B+G Foods: Reports Q3-2023 Financial Results

Parsippany / NJ. (bgs) B+G Foods Inc. announced financial results for the third quarter and 9M-2023.

Debt Refinancing and Equity Issuance Summary

• During the third quarter of 2023:
  • Issued and sold 6,332,846 shares of common stock under the Company’s ATM equity offering program for an average price per share of USD 11.90, or gross proceeds of USD 75.3 million.
  • Repurchased USD 20.2 million aggregate principal amount of 5.25 percent senior notes due 2025 in open market purchases at an average discounted repurchase price of 96.92 percent plus accrued and unpaid interest. As of the end of the third quarter, USD 855.4 million aggregate principal amount of the 5.25 percent senior notes due 2025 remained outstanding.
  • Completed an offering of USD 550.0 million aggregate principal amount of 8.00 percent senior secured notes due 2028 at a price of 99.502 percent.
• During the first month of the fourth quarter of 2023:
  • Completed the redemption of USD 555.4 million aggregate principal amount of 5.25 percent senior notes due 2025. As of November 8, 2023, USD 300.0 million aggregate principal amount of the 5.25 percent senior notes due 2025 remain outstanding.

Sale of the Green Giant U.S. Shelf-Stable Product Line

• As announced in a separate press release, the Company has sold its Green Giant U.S. shelf‑stable product line to Seneca Foods Corporation, effective immidiately. The sale does not include Green Giant frozen, Green Giant Canada or the Le Sueur brand.
• In connection with the sale, the Company recorded pre-tax, non-cash charges of USD 132.9 million during the third quarter of 2023.

Guidance for Full Year Fiscal 2023

• Net sales revised to a range of USD 2.05 billion to USD 2.07 billion.
• Adjusted Ebitda reaffirmed at a range of USD 310 million to USD 330 million.
• Adjusted diluted earnings per share revised to a range of USD 0.93 to USD 1.13.

Commenting on the results, Casey Keller, President and Chief Executive Officer said, «Our third quarter results continued strong margin recovery, with adjusted Ebitda as a percentage of net sales increasing 80 basis points versus last year to 16.0 percent. Overall, we remain on track to deliver adjusted Ebitda within our previously issued guidance range of USD 310 to USD 330 million. Further, we announced the divestiture and sale of our Green Giant U.S. canned vegetable product line to Seneca Foods, a critical step in our continuing efforts to reshape the B+G Foods portfolio for future focus and valuation growth.»

For additional information please read the Company’s PDF file below (125 KB):

20231108-BGFOODS-Q3-2023.