• Cargill or ADM for tobacco and plant-based ingredients.
• The "Intel Inside" for tobacco products.

• Leaf Tobacco Supply: Universal procures, processes, and supplies various types of leaf tobacco for manufacturers of consumer tobacco products.
• Specialty Vegetable and Fruit-Based Ingredients: The company manufactures value-added vegetable and fruit-based ingredients for the food and beverage markets.
• Tobacco Processing Services: This includes blending, service cutting, and manufacturing reconstituted leaf tobacco for manufacturers.
• Tobacco Analytical & Testing Services: Universal offers chemical and physical testing of tobacco, smoke testing, and analytical services for tobacco constituents and finished products.
• Electronic Nicotine Delivery Systems (ENDS) Support: The company is involved with electronic nicotine delivery systems, likely providing components or services for them.
• Tobacco Inventory Management: Universal provides just-in-time inventory management services for its tobacco customers.
• Tobacco Waste Recycling: The company recycles waste materials generated from tobacco production.

1. Manufacturers of Consumer Tobacco Products: Universal Corporation supplies leaf tobacco and provides various related services (processing, testing, blending, etc.) to manufacturers of cigarettes, cigars, natural wrapped cigars and cigarillos, smokeless tobacco, pipe tobacco products, and electronic nicotine delivery systems.
2. Manufacturers for the Food and Beverage End Markets: Through its Ingredients Operations segment, Universal provides value-added manufacturing processes to produce specialty vegetable and fruit-based ingredients for companies operating in the food and beverage sectors.

Preston D. Wigner, Chairman, President, and Chief Executive Officer

Elected Chairman, President, and Chief Executive Officer of Universal Corporation on October 1, 2024. Mr. Wigner joined Universal in 2003, bringing over two decades of industry experience. He previously served as Senior Vice President of Universal Corporation from December 2023, and prior to that, as Vice President, General Counsel and Secretary of Universal Corporation and Senior Vice President, General Counsel and Assistant Secretary of Universal Leaf from November 2005 until April 2024. Before joining Universal, Mr. Wigner was an associate with the law firms Williams Mullen and Hunton Andrews Kurth (formerly Hunton & Williams).

Johan C. Kroner, Senior Vice President and Chief Financial Officer

Elected Senior Vice President and Chief Financial Officer on September 1, 2018, and has been with Universal Corporation since July 1993. Mr. Kroner previously served as Senior Vice President of Universal Leaf from September 2014 to September 2018, and as Vice President from October 2011 to September 2014. He will retire on July 1, 2026, and will remain with the company until then, serving as an advisor to the CEO and supporting the transition to the new CFO.

Steven S. Diel, Incoming Senior Vice President and Chief Financial Officer (effective April 1, 2026)

Appointed Senior Vice President and Chief Financial Officer effective April 1, 2026. Mr. Diel joined Universal in 2018 and currently serves as Vice President and CFO of Universal Ingredients. He previously led the company's financial planning and analysis and corporate development functions, overseeing acquisitions totaling more than $350 million that established Universal's ingredients segment. Before joining Universal, he held senior finance and corporate development positions at several companies, including serving as CFO of a privately held company, and in roles at Chicago Bridge & Iron Company N.V., Ashland, Inc., Nexeo Solutions, LLC, and World Kinect Corporation. He also serves as Chairman of the Board of the Better Business Bureau of Central Virginia.

Airton L. Hentschke, Senior Vice President and Chief Operating Officer

Has more than 35 years of experience in leaf operations with Universal.

J. Patrick "Pat" O'Keefe, Vice President, Universal Ingredients and Senior Vice President of Universal Global Ventures, Inc.

Joined Universal in April 2020. Mr. O'Keefe has spent his entire 30+ year career in the food ingredient industry. He previously served as Chief Operating Officer for Allen Flavors from 2018 to 2020, Chief Executive Officer of the Americas for Döhler Group from 2015 to 2018, and President of Finlay Tea Solutions US, Inc. and then Chief Executive Officer of Finlay Extracts & Ingredients from 2007 to 2015, both subsidiaries of James Finlay International.

