Core Insights - Edible Garden AG Incorporated has announced a significant expansion of its national retail distribution network through a partnership with Pete's Fresh Market, enhancing its presence in the grocery market [1][5]. Company Overview - Edible Garden is a leader in controlled environment agriculture (CEA), focusing on locally grown, organic, and sustainable produce. The company operates over 5,000 retail locations across the U.S., Caribbean, and South America [6]. - The company utilizes a Zero-Waste Inspired® farming model and advanced safety protocols, along with patented technologies such as GreenThumb software and Self-Watering displays [6][8]. Partnership Details - The partnership with Pete's Fresh Market will involve supplying a diverse selection of sustainably grown products, including the Pickle Party® line, which features fermented Kosher, Non-GMO pickles and sauerkraut [2][5]. - Customized merchandising units, including fresh herb racks and basil displays, will be deployed to enhance product visibility and consumer engagement [3]. Logistics and Operational Efficiency - The rollout will utilize the Direct-to-Distribution Center (DC) program, which allows for direct delivery to Pete's Fresh Market's centralized distribution network, optimizing freshness and reducing food miles [4]. - This logistics model is designed to streamline inventory flow and align with the company's environmental impact goals [4]. Strategic Goals - The CEO of Edible Garden emphasized that this partnership is a strategic move to make sustainably grown produce more accessible while enhancing the company's presence in a dynamic grocery market [5]. - The initiative is expected to deliver topline growth and operational leverage, supporting the company's mission of sustainability and community focus [5].

BELVIDERE, NJ, Sept. 18, 2025 (GLOBE NEWSWIRE) -- Edible Garden AG Incorporated (“Edible Garden” or the “Company”) (Nasdaq: EDBL, EDBLW), a leader in controlled environment agriculture (CEA), locally grown, organic, and sustainable produce and products, today announced that its  USDA Organic offerings are now available at Angelo Caputo’s Fresh Markets, a family-owned grocery chain with 10 stores headquartered in Elmwood Park, Illinois. As part of the rollout, Caputo’s is now carrying Edible Garden’s fresh p ...

BELVIDERE, NJ, Sept. 08, 2025 (GLOBE NEWSWIRE) -- Edible Garden AG Incorporated (“Edible Garden” or the “Company”) (Nasdaq: EDBL, EDBLW), a leader in controlled environment agriculture (CEA), locally grown, organic, and sustainable produce and products, today announced it will showcase its innovative, award-winning Kick. Sports Nutrition line, recently recognized as the 2025 Sports Nutrition Product of the Year by the Mindful Awards, at ECRM’s Vitamin, Weight Management & Sports Nutrition Session, taking p ...

Core Insights - Edible Garden AG Incorporated is expanding its Pickle Party™ line through new retail placements in New York, enhancing its market presence and aligning with seasonal demand for fresh condiments [1][3] - The Pickle Party™ line is a unique functional pickle product created in collaboration with Hermann Pickle Company, focusing on health benefits and clean-label integrity [2][3] - The company's strategy emphasizes partnerships with respected regional grocers to drive sustainable growth and long-term value [3] Company Overview - Edible Garden is a leader in controlled environment agriculture (CEA), providing locally grown, organic, and sustainable products through a Zero-Waste Inspired® farming model [4] - The company operates over 5,000 retail locations across the U.S., Caribbean, and South America, utilizing advanced safety protocols and sustainable packaging [4] - Edible Garden's proprietary GreenThumb software optimizes growing conditions and aims to reduce food miles, while its patented Self-Watering display enhances product shelf life [5] Product Offerings - The company offers a range of nutrition and specialty food products, including plant and whey protein powders, and a line of fresh condiments like Pulp sauces and Pickle Party products [6] - Pickle Party™ products are raw, refrigerated, fermented, Kosher, and Non-GMO, designed to support digestive health with bold flavors [2][6]

