Aug 14, 2026 earnings call — Transforming to in-house manufacturing, focusing education
Company revised fiscal 2026 revenue to $23 million to $26 million and now expects adjusted EBITDA of negative $1 million to $2 million.
Revenue $0.0B (est $0.0B) · EPS $-0.12 (est $-0.05)
Key quotes
"The Arps acquisition was a key strategic move because we had become reliant on co-packers, and the broader shortage in cultured dairy manufacturing left us exposed."
"Several of our recent school wins began serving our portfolio during the '25-'26 school year, with implementation expected across all their locations for the '26-'27 school year."
"We are working towards partial commissioning of the core products by the end of 2026, followed by the balance of products shortly after, and we expect it to meaningfully improve our throughput, efficiency, and profitability once it is online."
Analyst Q&A 2
Ice cream production problems and repair status
Q (Anthony Vendetti · Maxim Group): He asked what problem forced moving ice cream production and whether it is fixed, and also asked about fulfilling school contracts, extra CapEx, input cost inflation for Twist & Go, and margin differences.
A: They said the old facility’s infrastructure and equipment needed more attention than expected, which limited production and forced moving ice cream out while they focused on smoothies. Management said production and yields have gotten better each week, they have built inventory and can meet school contracts, and most additional facility costs are largely behind them though a few smaller items may remain; they are shifting focus to the new facility. They also said input costs have risen in some areas but they are finding savings and reformulations, and noted $1.8 million and $800,000 as the main cost differences explaining guidance; Dairy has lower gross margin than Twist & Go so they are focusing on Barfresh.
"Every week continues to be getting better as the different parts of the old facility are improved or serviced or replaced." — Riccardo Delle Coste (CEO)
School demand, supply capacity, and financing plans
Q (William Gregozeski · Greenridge Global): He asked why Barfresh sales were only up marginally despite school signings, whether the company has capacity to supply lost and new schools, how growth will split between Barfresh and Arps, and if they may need to raise money.
A: They said earlier supply constraints caused lost sales and the damage from last year carried into the first half, but new customers and returning customers are coming back with the new school year. They said they have the capacity to supply based on projections, continue to use co-manufacturers (so not fully reliant on Arps), and any growth will be in Barfresh while Arps’s fluid milk business stays steady. On financing, they said they are not planning a capital raise now; they own the property free and clear and plan to seek a mortgage and equipment financing.
"Correct. Yes. Based on what we are projecting, yes, we do." — Riccardo Delle Coste (CEO)