Rogers Sugar (RSI) AI Stock Analysis

• Market Cap: C$722.30M
• Dividend Yield: 6.35%
• Average Volume (3M): 159.17K
• Price to Earnings (P/E): 11.6
• Beta (1Y): 0.44
• Revenue Growth: 11.35%
• EPS Growth: -4.31%
• Country: CA
• Employees: 956
• Sector: Consumer Defensive
• Sector Strength: 72
• Industry: Food Confectioners
• EPS (TTM): 0.13
• Shares Outstanding: 128,067,180
• 10 Day Avg. Volume: 170,909
• 30 Day Avg. Volume: 159,173
• PEG Ratio: 1.30
• Price to Book (P/B): 1.62
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -59.43
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: C$6.50
• Price Target Upside: 14.64% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: C$6.00 ▲(5.82%Upside)

Rogers Sugar's stock is moderately attractive, driven by strong revenue growth, strategic corporate moves, and solid valuation metrics. Key strengths include improved profitability and a robust dividend yield. However, high debt levels and cash flow challenges require careful management. Technical indicators suggest positive momentum, but potential risks from tariffs and economic pressures must be monitored.

Positive Factors

Financial Flexibility

The company's recent $100 million convertible debenture offering provides additional financial flexibility.

Financial Performance

Q1/25 results were above forecast, with both Sugar and Maple adj. EBITDA above estimates.

Investment Attraction

The 6.0% yield could be attractive to income-oriented investors.

Negative Factors

Export Uncertainty

Tariff risk looms, as both Sugar and Maple sell product that is exported to the U.S., introducing uncertainty.

Tariff Risk

There is downside risk from potential tariffs affecting the Sugar segment.

Rogers Sugar Business Overview & Revenue Model

Company Description

Rogers Sugar Inc. (RSI) is a prominent Canadian company primarily engaged in the refining, packaging, and marketing of sugar products. Operating through its key subsidiaries, Lantic Inc. and its counterpart, Rogers Sugar is deeply rooted in the sugar industry, serving both the retail and industrial sectors. The company's core products include granulated, liquid, and specialty sugars, catering to a diverse clientele, including food manufacturers, foodservice distributors, and retail consumers across North America.

How the Company Makes Money

Rogers Sugar Inc. generates its revenue primarily through the sale of refined sugar products. The company's revenue streams are diversified across retail and industrial markets. In the retail segment, Rogers Sugar sells packaged sugar products under various brands, providing a steady income from grocery and convenience stores. The industrial segment, however, is the largest revenue contributor, supplying bulk sugar to food and beverage manufacturers. Additionally, Rogers Sugar has ventured into specialty products and by-products, such as maple syrup and agri-products, to further diversify its income. Strategic partnerships with distributors and long-term contracts with major food companies also play a significant role in sustaining and growing its revenue base.

Rogers Sugar Financial Statement Overview

Summary

Rogers Sugar shows strong revenue growth and improved profitability with stable margins. However, high debt levels and negative free cash flow due to increased capital expenditures pose challenges. The company must enhance cash management to sustain operations, balancing robust growth with careful leverage and cash flow management.

Income Statement

The income statement demonstrates solid revenue growth: a 4.86% increase from 2024 to TTM (Trailing-Twelve-Months) and a 21.37% increase from 2023 to 2024. Gross profit margin is stable at 14.41% for TTM. The net profit margin has improved to 4.82% in TTM, indicating enhanced profitability. EBIT and EBITDA margins are strong at 8.26% and 10.39% respectively, showing operational efficiency. Continued revenue growth and higher margins contribute to a strong financial position.

Balance Sheet

The balance sheet shows a moderate financial position with a debt-to-equity ratio of 1.01 in TTM, indicating balanced leverage. Return on Equity (ROE) improved to 14.13% in TTM, reflecting efficient use of equity. The equity ratio is stable at 39.96%, showing a solid capital structure. While leverage is managed well, the high level of debt requires monitoring.

Cash Flow

Cash flow analysis reveals challenges in free cash flow, which turned negative in TTM due to increased capital expenditures. However, the operating cash flow to net income ratio stands at 1.13, showing good cash conversion. The free cash flow to net income ratio is negative, indicating potential liquidity issues if capital expenditures continue to rise. Cash management needs improvement to ensure sustainable operations.

