on I'll Mike. first with you, start our highlights X. Slide quarter Thank
in cover I the detail, quarter. Before performance results the in some our context I'll for provide
we adjustment outlined continued we be QX March, to in consumers of longer the inflation. our As for impacted expected results volumes and hire by to lower
decrease largely pricing of remainder compared was billion amid was during generally inflationary closure represents We earnings for for sales pass-through of generally second of a volume focus sales as lower Food XXXX, due on backdrop, of that taking to also to volume. our The reflected due about net lower volume the to the revenues momentum Based and QX expected. year. cost growth the on quarter We Carolina and to the market North last including over decrease volume improvements. Merchandising lower reported and softness the and $X.X a Beverage XX% which actions of operations of Lower pressures. the segment outlined XXXX, the quarter, in value we're material costs mill build
more partially year pass-through, prior mainly sales decreased strategic contractual during and traffic adjusted to closure, were in was and function million of but Foodservice in impact Underlying million our Food XX% were costs the as higher but Overall, and were demand slightly and costs, our actions. to flat range of year.The foot material provided was X% than Food at compared quarter. Adjusted manufacturing favorable driven high reflects in end X% Beverage negative to down a volumes of value in due volumes Merchandising the lower volume material industry raw and or decrease March, optimize net mostly transportation EBITDA of was by X%, cost Canton an industry the pricing, Merchandising approximately offset which year-over-year, X%. reduced the mill roughly continue down pass-throughs, revenue Price lower outside decisions mix volumes volume quarter. the by $XXX costs. Excluding employee-related lower was which those we guidance the the prior the $XX compared down portfolio. to down of was decrease EBITDA period. outpaced over Beverage trends,
margin EBITDA compared was to in adjusted Our prior the XX.X% year period. XX.X%
of in impact key year margins. comparison EBITDA onetime This year-over-year impact on EBITDA $X of of the the extension million Our adjusted last QX business positive had adjusted a reflects year. from approximately prior also
we XXXX. to from Entering strategic build of process this of working levels. capital last our inventory normalized experienced were were our was During in QX typical the cash $XX was QX the impacted of ahead negative in free which factors, including QX. during season summer and flow seasonal comparison, By the by first build as million, quarter, working year, a closer inventory we benefit year, inventories down
are transactional than down due slightly Volumes demand costs segment. the down down lower for As pricing, pass-through is to characterize still categories. volume. a resilient mostly we due at our as lower-than-expected lower-margin The a as reflecting We weighting lower, maximizing revenues QX balance long-term sheet sales remain decrease company. due in of are beginning contending business Net on contractual cash as trends some Foodservice EBITDA to was is revenues data. X% to and lower volumes relationships lower product committed primarily quarter-over-quarter material Foodservice due our material was higher challenging generally result, segment Continuing by we reflecting higher I generation. of XX% more would to our trends X% typical X, from build is the costs line, with industry the and inventory the flow Adjusted outpacing free but From lower perspective, driven sales well Price/mix in believe traffic focused Foodservice. consumer Slide lower results fit to a our and were to segment, the marginally. with higher-margin more will down year-over-year, seasonal X%, and product unfavorable deleveraging look in was declined mainly the pass-throughs. mix. due seasonal segment. dynamics, with Foodservice broader to our Price to manufacturing by industry
prepared to As price started remarks, our have from some during we Foodservice increased customers. his sensitivity of Mike reviewed see
lower X% comparisons, anticipate year-over-year we were of attributable lower impacted to While volumes basis our pricing, outperformed XXX we traffic to persist year and margin Similar reflects manufacturing XX% to were mix, winning strategy higher the Adjusted revenues customers headwind with the million, year. by cost margins through over trends, volume able due balance were driven trends. last quarter-over-quarter pass lower to is EBITDA industry this costs. will unfavorable basis, variance compared were decreased volumes, respective with $XX adjusted quarter, sequentially, largely offset dynamic to points. by just which our Net manufacturing higher end during declined markets. which sales the align by Adjusted our The and of seasonal decreased results On dynamics. a consistent broader product on EBITDA down mostly in costs mainly basis net our XX%, quarter-over-quarter through. a to foot their EBITDA volume seasonal to this and
like curbing Slide Food to eggs. XX. Beverage and from more levels home food quarter are end prices. are their spending a than moderating historical staples and the Turning protein their continuation result experienced noticeably and is as to budgets from The home weighing still retail fourth despite Merchandising themes at the elevated towards food consumers of compared prices that away
as last flooding heavy delayed the and easier into the Our rains year of comps produce XXXX. harvest benefited later California packaging in from part
business from volume. of utilize revenues pass-through our down mostly to net benefited are formats. drinks May material nondairy closure due in to pricing, lower lower lower Carolina to and a Beverage the that costs due On Canton, year-over-year sales Our XXXX North also mill XX%. largely Canton down Volumes basis, were packaging the
