Arcadia Biosciences (RKDA) investor relations material

Executive summary

• Product revenues rose 11% year-over-year for the quarter and 16% for the six months, driven by increased Zola coconut water sales volume following expanded distribution; no price increases were implemented during the period.

• The company completed the sale of its GoodWheat brand and RS durum wheat trait in 2024, resulting in discontinued operations and a strategic shift to focus on Zola coconut water.

• A $4.5 million credit loss was recognized due to default on a promissory note from Above Food, materially impacting near-term cash resources and financial position.

• The company entered into a Securities Exchange Agreement with Roosevelt Resources LP, which, if completed, will result in Roosevelt's limited partners owning 90% of the outstanding shares.

• Gross margins exceeded 30% for ten consecutive quarters, with low underlying operating expenses despite $700,000 in transaction fees.

Financial highlights

• Net loss from continuing operations was $4.5 million for the quarter, compared to net income of $1.9 million in the prior year; net loss for the six months was $1.9 million versus net income of $0.9 million year-over-year.

• Product revenues for the quarter were $1.5 million, up from $1.3 million year-over-year; six-month revenues were $2.7 million, up from $2.3 million.

• Operating expenses included a $2.0 million gain from reduction of contingent liabilities and a $750,000 gain from sale of patent portfolios.

• Q2 2025 operating expenses were $2.63 million higher than Q2 2024, mainly due to the absence of a $4 million gain from a prior asset sale.

• Cash and cash equivalents were $1.4 million as of June 30, 2025, down from $4.2 million at year-end 2024.

Outlook and guidance

• Management states that existing cash and cash equivalents are not sufficient to meet anticipated cash requirements for the next 12 months, raising substantial doubt about the ability to continue as a going concern.

• Additional funding will be required in the near term; options include debt or equity financings, asset sales, or partner arrangements.

• The company is closely monitoring the impact of new U.S. tariffs and may seek to mitigate effects through business partner discussions.

• Forward-looking statements highlight risks related to growth, funding, and completion of the Roosevelt Resources transaction.