Key Risks to Universal Corporation (UVV)

1. Long-term Secular Decline in Global Tobacco Consumption: Universal Corporation's primary business, Tobacco Operations, faces a significant and ongoing threat from the global decline in smoking. This trend is driven by health and wellness shifts, increased regulation, higher retail taxes, and the growing popularity of novel tobacco products like e-cigarettes and heat-not-burn alternatives, which often use less or no tobacco leaf. This foundational decline poses a direct challenge to the demand for the company's core product.
2. Oversupply of Leaf Tobacco and Associated Margin Pressures: A pressing near-term risk for Universal Corporation is the anticipated oversupply of key tobacco types, such as flue-cured and burley, for fiscal year 2026. This oversupply scenario could lead to significant margin pressure in its Tobacco Operations segment, impacting profitability despite steady customer demand.
3. Challenges in Ingredients Operations Segment and Leveraged Balance Sheet: While the Ingredients Operations segment is crucial for diversification away from tobacco, it has not been consistently profitable and faces its own set of challenges, including margin pressures from higher fixed costs, weaker demand in the consumer-packaged goods sector, and tariff uncertainties. Compounding this, Universal Corporation operates with a leveraged balance sheet and considerable net debt, which limits its financial flexibility to invest further in and rapidly expand this diversification strategy or address other business challenges.

The accelerated shift of consumer preference from traditional combustible tobacco products to non-combustible nicotine alternatives (e.g., e-cigarettes, heated tobacco products, oral nicotine pouches), which could significantly reduce demand for the leaf tobacco that constitutes Universal's primary product offering.

Addressable Market Sizes for Universal Corporation (UVV)

Leaf Tobacco Operations

• The global raw tobacco leaves market size was valued at approximately USD 34.95 billion in 2024 and is projected to reach USD 46.00 billion by 2033, growing at a compound annual growth rate (CAGR) of 3.1% from 2025 to 2033.
• Asia Pacific is the dominant region for raw tobacco leaf production and consumption, accounting for approximately 45% of the global market in 2023. North America holds a 25-30% market share.

Tobacco Products (from processed leaf tobacco)

Cigarettes

• The global cigarette market size was valued at USD 1,143.4 billion in 2024 and is expected to reach USD 1,380.2 billion by 2033, with a CAGR of 1.9% during 2025-2033.
• The Asia-Pacific regional market dominated the cigarette market worldwide, accounting for 40.6% of the global market share in 2024.

Cigars and Cigarillos

• The global cigar and cigarillos market size was estimated at USD 54.79 billion in 2024 and is projected to reach USD 102.17 billion in 2033, growing at a CAGR of 7.2% from 2025 to 2033.
• Asia Pacific dominated the global cigar and cigarillos market in 2024 with a revenue share of 49.8%. The USA leads the global market with a 54.7% consumption share of total cigar units sold in 2024.

Smokeless Tobacco Products

• The global smokeless tobacco products market size was valued at USD 22.5 billion in 2024. It is projected to grow from USD 23.8 billion in 2026 to USD 35.4 billion by 2034, exhibiting a CAGR of 5.2%.
• Asia-Pacific dominated the smokeless tobacco products market with the largest revenue share of 38% in 2024.

Electronic Nicotine Delivery Systems (E-cigarettes/Vapes)

• The global e-cigarette and vape market size was estimated at USD 45.74 billion in 2025 and is projected to reach USD 462.14 billion by 2033, growing at a CAGR of 34.1% from 2026 to 2033.
• The North America e-cigarette and vape market accounted for a 43.5% share of the overall market in 2025.

Pipe Tobacco

• The global pipe tobacco market is projected to grow from USD 1.61 billion in 2025 to USD 2.13 billion by 2031 at a 4.78% CAGR.
• The Asia-Pacific region is expected to remain the largest market for pipe tobacco.