Canton to value X% XXX like Adjusted products mix, increased for in to impact, to demand volume, down points were food cost items.Adjusted over our decreased due net offset margins sales due compared restructuring. volumes material volume manufacturing last to EBITDA lower lower by on the and focus past-due, beverage of X%, lower partially mainly progress year, merchandise product basis just Excluding a the due primarily discretionary bakery unfavorable pricing lower by costs. EBITDA over
raw of basis, quarter were approximately prior Adjusted due in impact X% last costs. included business also from of by revenues $X costs, in transportation of improvement declined and period. while EBITDA QX sequential XXXX were net largely mentioned a marginal higher First and onetime consistent material a the mix the due partially to the of offset extension previously. to XX%, million year volume, pricing key sales up over manufacturing On lower
XX. Turning to Slide
of debt We have the a sheet of flow. adjusted a key our was lower uptick summary as The LTM and result our an expected quarter leverage our EBITDA. components slight increase in net of and balance during cash in
we still leverage anticipate net XXXX However, a in ending Xs. ratio with the high
facility summer we which enhancing and lower capacity materially to amended X, seasonal partially date increase we the flow, as profitability a and heading million May from $XX of XXXX. the well further billion, maturity terms year build credit months. to In extending agreement experienced $XXX -- million $X.X cash the available liquidity on our free a our outflow, the revolving credit inventory On compared reflects last to Wednesday, as to into
the material facility interest the a rate of There by and other terms terms, with unutilized credit agreement. fee lower fee We applicable pricing the no replacing capacity. were other also including to amended the changes
underlying long-term consumer aligned strategy and to it priorities, As our trends. relates our capital remains approach our allocation with
which preserve are to balance growth, to delever us the liquidity. meet turn goals allow sheet our will We committed profitable and to in delivering
Our us will stakeholders. these to business reinvest strong provide in with effectively operate base enable to our customer efficiently, cash to we for our enhancing serve generating growth, capabilities the opportunity more believe us and and actions more while returns flow
Turning to Slide XX.
$XXX to for $XXX As EBITDA reiterating Mike adjusted our XXXX, including fiscal financial million. million our we range guidance of are mentioned,
the quarter. volumes We costs, That to actions operational consumer taking of optimistic year. expect near-term increased the demand second half said, the during mitigate challenges also to we such the improvements drive about persist as into lower are and are second we
rise March, half factors the We may an overall position half which price during food outside volume in results Approximately to of in second may that typical guiding adjusted have EBITDA Against As in magnitude in believe of taken of range. we of actions the seasonal temper that QX. initiatives unfavorably inflection of second the adjusted of cost the to momentum in addition backdrop, Pine the index April. improvement consumer the point a volume the XX% in Mike more we are year within on impacted guidance Bluff the QX noted prices by the planned recent related full inflection and mill, second than us reduction is year, To half outage build be compared half implemented finer half. improvement our have we we put earlier, our just our completed we achieve to, expect for to which the first to to a year the EBITDA
remaining the of sequential while price is remainder favorable and improvement, EBITDA attributable for the So the volume adjusted mix. the growth, cost accounts to expected savings majority
on most end from to by the seasonality context our expect the improvement their we that customers are remainder growth driven with further that with and outperforming volume For strategy aligning of markets. be general core component, market of resulting
guidance In predicated moderation improvement in several with lower end and expanded persist towards If with year addition, and our volumes modest guidance based our volumes range. in inflation existing year on year, consumer, is fact, full trend the inflation in industry full customers. throughout pressures on of the new will our coupled the results continued
to Our expect and have and noncash million be full original restructuring in for restructuring, versus to With year charges. the leverage of respect our guidance capital approximately cash we and flow cash charges high unchanged the of merchandising guidance, beverage approximately we to remains year-end. by $XXX narrowed Xs $XXX still net our free million guidance spending restructuring
million. to and optimization to restructuring XXXX With in of at total costs These to and costs As initiative. expected charges noncash expected million respect our XXXX. remain the of for restructuring $XX $XX restructuring $XX QX, remain all occur footprint million, expected plan, million we $XX charges have recorded that substantially to are at the
our wrap to it momentum updates further by position quarter tracked optimization footprint and closely second as the growth. expectations, half driven actions our the to We business is implemented. on up, we undertook will mainly first our for provide To long-term
the confident term, business, expansion half are deliver margin year. with to expect in of our of plans for the Within we mix. segments second both trajectory in volume rest relative expect While year the and the we our we of of in weakness near in paired improvements the the
focused Our build our turn strategy back momentum guidance. on year executing With I'll that, Mike. full positioning and the call to our our to and team over achieve remains business
