US: Arcadia Biosciences reports first quarter loss
Revenue increase is better news driven by GoodWheat grain sales and by the newly acquired lines of products of Arcadia Wellness
Davis, California-based Arcadia Biosciences, a producer and marketer of plant-based health and wellness products, has announced a net loss of $4.5 million for the first quarter of 2022, compared to net income of $2.1 million reported for the first quarter of 2021.
Revenue for the first quarter was $3.2 million, up from $828,000 reported for the first quarter of 2021. The company stated that the increase was driven by GoodWheat grain sales and by the newly acquired lines of products of Arcadia Wellness, which were not present in the first quarter of 2021.
Arcadia Biosciences’ president and chief executive said Stan Jacot said: “Arcadia is starting to see the fruits of all its labour over the last year as we transitioned to a CPG-driven company and right-sized the organisation. Sales have increased 48% compared to last quarter, with a more agile organisation and the lowest infrastructure costs since 2019. And our Q1 year-over-year sales have increased nearly 300%, due to the acquisition of Arcadia Wellness brands Zola coconut water, ProVault CBD-infused sports performance formulas, and SoulSpring and Saavy Naturals bath and body care products.
“In addition, we shipped our first orders of GoodWheat pasta to retail customers, and our e-commerce launch through Amazon is on track for early June. Our non-GMO GoodWheat pasta is made with just one simple ingredient – our superior wheat grain – with four times the fibre of regular pasta and nine grams of protein per serving. Our initial launch includes five of the best-selling pasta varieties: penne, spaghetti, fettuccine, elbow and rotini.”
Recently, Arcadia’s former joint venture partner Bioceres announced that China’s Ministry of Agriculture has publicly communicated its decision to approve soybeans produced using Bioceres’ HB4 technology for import and use as food and feed. Once finalised, this will trigger four quarterly milestone payments to Arcadia totalling $2 million. Arcadia will also receive 6% royalties on future Bioceres HB4 net revenue, up to $10 million.