Rogers Sugar Reports Strong Third Quarter Results with Robust Demand from Sugar and Maple Segments
VANCOUVER, British Columbia, Aug. 12, 2025 (GLOBE NEWSWIRE) -- Rogers Sugar Inc. (the "Company", "Rogers", "RSI" or "our," "we", "us") (TSX:RSI) today reported results for the third quarter and first nine months of fiscal 2025. Consolidated adjusted EBITDA for the quarter rose to $36.6 million, driven by strong performance in the Company's Maple and Sugar segments.
"Our strong performance reflects the steady underlying demand for our sweeteners combined with the work we have done over the years in optimizing the business," said Mike Walton, President and Chief Executive Officer of Rogers and Lantic Inc. "The evolving trade conditions related to US tariffs has generated some volatility in the market over the last few months. However, it has had limited impact on both of our business segments thus far."
Third Quarter 2025 Consolidated Highlights
Q3 2025
Q3 2024
YTD 2025
YTD 2024
(unaudited)
Financials ($000s)
Revenues
313,761
309,091
963,236
898,734
Gross margin
48,500
36,635
148,205
126,140
Adjusted gross margin(1)
51,993
47,742
150,749
141,353
Results from operating activities
25,722
16,315
86,020
67,129
EBITDA(1)
33,071
23,372
108,337
88,081
Adjusted EBITDA(1)
36,564
34,479
110,881
103,294
Net earnings
14,429
7,379
50,781
35,167
per share (basic)
0.11
0.06
0.40
0.31
per share (diluted)
0.10
0.06
0.36
0.28
Adjusted net earnings(1)
17,041
16,337
52,723
47,841
Adjusted net earnings per share (basic)(1)
0.13
0.13
0.41
0.42
Trailing twelve months free cash flow(1)
87,804
74,542
87,804
74,542
Dividends per share
0.09
0.09
0.27
0.27
Volumes
Sugar (metric tonnes)
191,147
185,799
585,502
548,793
Maple Syrup (thousand pounds)
13,796
11,392
40,472
35,021
(1) See "Cautionary statement on Non-IFRS Measures" section of this press release for definition and reconciliation to IFRS measures.
The current market volatility associated with the trade conditions related to the new US tariffs on imports has had a limited impact on our business and the business of our customers thus far. We are closely monitoring this evolving situation and engaging with the different stakeholders involved.
During the third quarter, we legally changed the name of our Maple segment from the Maple treat Corporation to Lantic Maple Inc.;
Consolidated adjusted net earnings(1) for the third quarter and the first nine months of 2025 amounted to $17.0 and $52.7 million, compared to $16.3 million and $47.8 million for the same periods last year.
Consolidated adjusted EBITDA(1) for the third quarter of fiscal 2025 amounted to $36.6 million, an increase of $2.1 million compared to the same period last year, driven by higher contribution from our Sugar segment, partially offset by a slightly lower contribution from our Maple segment.
Consolidated adjusted EBITDA(1) for the first nine months of fiscal 2025 was $110.9 million, an increase of $7.6 million from the same period last year, driven by an increase in sales volumes in both of our business segments.
Adjusted EBITDA(1) in the Sugar segment was $32.5 million in the third quarter, an increase of $2.4 million compared to last year, mainly due to higher sales volume and increased adjusted gross margin.
Sales volumes in the Sugar segment at 191,100 metric tonnes for the current quarter were aligned with our expectation, despite the current market volatility associated with the revised trade conditions with the US.
Adjusted EBITDA(1) in the Maple segment was $4.0 million in the third quarter, a decrease of $0.3 million from the same quarter last year, largely driven by unfavourable customers mix of products sold during the quarter and the impact of opportunistic purchases of maple syrup last year which favourably impacted the cost of goods sold.
Sales volumes in the Maple segment for the first nine months of 2025 are 16% higher than in the same period last year, due to favourable market conditions.
During the third quarter of 2025, we spent $30.3 million on additions to property, plant and equipment, of which $25.7 million was spent in connection with the expansion of our Eastern sugar refining and logistic capacity (the "LEAP Project").
The construction phase related to the expansion of the sugar refining capacity of the LEAP Project in Montréal is progressing as planned. In the third quarter, we completed the construction of the new electrical room, we advanced the structural portion related to the refurbishment of the main expansion building, and we began the installation of sugar refining equipment and logistic infrastructures.
Free cash flow(1) for the trailing 12 months ended June 28, 2025, was $87.8 million, an increase of $13.3 million from the same period last year, largely driven by higher consolidated adjusted EBITDA(1) .
On May 9, 2025, we have entered into a new five-year agreement with the Alberta Sugar Beet Growers for the supply of sugar beets to the Taber beet plant. The first crop related to the new agreement will be harvested in the fall of 2025.
