06:28 AM EST, 01/10/2025 (MT Newswires) -- Maple Leaf Foods ( MLFNF ) , a Canadian protein company, on Friday increased its quarterly cash dividend by 9% from $0.22 per share to $0.24 per share, or $0.96 per share annually.

The dividend payment for the first quarter will be payable on March 31 to shareholders of record at the close of business on March 7.

Separately, MFI updated its outlook for 2025 that includes the completion of the initial phase of restructuring initiatives to reduce costs and maximize the company's potential, and the advancement of the planned spin-out of Canada Packers.

The company said its recently approved 2025 operating plan highlighted core elements of what it says will be a "transformational year", including: revenue growth of mid-single digits; and "significant" adjusted EBITDA improvements; and continued deleveraging of the balance sheet driven by strong free cash flow from operations.

It also cited completion of the spin-out of Canada Packers and "further optimizing performance through a refocused organizational structure".

The company expects adjusted EBITDA this year that will meet or exceed current analyst consensus estimates of $634 million.

On continuing to deleverage the balance sheet for "effective" capital allocation, it cited disciplined capital expenditures at more typical levels in the range of $175-$200 million; and increasing the quarterly dividend for the 10th consecutive year with the declaration of a quarterly dividend of $0.24 per share commencing with the 2025 first quarter dividend payable on March 31, 2025. MFI said this reflects an increase of $0.02 per share from the 2024 fourth quarter dividend and an annualized dividend rate of $0.96 per share.

It will also be eliminating the Dividend Reinvestment Plan (DRIP) discount effective with the 2025 first quarter dividend.

In an update on the Canada Packers Spin Out. MFI recently shared that it was advancing the transaction as a 'tax-free butterfly reorganization' that would require an advance tax ruling from the Canada Revenue Agency. It noted the ruling request has been submitted, and a decision is anticipated in approximately nine months. The company is scheduling a meeting of shareholders in June 2025 to approve the transaction, which would allow closing to occur as soon as a positive CRA ruling has been received, assuming that the other customary closing conditions are also satisfied. Assuming these approvals are received, the transaction is on pace to close in the second half of 2025 as expected, it said.

The company added it will provide a further update on its 2025 outlook in connection with the release of its fourth quarter and full year 2024 results on February 25, 2025.