The Fresh Factory Reports Record Billed Revenue of $11.7M, Positive EBITDA & Continued Operational Expansion in Q3 2025

Executive Summary

• Record Q3 2025 billed revenue of $11.7 M (CAD $16.7 M), up 44% YoY, and YTD‑2025 billed revenue of $33.4 M (CAD $47.7 M), up 40% YoY.
• Positive EBITDA achieved in Q3 2025 ($0.66 M) and on a year‑to‑date basis ($0.4 M); net income turned positive for the first nine months of 2025 ($126,003).
• Secured a three‑year $4.0 M revolving asset‑based lending facility and signed a 10‑year lease for a new 154,000 sq ft manufacturing space; NCIB renewed to allow repurchase of up to ~3.7 M shares (≈10% float).

Key Details

• Q3 2025 Financial Highlights
• Billed revenue: $11.7 M (CAD $16.7 M) vs. $8.1 M (CAD $11.6 M) in Q3 2024 (+44%).
• Adjusted EBITDA: $0.66 M (CAD $0.9 M) vs. $0.75 M (CAD $1.0 M) in Q3 2024.
• Net income: –$0.33 M (CAD –$0.48 M) vs. +$0.05 M (CAD +$0.08 M) in Q3 2024; loss driven by higher facilities/maintenance costs, labor, and a one‑time $0.2 M equipment disposal charge.
• Adjusted gross margin: $4.1 M (CAD $5.9 M), up 31% YoY; margin % fell to 35% from 39% due to product‑mix shift and labor cost increase.

• Operating profit (dollar): down $100,165 (CAD $143,093) vs. Q3 2024; operating profit % declined to 12% from 19%.

• YTD 2025 Financial Highlights

• Billed revenue: $33.4 M (CAD $47.7 M) vs. $23.9 M (CAD $34.2 M) in YTD 2024 (+40%).
• Adjusted EBITDA: $2.5 M (CAD $3.6 M) vs. $1.1 M (CAD $2.0 M) in YTD 2024 (+77%).
• Adjusted gross margin: $12.5 M (CAD $17.8 M), up 40% YoY.

• Net income for first nine months: $126,003 vs. net loss of $165,031 in same period 2024.

• Production & Capacity

• Units produced YTD 2025: 64.4 M (↑229% YoY).
• Q3 2025 units: 29.9 M (↑227% YoY; ↑56% vs. Q2 2025).

• Expanded snack‑bite capacity and added new sachet‑pouch‑filling lines during the quarter.

• Financing

• Secured a three‑year revolving asset‑based credit facility of $4.0 M to fund working capital and growth initiatives.

• Real Estate & Expansion

• Executed a 10‑year lease for a 154,000 sq ft manufacturing facility in the southwest suburbs of Chicago; will support scale across condiments, dips, beverages, and hot‑fill categories.

• Normal Course Issuer Bid (NCIB)

• TSXV approved renewal allowing purchase/cancellation of up to 993,161 shares over 12 months (≈10% of float).
• Purchase limits: ≤2% of outstanding shares in any 30‑day period.

• Funding for NCIB purchases will come from working capital; prior NCIB saw 145,000 shares repurchased and cancelled.

• Sustainability Initiatives

• Installed high‑efficiency HVAC in new facility to reduce energy use.

• Continued composting of 100% food waste.

• Management Commentary (CEO Bill Besenhofer)

  “Q3 was a pivotal quarter for us, highlighted by record revenue, positive EBITDA, and meaningful progress in scaling our snacks platform… we’re positioned to grow alongside our partners and accelerate innovation across categories.”

Notable Quotes

• CEO Bill Besenhofer emphasized the strategic impact of the new manufacturing space and credit facility on future growth.

All figures are presented in U.S. dollars unless otherwise noted; CAD conversions use $0.70 CAD/USD.