted EBITDA margin.
  • Earnings for the quarter increased 31.7% over the same quarter in the prior year, to $25.6 million.
  • Adjusted EBITDA(ii) for the quarter increased 45.4% over the same quarter in the prior year, to $60.2 million.
  • Hogs processed(iii) for the quarter increased by 3.7% over the same quarter in the prior year, to 1.038 million.
  • Announced Spin-Off from Maple Leaf Foods Inc., and public listing on TSX commencing October 1, 2025.

(i)  

For more information, see "Management's Pro Forma Estimates and Related Non-IFRS Measures" section of this news release.

(ii)

Refer to the section titled Non-IFRS Financial Measures in this news release.

(iii)

Represents a supplemental operational measure.

Executive Commentary

"Canada Packers is reporting strong results this quarter, with pro forma Adjusted EBITDA up 37%, to approximately $56 million, and processing volume up 3.7%. This performance was fueled by strength in our diversified product mix, solid operational execution, and healthy commodity markets. We have estimated pro forma Adjusted EBITDA as approximately $183 million for the trailing twelve months ended September 30, 2025," said Dennis Organ, President and Chief Executive Officer, Canada Packers. "We have positive momentum in our business and remain confident in our performance to close out the year. As Canada Packers moves forward as a standalone public company, we remain committed to delivering reliable financial results and long-term value creation for our stakeholders, and reinforcing our position as a global leader in sustainable pork."

"As major shareholders and on behalf of the Board of Directors, we are thrilled to begin our journey as a public enterprise. The name Canada Packers has a history dating back to the 1920s and we will build on that legacy well into the future, with our vision to be the global standard in sustainable pork," said Michael H. McCain, Executive Chair of the Board, Canada Packers. "This is a unique business with a unique business model. Our strategic direction is clear and the prospects for profitable growth are enormous. And, demonstrating the durability of earnings and strong free cash flow, the Board is pleased to announce our inaugural annual dividend which we expect to grow consistently. Our family is proud to be shareholders in this business."

Canada Packers Inc. Declares Quarterly Dividend

On November 4, 2025, the Board of Directors declared a quarterly dividend of $0.23 per share on the Company's common shares. The dividend will be payable on December 31, 2025 to shareholders of record as of December 10, 2025. Unless indicated otherwise by the Company at or before the time the dividend is paid, the dividend will be considered an eligible dividend for the purposes of the "Enhanced Dividend Tax Credit System".

Current and historical periods presented exclude certain "stand-alone" and financing costs

Until July 28, 2025, the Company's earnings included costs allocated by its then-parent, Maple Leaf Foods Inc. Those allocated costs were less than the contractual service costs and other estimated costs that the Company expects to incur as a public reporting entity. Management's estimates of the impact on those costs on Adjusted EBITDA are presented in "Management's Pro Forma Estimates and Related Non-IFRS Measures", below. Additionally, the Company will incur interest and financing costs related to its senior secured credit agreement entered into on October 1, 2025.

RESULTS OF OPERATIONS

Results for the Three and Nine Months Ended September 30, 2025 and 2024
The following table sets out selected financial data of Canada Packers for the periods presented.

Three months ended September 30,


Nine months ended September 30,

(in millions of Canadian dollars)(i)

(Unaudited)


2025

2024

% Change(ii)


2025

2024

% Change(ii)










Sales


$    481.8

$    420.2

14.7 %


$ 1,407.0

$ 1,234.5

14.0 %

Cost of goods sold


418.6

372.6

12.4 %


1,219.8

1,098.0

11.1 %

Gross profit


$      63.2

$       47.6

32.8 %


$    187.2

$    136.5

37.1 %

Selling, general and administrative expenses


20.5

18.4

11.4 %


57.4

51.0

12.5 %

Earnings before the following:


$      42.7

$       29.1

46.4 %


$    129.8

$      85.5

51.7 %

Other expense


5.6

0.4

nm


11.2

2.5

nm

Earnings before interest and income taxes


$      37.0

$       28.7

29.0 %


$    118.7

$      83.1

42.8 %

Interest expense


1.0

1.2

(15.4) %


3.3

3.3

0.5 %

Earnings before income taxes


$      36.0

$       27.5

30.9 %


$    115.4

$      79.8

44.5 %

Income tax expense


10.4

8.1

29.0 %


32.2

22.1

45.5 %

Earnings


$      25.6

$       19.4

31.7 %


$      83.2

$      57.7

44.2 %

Adjusted Operating Earnings(iii)


