树屋食品 2024年度报告

OUR PURPOSE ENGAGE AND DELIGHT – ONE CUSTOMER AT A TIME ABOUT US OUR VALUES We are a leading private brands snacking andbeverage manufacturer in North America. Ourpurpose is to engage and delight– one customer ata time. Through our customer focus and categoryexperience, we strive to deliver excellent serviceand build capabilities and insights to drive mutuallyprofitable growth for TreeHouse Foods and for ourcustomers. Our purpose is supported by investmentin depth, capabilities and operational efficiencieswhich are aimed to capitalize on the long-termgrowth prospects in the categories in which weoperate. COMMIT TO EXCELLENCE BE AGILE SPEAK UP BETTER TOGETHER Message from ourChairman, CEO,and President Steven Oakland Dear Fellow Stockholders: “”We recognizethat consistentexecution acrossour network remainsparamount. Wehave made the rightinvestments to driveimprovementsin this area, whichwill lead to strongerand moreconsistent financialperformance. I’m pleased to share our 2024 Annual Report with you. Our strategy is focusing onoperating as a more simplified private brands snacking and beverage company, whichwe will discuss in greater detail below. As we begin another year, TreeHouse Foods iswell positioned as a focused category leader with a long runway for future growth andvalue creation. Our Strategy in Action In 2024 we made significant progress executing our strategy to achieve: World Class Supply Chain:Our procurement and distribution teams workeddiligently throughout the year as we undertook initiatives to drive savings in multipleareas. Procurement was a particular standout, as we were able to better leverage ourpurchasing scale to build stronger strategic relationships with our suppliers. This workdrove significant gross cost savings in the second half of 2024, and we enter 2025 froma position of strength given the significant momentum gathered in this area. Additionally, we continued to focus on improving consistency and executionwithin our supply chain as we sought to strengthen our competitive positioningand partnerships with our customers. TreeHouse Management Operating System(“TMOS”) initiatives contributed to enhanced margin performance by improvingmany operating metrics, including higher overall equipment effectiveness. Platform Depth:We remain focused on building further depthand capabilities within our core categories to drive futuregrowth. We made multiple strategic investments in variouscategories in recent years, including coffee. As we closedout 2024, we made another significant strategicinvestment in alignment with our long-termstrategy to build capabilities in ourhigher-growth, higher-margin categories. In January 2025, we completed the purchase of Harris Tea. Thistransaction strengthens our competitive positioning in the fast-growing private label tea category and adds unique blendingand sourcing capabilities that customers desire, building uponTreeHouse Foods’ category leadership and enhancing ourposition through additional depth and scale. The acquisitionincludes Harris Tea’s manufacturing facilities in Moorestown,NJ, and Marietta, GA, and provides vertical integration acrossthe Company’s existing tea business. We are pleased towelcome more than 300 Harris Tea colleagues to our company. Maintaining Financial Flexibility We ended 2024 with a Net Debt to adjusted EBITDA ratioof approximately 3.3x, well within our target range. Wegenerated over $125 million in Free Cash Flow. In addition tothe investments we made to enhance our capabilities andstrengthen our supply chain, we also repurchased almost $150million of company stock. We will continue to take a disciplined approach to capitalallocation, prioritizing investments in the business that areintended to enhance our competitive position and consistencyof execution in our supply chain, while maintaining a strongbalance sheet, and opportunistically returning capital tostockholders. Strategic Customer Partnerships:Our customerrelationships remain at the center of everything we do as an organization. We executed a significant number of top-to-topmeetings with retail grocery customers throughout 2024, andeach remains strategically focused on growing their privatebrands business with TreeHouse Foods. We also continuejoint business planning with a portion of our customers aswe look to drive mutually beneficial activation of strategicgrowth initiatives. Talent Leader:Our people and talent are the beatingheart of our organization. In 2024, we made strategicinvestments to move closer to our goal of beingthe employer of choice in the markets where weoperate. This included enriching our employeevalue proposition with enhancements to ourwages and benefits policies and programs.We also deployed a new competency-basedcareer development framework, invested in ourworkforce training and development with a newonline learning management system, and launcheda new recognition platform that was a key driver ofemployee engagement in