Plant-Based Ingredients Operations

• The global ingredients market for plant-based food and beverages was valued at USD 3.00 billion in 2025 and is estimated to grow to USD 13.96 billion by 2036, with a CAGR of 15%.
• The global plant-based food ingredients market size is estimated to reach USD 40.19 billion with a CAGR of 7.96% from 2025 to 2035.
• North America emerged as a prominent player, commanding a value of USD 5.0 billion in 2024 and escalating to USD 12.0 billion by 2035. Europe follows with a valuation of USD 6.0 billion in 2024, projected to increase to USD 14.5 billion by 2035. The Asia Pacific region is expected to reach USD 7.5 billion by 2035.

Universal Corporation (UVV) is poised for future revenue growth over the next two to three years, driven by its strategic expansion into plant-based ingredients and sustained performance in its core tobacco operations. Key drivers include:

1. Diversification and Growth in Plant-Based Ingredients: Universal Corporation is actively expanding its Universal Ingredients platform, strategically diversifying its revenue streams beyond traditional tobacco. This initiative focuses on sourcing and processing a variety of plant-based ingredients, such as fruits, vegetables, botanical extracts, and flavorings for the food and beverage sectors. The company is investing in facilities, such as the Lancaster, Pennsylvania facility, to boost production capabilities and deliver a solutions-based portfolio of value-added products, including those for the growing functional beverage market.

2. Launch and Expansion of New Product Offerings within Ingredients Operations: The company anticipates increased sales from its new and enhanced product offerings within the Universal Ingredients segment. Management has expressed a focus on converting customer interest into sales and advancing the growth of its solutions-based portfolio, leveraging new partnerships and developed capabilities. This is expected to contribute meaningfully to earnings and drive top-line growth.

3. Higher Prices and Favorable Product Mix in Tobacco Operations: Despite a modest decline in global leaf tobacco usage, Universal has demonstrated increasing operating income in its Tobacco Operations segment, primarily due to higher prices and a more favorable product mix. The company expects a continuation of tight tobacco supply and elevated green tobacco prices, which it aims to manage through its diverse global footprint.

4. Expansion of Value-Added Services and Supply Chain Efficiencies in Tobacco Operations: Universal Corporation is committed to maintaining its leadership in the global leaf tobacco supply chain by continually driving efficiencies and expanding the range of services offered to its customers. This strategy involves maximizing the utilization of the entire tobacco plant by serving multiple customers with varying needs and providing services like blending, testing, and just-in-time inventory management.

Share Repurchases

• Universal Corporation announced a share repurchase program in July 2024, reiterated in November 2024, authorizing the buyback of up to $100 million of its common stock.
• Repurchases are intended to occur in the open market or through privately negotiated transactions, adhering to market price norms.

Share Issuance

• The number of outstanding shares for Universal Corporation increased slightly by 0.21% in one year as of March 2026.
• Common shares outstanding were 24,921,155 at December 31, 2025, compared to 24,715,625 at December 31, 2024, and March 31, 2025.

Inbound Investments

• In December 2025, the company refinanced its senior unsecured credit facility and upsized it by $250 million, enhancing liquidity and financial flexibility.
• The credit facility refinancing received strong support from existing and new banking partners.

Outbound Investments

• Universal Corporation made three acquisitions in 2020 and 2021 to establish its Universal Ingredients business, aiming to gain a broad product portfolio, established customer relationships, and experienced management teams.
• The company invested in developing commercial sales, R&D, and product development capabilities, and in acquiring industry-leading production capabilities for its ingredients segment.

Capital Expenditures

• Capital expenditures for Universal Corporation were approximately -$48.02 million in the last 12 months as of March 2026.
• Primary focus of capital expenditures included investments in building commercial sales, R&D, product development, and adding production capabilities, culminating in the expansion of its Lancaster, Pennsylvania facility for the ingredients segment.
• Significant investments in the Ingredients Operations segment have led to higher fixed costs, impacting segment margins.