$      47.5

$       28.0

69.9 %


$    125.9

$      64.1

96.4 %

Adjusted EBITDA(iii)


$      60.2

$       41.4

45.4 %


$    161.2

$    101.0

59.6 %

Adjusted EBITDA Margin(iii)(iv)


12.5 %

9.9 %

2.6 %


11.5 %

8.2 %

3.3 %

Adjusted EBT(iii)


$      46.0

$       27.7

66.1 %


$    120.7

$      60.3

100.2 %

Earnings Margin(iii)(iv)


5.3 %

4.6 %

0.7 %


5.9 %

4.7 %

1.2 %










Hogs processed (in thousands)(v)


1,038

1,001

3.7 %


3,133

2,977

5.2 %

Internally sourced - %(iv)


47.2 %

44.1 %

3.1 %


47.2 %

44.1 %

3.1 %

Externally sourced - %(iv)


52.8 %

55.9 %

(3.1) %


52.8 %

55.9 %

(3.1) %

(i)  

Totals may not add due to rounding.

(ii)

"nm" indicates "not meaningful" where percentage changes are not considered informative.

(iii)

Represents a non-IFRS measure. For more information, see "Non-IFRS Financial Measures" elsewhere in this document.

(iv)

Changes in percentage amounts are calculated as 2025 value less 2024 value.

(v)  

Represents a supplemental operational measure.

Quarterly Results
Sales for the third quarter of 2025 increased 14.7% to $481.8 million compared to $420.2 million for the third quarter of 2024. Sales growth was driven by higher volumes and higher average hog weights, favourable market pricing, and favourable U.S. dollar and Japanese yen exchange rates.

During the third quarter of 2025, Canada Packers processed 1.04 million hogs, a 3.7% increase over 1.00 million hogs processed in the third quarter of 2024. In the third quarter of 2025, 47% of processed hogs were internally raised and 53% were externally sourced, compared with 44% internally raised and 56% externally sourced in the third quarter of 2024.

Gross profit for the third quarter of 2025 was $63.2 million (gross margin(i) of 13.1%) compared to $47.6 million (gross margin(i) of 11.3%) in 2024. The non-cash fair value changes in biological assets reduced gross profit by $4.9 million in the third quarter of 2025, compared to an increase of $3.7 million in the third quarter of 2024. These amounts are excluded in the calculation of Adjusted Operating Earnings, Adjusted EBITDA and Adjusted EBT. Gross profit is calculated as sales less cost of goods sold. It was positively impacted by favourable market conditions, including higher pork cutout values and lower feed costs which improved the vertically integrated spread, and favourable U.S. dollar and Japanese yen exchange rates. Gross profit was also positively impacted by higher processing volume and lower feed costs which was a combination of both market and operational efficiencies. Packer spread (pork cutout less hog market price) declined year over year.  

SG&A expenses for the third quarter of 2025 were $20.5 million (4.3% of sales), compared to $18.4 million (4.4% of sales) last year. The increase primarily reflects costs incurred under the Long-Term Services Agreement and Supply Agreement.

Interest expense for the third quarter of 2025 was $1.0 million, consistent with the $1.2 million recognized for the third quarter of 2024, primarily reflecting interest related to lease obligations.

Canada Packers' income tax expense for the third quarter of 2025 resulted in an effective tax rate of 29.0%. The effective tax rate for the third quarter of 2025 differs from the 2025 Canadian statutory tax rate of 26.4% primarily due to non-deductible expenses and income earned in other jurisdictions. Canada Packers' income tax expense for the third quarter of 2024 resulted in an effective tax rate of 29.4%. The effective tax rate for the third quarter of 2024 differs from the 2024 Canadian statutory tax rate of 26.4% primarily due to the mix of income earned in different jurisdictions.

