Company: UTZ
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001739566-25-000111
Chunk: 40

Company: Utz Brands, Inc.
Filing Date: 2025-05-01
Form: 10-Q
Item: Part I, Item 1
Chunk 40
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-GAAP historical results on a comparable basis.

EBITDA and Adjusted EBITDA

We define EBITDA as net income before interest, income taxes, and depreciation and amortization.

We define Adjusted EBITDA as EBITDA further adjusted to exclude certain non-cash items, such as accruals for long-term incentive programs and asset impairments and hedging and purchase commitments adjustments; remeasurement of warrant liabilities; acquisition, divestiture and integration costs and gains; business transformation initiatives; and financing-related costs.

Adjusted EBITDA is one of the key performance indicators we use in evaluating our operating performance and in making financial, operating, and planning decisions. We believe EBITDA and Adjusted EBITDA are useful to investors in the evaluation of Utz’s operating performance compared to other companies in the salty snack industry, as similar measures are commonly used by companies in this industry; however, we caution that other companies may use different definitions from us and such figures may not be directly comparable to our figures. We also report Adjusted EBITDA as a percentage of net sales as an additional measure for investors to evaluate our Adjusted EBITDA margins on net sales.

The following table provides a reconciliation from net income to EBITDA and Adjusted EBITDA for the thirteen weeks ended March 30, 2025 and March 31, 2024:

(dollars in millions)Thirteen weeks ended March 30, 2025Thirteen weeks ended March 31, 2024Net income$5.7 $2.4 Plus non-GAAP adjustments:Income Tax Expense(0.6)26.5 Depreciation and Amortization18.7 18.3 Interest Expense, Net11.5 13.8 Interest Income (IO loans)(1)(0.5)(0.8)EBITDA34.8 60.2 Certain Non-Cash Adjustments(2)5.7 4.0 Acquisitions, Divestitures and Investments(3)7.4 (38.4)Business Transformation Initiatives(4)7.4 5.8 Financing-Related Costs(5)0.8 — (Gain) loss on Remeasurement of Warrant Liability(6) (11.0)11.8 Adjusted EBITDA$45.1 $43.4 Net income as a % of Net Sales1.6 %0