Nepra Foods omits Q2 P&L in NR, talks revenue

Executive Summary

• Nepra Foods reported a 49 % year‑over‑year increase in total revenue to C$3.74 million for the six months ended Sept. 30, 2025.
• Gross profit rose to C$1.22 million with gross margin improving to 33 % (up from 20 % a year earlier).
• Net loss widened due to non‑cash fair‑value adjustments on warrants and the absence of prior‑period one‑time gains, while cash balances grew to C$118,983 aided by equity issuances.

Key Details

• Revenue (6‑month): C$3,741,439 (US$2.73 M) – 49 % increase vs. C$2,511,736 (US$1.84 M) in FY 2025; 60 % increase versus Q1 FY 2026.
• Revenue (Q2 FY 2026): C$1,925,448 (US$1.41 M) – 60 % up from C$1,206,553 (US$884 K) in Q2 FY 2025.
• Gross Profit (6‑month): C$1,218,894 (US$890 K), up from C$513,288 (US$376 K) YoY.
• Gross Margin: 33 % for the six months ended Sept. 30, 2025 vs. 20 % in the prior year; 34 % in Q2 FY 2026 vs. 23 % YoY.
• Net Loss: Increased (specific amount not disclosed) due to non‑cash fair‑value adjustments on U.S.–dollar warrants and lack of one‑time gains from debt settlement & lease forgiveness previously recorded.
• Cash Position: C$118,983 at Sept. 30, 2025 vs. C$44,737 at March 31, 2025; increase driven by C$170,067 raised through equity issuances.
• Management Commentary: CFO David Wood highlighted the revenue growth and margin expansion as evidence of successful production optimization and supply‑chain efficiencies, positioning the company for sustainable profitability.

Notable Quotes

“We are encouraged by the 49‑percent year‑over‑year revenue growth to $3.74 million (Canadian) in the first half of fiscal 2026… The improvement in gross margins to 33 percent demonstrates our progress in optimizing production and supply chain efficiencies, positioning us well for continued advancement toward sustainable profitability,” – David Wood, Chief Financial Officer.