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  "documentTitle": "Saputo Inc. (TSX:SAP)",
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  "authorName": "Spruce Point Capital Management",
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  "presentationDate": "2022-11-29 00:00:00",
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      "text": "While Saputo does not disclose profitability or Adjusted EBITDA for its Australian business, but claimed in 2018 it would be at respectable levels.",
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      "text": "Australia Comments In August 2018",
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      "text": "Australia Comments In June 2022",
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      "text": "While Saputo does not disclose profitability or Adjusted EBITDA for its Australian business, but claimed in 2018 it would be at respectable levels. The CEO recently made another comment that profitability was healthy and that expectations for EBITDA generation should not be reduced because of less milk.",
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      "text": "Okay. So I'll answer your... what we're looking at in terms of our Australian platform is not volume, it's value. And I believe that there is a way with the amount of milk that we're processing... this still drives very healthy profitability... it doesn't mean that we have to reduce our expectation for EBITDA generation because we have less milk.",
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      "text": "Leanne, it just seems that Australia has been problematic for a number of years now because of the inadequate supply of milk... is this milk shortage going to be resolved in Australia? ...clearly, I don't think Australia is generating the type of returns, Lino, you anticipated.",
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      "kind": "quote",
      "text": "We've got to bring more milk into the platform... one of the easiest ways to drive synergies and drive profitability is getting more milk through the plant... our projections in terms of the respectable levels of profitability... we believe that we will be there within year 3.",
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      "text": "\"We've got to bring more milk into the platform. Right now, if I look at the WCB platform, we're running close to 97%, 98% capacity utilization. On the MG side, we're running somewhere around maybe 58% capacity utilization. So one of the easiest ways to drive synergies and drive profitability is getting more milk through the plant, but of course, it's got to go into profitable products that we can sell either domestically or internationally?\" — CEO on Australia (August 2018). \"But our projections in terms of the respectable levels of profitability for the combined Australian platform, we believe that we will be there within year 3.\" — CEO on Australia (August 2018). \"Leanne, it just seems that Australia has been problematic for a number of years now because of the inadequate supply of milk coming off the farm...\" — BMO Analyst (June 2022). \"And I believe that there is a way with the amount of milk that we're processing or we expect to process, this still drives very healthy profitability... So it doesn't mean that we have to reduce our expectation for EBITDA generation because we have less milk.\" — CEO on Australia (June 2022).",
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      "text": "Source: Q1 2019 Conf Call and Q4 2022 Conf Call",
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      "text": "Saputo Has Historically Struck An Optimistic Tone On Aussie Profitability",
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