PART I — FINANCIAL INFORMATION [Item 1. Financial Statements (Unaudited)](index=3&type=section&id=Item%201.%20Financial%20Statements%20%28Unaudited%29) This section presents Edible Garden AG's unaudited condensed consolidated financial statements for interim periods, prepared under U.S. GAAP [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets%20as%20of%20June%2030%2C%202025%20and%20December%2031%2C%202024) These balance sheets provide a financial position snapshot, detailing changes in assets, liabilities, and stockholders' equity ASSETS (in thousands) | ASSETS (in thousands) | June 30, 2025 | December 31, 2024 | | :---------------------- | :------------ | :------------------ | | Cash | $2,821 | $3,530 | | Accounts receivable, net| $1,211 | $1,968 | | Inventory, net | $1,367 | $1,544 | | Total current assets | $5,889 | $7,377 | | Property, equipment and leasehold improvements, net | $11,006 | $3,145 | | Operating lease right-of-use assets | $4,480 | $1,202 | | Intangible assets, net | $313 | $43 | | TOTAL ASSETS | $21,814 | $11,915 | LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) (in thousands) | LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT) (in thousands) | June 30, 2025 | December 31, 2024 | | :------------------------------------------------------------ | :------------ | :------------------ | | Accounts payable and other accrued expenses | $2,375 | $4,018 | | Short-term debt, net of discounts | $1,317 | $1,939 | | Total current liabilities | $3,954 | $6,210 | | Total long-term liabilities | $1,268 | $1,611 | | Total liabilities | $5,222 | $7,821 | | Series B redeemable preferred stock | $15,000 | $- |\ | Total stockholders' equity (deficit) | $1,592 | $4,094 | | TOTAL LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS' EQUITY | $21,814 | $11,915 | - Total assets increased significantly from **$11.9 million** at December 31, 2024, to **$21.8 million** at June 30, 2025, primarily due to an increase in property, equipment, and leasehold improvements, and operating lease right-of-use assets, driven by the NaturalShrimp acquisition[8](index=8&type=chunk)[66](index=66&type=chunk) - The company introduced Series B redeemable preferred stock, totaling **$15.0 million**, classified under mezzanine equity as of June 30, 2025[11](index=11&type=chunk)[92](index=92&type=chunk) [Condensed Consolidated Statements of Operations](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20for%20the%20Three%20And%20Six%20Months%20Ended%20June%2030%2C%202025%20and%202024) These statements detail financial performance, including revenue, costs, gross profit, operating expenses, and net loss (in thousands) | (in thousands) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- |\ | Revenue | $3,146 | $4,268 | $5,864 | $7,401 | | Cost of goods sold | $2,512 | $2,702 | $5,142 | $5,811 | | Gross profit | $634 | $1,566 | $722 | $1,590 | | Selling, general and administrative expenses | $4,227 | $2,748 | $7,242 | $6,632 | | Loss from operations | $(3,593) | $(1,182) | $(6,519) | $(5,042) | | Interest expense, net | $(389) | $(419) | $(829) | $(536) | | NET LOSS | $(4,043) | $(1,932) | $(7,367) | $(5,909) | | NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS | $(13,876) | $(1,932) | $(17,200) | $(5,909) | | Net Income / (Loss) per common share - basic and diluted | $(6.58) | $(30.02) | $(9.95) | $(155.46) | - Net loss increased significantly for both the three-month period (from **$1.9 million** to **$4.0 million**) and six-month period (from **$5.9 million** to **$7.4 million**) ended June 30, 2025, compared to 2024[14](index=14&type=chunk) - Revenue decreased by **26%** for the three months and **21%** for the six months ended June 30, 2025, primarily due to strategic exit from floral and lettuce categories[13](index=13&type=chunk)[177](index=177&type=chunk)[185](index=185&type=chunk) - Selling, general and administrative expenses increased