In the third quarter of fiscal 2025, we paid a common share dividend of $0.09 per share to our shareholders for a total of $11.5 million.
Subsequent to the end of the quarter, the principal amount of $97.6 million of the Seventh series convertible unsecured subordinated debentures ("Seventh series debentures") matured and was repaid on June 30, 2025, to the holders.
On August 11, 2025, the Board of Directors declared a quarterly common share dividend of $0.09 per share, payable on or before October 15, 2025.
On August 11, 2025, Eric Morisset was appointed on the Board of Directors of RSI, effective September 2, 2025. Mr. Morisset will be seeking election at the next Annual General Meeting of the Shareholders in February 2026.(1) See "Cautionary statement on Non-IFRS Measures" section of this press release for definition and reconciliation to IFRS measures.
Sugar
Third Quarter 2025 Sugar Highlights
Q3 2025
Q3 2024
YTD 2025
YTD 2024
(unaudited)
Financials ($000s)
Revenues
246,281
252,453
763,749
725,218
Gross margin
40,340
31,304
126,022
107,710
Adjusted gross margin(1)
46,457
41,862
128,946
123,041
Per metric tonne ($/ mt) (1)
243
225
220
224
Administration and selling expenses
13,173
11,003
32,039
31,197
Distribution costs
6,395
6,137
20,097
18,415
Results from operating activities
20,772
14,164
73,886
58,098
EBITDA(1)
26,420
19,553
91,098
74,047
Adjusted EBITDA(1)
32,537
30,111
94,022
89,378
Volumes (metric tonnes)
Total volume
191,147
185,799
585,502
548,793
(1) See "Cautionary statement on Non-IFRS Measures" section of this press release for definition and reconciliation to IFRS measures.
In the third quarter of fiscal 2025, revenues decreased by $6.2 million compared to the same period last year, largely driven by lower average price for Raw #11. The average prices for Raw #11 decreased by US 2.2 cents per pound to US 17.4 cents per pound for the current quarter, when compared to the same period last year. This negative variance was partially offset by higher sales volume compared to the same period last year.
In the third quarter of fiscal 2025, sugar volume totalled approximately 191,100 metric tonnes, an increase of approximately 3% or 5,300 metric tonnes compared to the same period last year. The variances in sales volumes by customer categories were as follows:
Industrial volume increased by 2,400 metric tonnes as compared to the same quarter last year, reflecting strong demand from existing customers.
Liquid volume decreased by 5,500 metric tonnes compared to the same quarter last year, mainly related to the loss of two large customers in Western Canada.
Consumer volume was slightly higher than last year, due to timing.
Export volume increased by 7,900 metric tonnes in the third quarter of 2025, reflecting higher sales to existing customers due to increase demand in the US market.
Gross margin was $40.3 million for the current quarter and included a loss of $6.1 million for the mark-to-market of derivative financial instruments. For the same period last year, gross margin was $31.3 million with a mark-to-market loss of $10.6 million.
Adjusted gross margin increased by $4.6 million in the third quarter compared to the same period last year mainly as a result of higher sales volume and increased sugar sales margin from higher average pricing on sugar refining-related activities.
On a per-unit basis, adjusted gross margin for the third quarter was $243 per metric tonne, higher than last year by $18 per metric tonne. The favourable variance was mainly due to a favourable sales mix along with market-based incremental pricing to customers.
Results from operating activities for the third quarter of fiscal 2025 were $20.8 million, an increase of $6.6 million from the same period last year. These results included gains and losses from the mark-to-market of derivative financial instruments.
EBITDA for the third quarter of fiscal 2025 was $26.4 million compared to $19.6 million in the same period last year. These results include gains and losses from the mark-to-market of derivative financial instruments.
Adjusted EBITDA for the third quarter at $32.5 million, increased by $2.4 million compared to the same period last year, largely as a result of higher adjusted gross margin, partially offset by higher distribution costs and administration and selling expenses.
Maple
Third Quarter 2025 Maple Highlights
Q3 2025
Q3 2024
YTD 2025
YTD 2024
(unaudited)
Financials ($000s)
Revenues
67,480
56,638
199,487
173,516
Gross margin
8,160
5,331
22,183
18,430
Adjusted gross margin(1)
5,536
5,880
21,803
18,312
As a percentage of revenues (%) (1)
8.2%
10.4%
10.9%
10.6%
Administration and selling expenses
3,088
2,833
9,420
8,510
Distribution costs
122
347
629
889
Results from operating activities
4,950
2,151
12,134
9,031
EBITDA(1)
6,651
3,819
17,239
14,034
Adjusted EBITDA(1)
4,027
4,368
16,859
13,916
Volumes (thousand pounds)
Total volume
13,796
