Barfresh Food Group (BRFH) investor relations material

Financial performance and outlook

• Reported $14 million in revenue last year with a $2.1 million adjusted EBITDA loss and 22% margins; guidance for this year is $28–$32 million in revenue and $3.2–$3.8 million positive adjusted EBITDA.

• Growth is driven by a recent acquisition that resolved prior supply chain constraints and expanded production capacity.

• The healthy food market is growing at 5% CAGR, with the smoothie segment at 10%.

• Core product portfolio carries 40%+ gross margins, calculated off net sales with a 7% gap between gross and net sales.

• PPE on the balance sheet after acquisition integration is about $7 million net.

Product portfolio and market positioning

• Main products include ready-to-drink and ready-to-blend smoothies, single-serve pouches, and 100% juice frozen pops, primarily for the education channel.

• Products meet USDA requirements for fruit and protein, qualifying for school reimbursement and representing 80% of volume and revenue.

• Penetration in the education market remains low, with significant white space across 131,000 schools and 13,000 districts.

• Products are highly rated by students, driving up to 40% increases in school meal participation.

• Distribution covers education, military, recreation, amusement, business industry, and some QSR chains.

Supply chain transformation and capacity expansion

• Acquisition of Arps Dairy provided immediate manufacturing capability and included a nearly complete new facility and a $2.4 million government grant.

• Synergies include recouping 85% of prior contract manufacturing tolling fees, plus savings on ingredients, cold storage, and freight.

• Current operations are in the old facility, with throughput expected to double or triple after new equipment installation.

• New 44,000 sq ft facility expected online by year-end, enabling 3–4x volume increases per shift and 80% labor reduction.

• At full setup, operations will use only 15% of new facility capacity, leaving room for growth and supplemental contract manufacturing.