Earnings for the third quarter of 2025 were $25.6 million compared to $19.4 million in 2024. The change in earnings is due to the factors outlined above for gross profit and SG&A, as well as an increase in other expenses from 2024 to 2025 due to transaction costs in connection with the Spin-Off which are excluded from the calculation of Adjusted Operating Earnings, Adjusted EBITDA and Adjusted EBT.

Earnings margin for the third quarter of 2025 was 5.3% compared to 4.6% in 2024. The change in margin is consistent with the factors noted above for earnings.

Adjusted Operating Earnings for the third quarter of 2025 were $47.5 million compared to $28.0 million in 2024 due to similar factors as noted above for gross profit and SG&A, excluding the change in fair value of biological assets and derivatives, which are excluded in the calculation of Adjusted Operating Earnings.

Adjusted EBITDA for the third quarter of 2025 was $60.2 million compared to $41.4 million in 2024 due to similar factors as noted above for Adjusted Operating Earnings.

Adjusted EBITDA margin for the third quarter of 2025 was 12.5% compared to 9.9% in 2024. The increase in margin is consistent with the factors noted above for Adjusted EBITDA.

Adjusted EBT for the third quarter of 2025 was $46.0 million compared to $27.7 million in 2024. The factors impacting Adjusted EBT in the third quarter of 2025 are similar to the factors noted above for Adjusted EBITDA and lower interest expense.

Year-to-Date Results
Year-to-date sales for 2025 increased 14.0% to $1.4 billion compared to $1.2 billion for the corresponding period in 2024, driven by higher volumes and higher average hog weights, favourable market pricing, and favourable U.S. and Japanese yen exchange rates.

During the year-to-date period in 2025, Canada Packers processed 3.13 million hogs, a 5.2% increase over 2.98 million hogs processed in the corresponding period in 2024. Year-to-date 2025, 47% of processed hogs were internally raised and 53% were externally sourced, compared with 44% internally raised and 56% externally sourced in the corresponding period in 2024.

Year-to-date gross profit for 2025 was $187.2 million (gross margin(i) of 13.3%) compared to $136.5 million (gross margin(i) of 11.1%) for the corresponding period in 2024. The non-cash fair value changes in biological assets increased gross profit by $3.4 million in 2025 year-to-date, compared to $20.4 million in the corresponding period in 2024; these amounts are excluded in the calculation of Adjusted Operating Earnings, Adjusted EBITDA and Adjusted EBT. The increased gross profit was driven primarily by favourable market conditions, including higher pork cutout values and lower feed costs which improved the vertically integrated spread, and favourable U.S, and Japanese yen exchange rates. Packer spread (pork cutout less hog market price) was relatively flat year over year. 

Year-to-date SG&A expenses for 2025 were $57.4 million (4.1% of sales), compared to $51.0 million (4.1% of sales) for the corresponding period in 2024. The increase primarily reflects costs incurred under the Long-Term Services Agreement and Supply Agreement.

Year-to-date interest expense for 2025 was $3.3 million, consistent with the $3.3 million recognized for the corresponding period in 2024, primarily reflecting interest related to lease obligations.

Canada Packers' year-to-date income tax expense for 2025 resulted in an effective tax rate of 27.9%. The effective tax rate for the year-to-date 2025 differs from the year-to-date 2025 Canadian statutory tax rate of 26.4% primarily due to non-deductible expenses and income earned in other jurisdictions. Canada Packers' year-to-date income tax expense for 2024 resulted in an effective tax rate of 27.7%. The effective tax rate for year-to-date 2024 differs from year-to-date 2024 Canadian statutory tax rate of 26.4% primarily due to the reasons described above.

Year-to-date earnings for 2025 were $83.2 million, compared to $57.7 million for the corresponding period in 2024. The improvement in earnings is due to similar factors as noted above for gross profit and SG&A, as well as an increase in other expenses from 2024 to 2025 due to transaction costs relating to the Spin-Off, which are excluded from the calculation of Adjusted Operating Earnings, Adjusted EBITDA and Adjusted EBT.

Year-to-date earnings margin for 2025 was 5.9% compared to 4.7% for the corresponding period in 2024. The increase in margin is consistent with the factors noted above for earnings.