Breakdown
TTM	Sep 2024	Sep 2023	Sep 2022	Sep 2021	Sep 2020
Income Statement		Total Revenue
1.29B	1.23B	1.10B	1.01B	893.93M	860.80M
	Gross Profit
186.07M	175.87M	165.73M	130.81M	139.74M	126.20M
	EBIT
106.69M	97.21M	94.96M	62.07M	84.50M	68.01M
	EBITDA
134.20M	122.88M	120.73M	42.26M	109.26M	91.69M
	Net Income Common Stockholders
62.29M	53.73M	51.79M	-16.57M	47.53M	35.42M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
5.19M	19.12M	46.00K	151.00K	15.64M	1.97M
	Total Assets
1.10B	1.08B	960.90M	937.96M	879.93M	887.14M
	Total Debt
446.42M	380.88M	438.37M	397.79M	365.02M	363.04M
	Net Debt
441.23M	361.76M	438.33M	397.64M	349.38M	361.06M
	Total Liabilities
662.18M	656.33M	654.00M	646.54M	560.97M	616.95M
	Stockholders Equity
440.74M	422.41M	306.90M	291.42M	318.96M	270.19M
Cash Flow		Free Cash Flow
-12.05M	13.71M	8.92M	-2.18M	53.90M	38.45M
	Operating Cash Flow
70.11M	79.79M	44.32M	21.55M	78.58M	64.60M
	Investing Cash Flow
-82.15M	-66.08M	-35.40M	-23.73M	-24.68M	-26.15M
	Financing Cash Flow
13.16M	5.36M	-8.89M	-13.55M	-40.16M	-36.79M

Rogers Sugar Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 5.67
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:RSI, the sentiment is Positive. The current price of 5.67 is above the 20-day moving average (MA) of 5.61, above the 50-day MA of 5.54, and above the 200-day MA of 5.54, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 60.14 is Neutral, neither overbought nor oversold. The STOCH value of 74.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:RSI.

Rogers Sugar Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LAS.A	77 Outperform	C$1.48B	12.90	11.45%	1.91%	16.82%	21.82%
MFI	73 Outperform	C$3.39B	35.77	6.05%	3.24%	3.16%	―
RSI	72 Outperform	C$722.30M	11.59	14.43%	6.35%	11.35%	-4.31%
HLF	72 Outperform	C$517.75M	6.74	14.49%	3.72%	-4.45%	90.27%
CSW.B	69 Neutral	C$384.55M	14.19	14.27%	6.94%	16.37%	25.61%
PBH	68 Neutral	C$3.68B	30.92	6.75%	4.15%	6.29%	24.34%
Sector *	65 Neutral	$8.94B	14.99	4.76%	203.76%	3.54%	-2.49%

Rogers Sugar Corporate Events

Rogers Sugar Achieves Strong Q2 Results Amid Trade Uncertainty

Rogers Sugar reported strong financial results for the second quarter of fiscal 2025, with a consolidated adjusted EBITDA of $34.7 million. This performance was driven by robust demand in both the sugar and maple segments. Despite a decrease in the sugar segment’s contribution due to product mix and maintenance costs, the maple segment showed record performance with increased sales volumes. The company is actively monitoring the trade situation between Canada and the United States, which has had limited impact so far, and is engaging with stakeholders to mitigate potential future impacts.

The most recent analyst rating on (TSE:RSI) stock is a Hold with a C$6.50 price target. To see the full list of analyst forecasts on Rogers Sugar stock, see the TSE:RSI Stock Forecast page.

Rogers Sugar Inc. Declares Quarterly Dividend

Rogers Sugar Inc. has announced a quarterly dividend of $0.09 per share, payable on July 16, 2025, to shareholders on record as of June 27, 2025. This decision reflects the company’s commitment to returning value to its shareholders and may positively impact investor sentiment and the company’s market position.

The most recent analyst rating on (TSE:RSI) stock is a Hold with a C$6.50 price target. To see the full list of analyst forecasts on Rogers Sugar stock, see the TSE:RSI Stock Forecast page.

Rogers Sugar Secures Five-Year Supply Agreement with Alberta Sugar Beet Growers

Rogers Sugar Inc. has secured a five-year agreement with the Alberta Sugar Beet Growers to supply sugar beets to its Taber refining plant from 2025 to 2029. This agreement ensures the continued production of 100% Canadian sugar at the Taber facility, supporting the needs of customers in Western Canada and maintaining strong ties with approximately 200 Southern Alberta farm families.

Rogers Sugar to Discuss Q2 2025 Financial Results in Upcoming Conference Call

Rogers Sugar Inc. announced a conference call to discuss its second quarter 2025 financial results, scheduled for May 13, 2025. This event, led by CEO Michael Walton and CFO Jean-Sébastien Couillard, will provide insights into the company’s financial performance and strategic direction, potentially impacting investor and stakeholder perceptions.