Year-to-date Adjusted Operating Earnings for 2025 were $125.9 million compared to $64.1 million for the corresponding period in 2024 due to similar factors as noted above for gross profit and SG&A, excluding the changes in fair value of biological assets and derivatives, which are excluded in the calculation of Adjusted Operating Earnings.

Year-to-date Adjusted EBITDA for 2025 was $161.2 million compared to $101.0 million for the corresponding period in 2024 due to similar factors as noted above for Adjusted Operating Earnings.

Year-to-date Adjusted EBITDA margin for 2025 was 11.5% compared to 8.2% for the corresponding period in 2024. The increase in margin is consistent with the factors noted above for Adjusted EBITDA.

Year-to-date Adjusted EBT for 2025 was $120.7 million compared to $60.3 million for the corresponding period in 2024. The factors impacting Adjusted EBT in year-to-date 2025 are similar to the factors noted above for Adjusted EBITDA and including the impact of interest expense.

(i)

Gross margin is defined as gross profit (loss) divided by sales.

NON-IFRS FINANCIAL MEASURES
Canada Packers uses the following non-IFRS measures: Adjusted Operating Earnings, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EBT, Free Cash Flow, Adjusted Free Cash Flow and Earnings Margin. Management believes that these non-IFRS measures provide useful information to investors in measuring the financial performance of Canada Packers for the reasons outlined below. These measures do not have a standardized meaning prescribed by IFRS and therefore they may not be comparable to similarly titled measures presented by other publicly traded companies and should not be construed as an alternative to other financial measures determined in accordance with IFRS.

Adjusted Operating Earnings, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EBT and Earnings Margin
Adjusted Operating Earnings, Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted EBT are non-IFRS measures used by management to evaluate financial operating results. Adjusted Operating Earnings is defined as earnings before income taxes adjusted for items that are not considered representative of ongoing operational activities of the business and items where the economic impact of the transactions will be reflected in earnings in future periods when the underlying asset is sold or transferred. Adjusted EBITDA is defined as Adjusted Operating Earnings plus depreciation and amortization, adjusted for items included in other expense that are considered representative of ongoing operational activities of the business. Adjusted EBITDA Margin is calculated as Adjusted EBITDA divided by sales. Adjusted EBT is used annually by Canada Packers to evaluate its performance and is a component of calculating bonus entitlements under the Company's short term incentive plan. It is defined as Adjusted EBITDA less depreciation and amortization and interest expense and income. Earnings Margin is calculated as earnings determined in accordance with IFRS, divided by sales. 

The table below provides a reconciliation of earnings before income taxes as reported under IFRS in the Condensed Consolidated Interim Financial Statements to Adjusted Operating Earnings, Adjusted EBITDA and Adjusted EBT for the periods ended as indicated below. Management believes that these non-IFRS measures are useful in assessing the performance of Canada Packers ongoing operations and its ability to generate cash flows to fund its cash requirements, including Canada Packers capital investment program.

Three Months Ended
September 30,

Nine Months Ended
September 30,

($ millions except margin)

(Unaudited)

2025

2024

2025

2024

Earnings before income taxes

$               36.1

$               27.5

$            115.4

$              79.8

Interest expense

1.0

1.2

3.3

3.3

Other expense(i)

5.6

0.4

11.1

2.4

Earnings from operations

$               42.7

$               29.1

$            129.8

$              85.5

(Increase) decrease in fair value of biological assets(ii)

4.9

(3.7)

(3.4)

(20.4)

Change in unrealized loss (gain) on derivative contracts(iii)

(0.1)

2.7

(0.5)

(1.0)

Adjusted Operating Earnings

$               47.5

$               28.1

$            125.9

$              64.1

Depreciation and amortization

13.2

12.5

37.2

37.4

Items included in other expense representative of ongoing operations(iv)

(0.5)

0.8

(1.9)

(0.5)

Adjusted EBITDA

$               60.2

$               41.4

$            161.2

$            101.0

Adjusted EBITDA margin

12.5 %

9.9 %

11.5 %

8.2 %

Interest expense

(1.0)

(1.2)

(3.3)

(3.3)

Depreciation and amortization

(13.2)

(12.5)

(37.2)

(37.4)

Adjusted EBT

$               46.0

$               27.7

$            120.7

$              60.3

Earnings Margin

5.3 %

4.6 %

5.9 %

4.7 %

(i) 

Other expense primarily consists of Spin-Off costs allocated to Canada Packers and certain costs associated with sustainability projects.

(ii) 

Refer to Note 6 of the Condensed Consolidated Interim Financial Statements for further details regarding biological assets.

(iii) 

Changes in unrealized losses and gains on derivative contracts are reported within cost of goods sold in the Condensed Consolidated Interim Financial Statements.

(iv) 

These items primarily consist of activities that management believes to be representative of the ongoing operations of Canada Packers such as gains and losses on the sales of fixed assets or lease modifications as well as certain costs associated with sustainability projects.  

Free Cash Flow and Adjusted Free Cash Flow
Free Cash Flow and Adjusted Free Cash Flow are non-IFRS measures used by management to evaluate cash flow after investing in maintenance of the Company's asset base. Free Cash Flow is defined as cash provided by operating activities, less Maintenance Capital(i)  including associated interest paid and capitalized. Adjusted Free Cash Flow is defined as Free Cash Flow modified to exclude changes in non-cash operating working capital. The following table calculates Free Cash Flow and Adjusted Free Cash Flow for the periods indicated.

Three Months Ended September 30,

Nine Months Ended September 30,

($ millions)

2025

2024

2025

2024

Cash provided by operating activities

$                   39.1

$                   34.0

$                 159.7

$                 84.7

Maintenance Capital (i)

(9.5)

(8.5)

(25.4)

(20.1)

Free Cash Flow

$                   29.6

$                   25.5

$                 134.3

$                 64.6

Changes in non-cash operating working capital

12.8

2.8

(6.6)

11.8

Adjusted Free Cash Flow

$                   42.4

$                   28.3

$                 127.7

$                 76.4

(i)         

Maintenance Capital is defined as non-discretionary investment required to maintain the Company's existing operations and competitive position.

Management's Pro Forma Estimates and Related Non-IFRS Measures
The following table presents management's pro forma estimates of certain financial information regarding Canada Packers. These estimates have not been audited or reviewed by any third party, have been derived from internal management reporting, and reflect sales, cost and expense allocations, including with respect to corporate expenses, as well as other estimates and adjustments, each of which is subject to change.

Quarter ended

Last twelve
months

($ millions)

(unaudited)

December 31,
2023

March 31,
2024

June 30,

2024

September 30,
2024

December 31,
2024

March 31,

 2025

June 30,

2025

September 30,
2025

September 30,
2025

Sales (IFRS)

$          395

$           394

$          420

$          420

$          424

$          452

$          473

$          482

$       1,831

Estimate of potential

impact of separation(i)

$           (30)

$           (15)

$           (15)

$           (19)

$           (20)

$           (20)

$           (17)

$             (6)

$           (63)

Pro Forma Sales

$          365

$           379

$          405

$          401

$          404

$          432

$          456

$          476

$       1,768

Adjusted EBITDA(ii)

$            21

$            26

$            33

$            41

$            45

$            50

$            51

$            60

$          206

Adjusted EBITDA

Margin(ii)

5.3 %

6.7 %

7.9 %

9.7 %

10.7 %

11.0 %

10.9 %

12.5 %

11.3 %

Estimate of potential

impact of separation(iii)

$             (5)

$             (3)

$             (5)

$            —

$             (6)

$             (6)

$             (7)

$             (4)

$           (23)

Pro Forma Adjusted

EBITDA(iv)

$            16

$            23

$            28

$            41

$            39

$            44

$            44

$            56

$          183

Pro Forma Adjusted

EBITDA margin(v)

4.4 %

5.9 %

6.9 %

10.2 %

9.6 %

10.3 %

9.8 %

11.8 %

10.4 %

(i)  

Management's preliminary estimate of the potential impact on sales if the separation had occurred before the beginning of the period shown. Primarily relates to management's preliminary estimate of the change in sales as a result of the potential impact of the supply agreement and other contractual arrangements, (as if those had been in effect during the periods presented). This estimate is subject to change.

(ii)  

Represents a non-IFRS measure. For more information, see "Non-IFRS Financial Measures" in this news release. For a reconciliation of Adjusted EBITDA to earnings before income taxes, refer to the management information circular of Maple Leaf Foods dated May 1, 2025 and filed on Maple Leaf Foods' SEDAR+ profile on May 12, 2025.

(iii)  

Management's preliminary estimate of the potential impact on Adjusted EBITDA if the separation had occurred before the beginning of the period shown.  Primarily relates to management's preliminary estimate of (1) a change in Adjusted EBITDA of Canada Packers as a result of the potential impact of the supply agreement and other contractual arrangements (as if those had been in effect during the periods presented), (2) public company costs that would have been incurred by Canada Packers, and (3) a reallocation of certain SG&A expenses. This estimate is subject to change.

(iv)  

Defined as Adjusted EBITDA plus management's preliminary estimate of the potential impact of the separation, and subject to the qualifications described in (iii) above.

(v)  

Defined as Pro Forma Adjusted EBITDA, as described in (iv) above, divided by Pro Forma Sales. 

The Company's Condensed Consolidated Interim Financial Statements and Management's Discussion and Analysis for the three and nine months ended September 30, 2025 are available on SEDAR+ and on the Company's website at canadapackers.com.

Canada Packers Q3 2025 Earnings Conference Webcast: 

What:

Canada Packers Q3 2025 Earnings Conference Call

Who:

Dennis Organ, President and Chief Executive Officer


Deepak Bhandari, Chief Financial Officer

When:                                   

November 5, 2025 at 9:30 am ET

Call Details:

Please click here to register for the webcast

To participate via conference call, please dial-in 647-932-3411 or 1-800-715-9871. All dial-in participants should ask to join the Canada Packers call. To join the conference call without operator assistance, you may register at the following link: https://registrations.events/easyconnect/5717661/recvWvegIGV8vgkPU/. For those unable to participate at the scheduled time, playback will be made available within two hours after the event at 647-362-9199 or 1-800-770-2030, entry code: 5717661.

Within 48 hours following the event, the webcast replay will be archived and available on the Company's website at canadapackers.com/investors/events-and-presentations/.

About Canada Packers
Canada Packers (TSX: CPKR) is one of North America's largest producers of raised without antibiotics (RWA) pork and is committed to its vision to be the global standard in sustainable pork. Headquartered in Mississauga, Ontario, Canada Packers delivers a premium mix of products to a diverse mix of customers in North America and across the globe through representative offices in Mexico, South Korea, Japan, and the Philippines. The Company's integrated operations span hog production, processing, and value-added innovation. Proudly raised; Responsibly made.

Forward-looking statements
This document contains, and the Company's oral and written public communications often contain, "forward-looking information" within the meaning of applicable securities law. These statements are based on current expectations, estimates, projections, beliefs, judgements and assumptions based on information available at the time the applicable forward-looking statement was made and in light of the Company's experience combined with its perception of historical trends. Such statements include, but are not limited to, statements with respect to objectives and goals, in addition to statements with respect to beliefs, plans, targets, goals, objectives, expectations, anticipations, estimates, and intentions. Forward-looking statements are typically identified by words such as "anticipate", "continue", "estimate", "expect", "may", "will", "project", "should", "could", "would", "believe", "plan", "intend", "design", "target", "undertake", "view", "indicate", "maintain", "explore", "entail", "schedule", "objective", "strategy", "likely", "potential", "outlook", "aim", "propose", "goal", and similar expressions suggesting future events or future performance. These statements are not guarantees of future performance and involve assumptions, risks and uncertainties that are difficult to predict.

By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Company believes the expectations reflected in the forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon.

Specific forward-looking information in this document may include, but is not limited to, statements with respect to expected future cash flows, the sufficiency thereof and availability of capital to fund growth plans including the Canada Packers capital investment program, operating obligations and dividends; the anticipated future financial performance of the Company; terms, timing and receipt of regulatory approval to sell into China; the amount and timing of dividend payments including the tax treatment thereof; and the timing of the release of financial results, conference call, and replay of the conference call.

Various factors or assumptions are typically applied by the Company in drawing conclusions or making the forecasts, projections, predictions or estimations set out in the forward-looking statements. These factors and assumptions are based on information currently available to the Company, including information obtained by the Company from third-party sources and include but are not limited to, expectations regarding the adaptations in operations, supply chain, customer and consumer behaviour, economic patterns (including but not limited to global pork markets), foreign exchange rates, tariffs and other international trade dynamics, access to capital, and potential structural changes in global economic patterns; the competitive environment, associated market conditions (including tariffs) and market share metrics, category growth or contraction, the expected behaviour of competitors and customers and trends in consumer preferences; the success of the Company's business strategy and the relationship between pricing, inflation, volume and sales of the Company's products; prevailing commodity prices, implications of tariffs, interest rates, tax rates and exchange rates; the economic condition of and the sociopolitical dynamics between Canada, the U.S., Japan and China, and the ability of the Company to access markets and source ingredients and other inputs in light of global sociopolitical disruption, and the ongoing impact of global conflicts on inflation, trade and markets; the spread of foreign animal disease (including African Swine Fever) preparedness strategies to manage such spread, and implications for the global pork market; expectations and assumptions as to the timely receipt of regulatory approval in form and substance satisfactory to allow the Company to sell into China; availability of and access to capital to fund future capital requirements and ongoing operations; prevailing regulatory, tax and environmental laws; and future operating costs and performance, including the Company's ability to achieve operating efficiencies and maintain sales volumes, turnover of inventories and turnover of accounts receivable.

Readers are cautioned that the assumptions on which this information is based may prove to be incorrect in whole or in part, and actual outcomes may differ materially from those anticipated in any forward-looking statements.

Factors that could cause actual results or outcomes to differ materially from the results expressed, implied, or projected in the forward-looking statements contained in this document include, among other things, risks associated with, the results of Canada Packers' execution of its business plan, the degree to which benefits are realized or not and the timing to realize those benefits, including the implications on the financial results; potential structural changes in global economic patterns which may have implications for the operations and financial performance of the Company, as well the ongoing implications for macro socio-economic trends, trade action and global conflict; macro-economic trends, including inflation, consumer behaviour, recessionary indicators, labour availability and labour market dynamics and international trade trends, including tariffs, duties and global pork markets; competition, market conditions, and the activities of competitors and customers, including the expansion or contraction of key categories, inflationary pressures, pork market dynamics and Japan export margins; the health status of livestock, including the impact of potential pandemics; failure to receive the regulatory approval required to be able to sell into China; international trade and access to markets and supplies, as well as social, political and economic dynamics, including global conflicts; operating performance, including manufacturing operating levels, fill rates and penalties; availability of and access to capital, and compliance with credit facility covenants; decisions respecting the return of capital to shareholders; the execution of capital projects and investment in maintenance capital; food safety, consumer liability and product recalls; climate change, climate regulation and the Company's sustainability performance; strategic risk management; acquisitions and divestitures; fluctuations in the debt and equity markets; fluctuations in interest rates and currency exchange rates; cyclical nature of the cost and supply of hogs and the competitive nature of the pork market generally; the effectiveness of commodity and interest rate hedging strategies; impact of changes in the market value of the biological assets and hedging instruments; intellectual property, including product innovation, product development, brand strategy and trademark protection; reputation; weather; compliance with government regulation and adapting to changes in laws; actual and threatened legal claims; consumer trends and changes in consumer tastes and buying patterns; environmental regulation and potential environmental liabilities; employment matters, including complying with employment laws across multiple jurisdictions, the potential for work stoppages due to non-renewal of collective agreements, recruiting and retaining qualified personnel, reliance on key personnel and succession planning; pricing of products; managing the Company's supply chain; changes in International Financial Reporting Standards and other accounting standards that the Company is required to adhere to for regulatory purposes; logistical considerations outside of our control; and other factors as set out under the heading "Risk Factors" of the Management Information Circular of Maple Leaf Foods Inc. filed on SEDAR+ on May 12, 2025. The Company cautions readers that the foregoing list of factors is not exhaustive.

All forward-looking statements included herein speak only as of the date hereof. Unless required by law, the Company does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. All forward-looking statements contained herein are expressly qualified by this cautionary statement.

SOURCE Canada Packers Inc.