by **54%** for the three months and **9%** for the six months ended June 30, 2025, driven by legal charges related to the NaturalShrimp acquisition and Narayan transactions[13](index=13&type=chunk)[179](index=179&type=chunk)[187](index=187&type=chunk) [Condensed Consolidated Statements of Stockholders' Equity (Deficit)](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity%20%28Deficit%29%20for%20the%20Three%20and%20Six%20Months%20Ended%20June%2030%2C%202025%20and%202024) These statements show changes in equity components, including common stock, paid-in capital, and accumulated deficit (in thousands, except for shares) | (in thousands, except for shares) | Balance at Dec 31, 2024 | Issuances of common stock for warrant exercises | Sale of common stock pursuant to Equity Distribution Agreement, net of fees | Series B preferred stocks dividends payable | Net Loss | Balance at June 30, 2025 | | :-------------------------------- | :---------------------- | :---------------------------------------------- | :-------------------------------------------------------- | :------------------------------------------ | :------- | :----------------------- | | Common Stock Shares | 1,065,402 | 1,055,682 | 613,459 | - | - | 2,828,661 | | Additional Paid-In Capital | $44,946 | $3,720 | $1,759 | $(155) | - | $50,270 | | Accumulated Deficit | $(41,311) | - | - | - | $(7,367) | $(48,678) | | Total | $4,094 | $3,261 | $1,759 | $(155) | $(7,367) | $1,592 | - Total stockholders' equity decreased from **$4.094 million** at December 31, 2024, to **$1.592 million** at June 30, 2025, primarily due to a net loss of **$7.367 million**[20](index=20&type=chunk) - Common stock shares outstanding increased significantly from **1,065,402** at December 31, 2024, to **2,828,661** at June 30, 2025, driven by warrant exercises and sales through the Equity Distribution Agreement[20](index=20&type=chunk)[113](index=113&type=chunk)[114](index=114&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20for%20the%20Six%20Months%20Ended%20June%2030%2C%202025%20and%202024) These statements present cash flows from operating, investing, and financing activities for the six-month periods (in thousands) | (in thousands) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--------------- | :----------------------------- | :----------------------------- | | Net loss | $(7,367) | $(5,909) | | NET CASH USED IN OPERATING ACTIVITIES | $(6,764) | $(5,649) | | NET CASH USED IN INVESTING ACTIVITIES | $(122) | $(167) | | NET CASH PROVIDED BY FINANCING ACTIVITIES | $6,177 | $7,494 | | NET CHANGE IN CASH | $(709) | $1,678 | | CASH AT END OF PERIOD | $2,821 | $2,188 | - Net cash used in operating activities increased to **$6.8 million** for the six months ended June 30, 2025, from **$5.6 million** in the prior year, primarily due to decreased revenue and reduction in accounts payable[23](index=23&type=chunk)[202](index=202&type=chunk) - Cash provided by financing activities decreased to **$6.2 million** in 2025 from **$7.5 million** in 2024, driven by lower debt financing, partially offset by warrant inducement and preferred stock issuance[23](index=23&type=chunk)[204](index=204&type=chunk) - Cash at the end of the period decreased to **$2.8 million** as of June 30, 2025, from **$3.5 million** at the beginning of the period[23](index=23&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) These notes provide detailed explanations for financial statement figures, covering policies, assets, liabilities, equity, and going concern [NOTE 1 – ORGANIZATION, NATURE OF BUSINESS, AND BASIS OF PRESENTATION](index=8&type=section&id=NOTE%201%20%E2%80%93%20ORGANIZATION%2C%20NATURE%20OF%20BUSINESS%2C%20AND%20BASIS%20OF%20PRESENTATION) This note outlines the company's history, business as a hydroponic produce retailer, and U.S. GAAP basis of financial presentation - Edible Garden AG Incorporated acquired substantially all operating assets of Edible Garden Corp. on March 30, 2020, and later acquired the Predecessor on October 1, 2024, for **$1.00**[24](index=24&type=chunk) - The company is a retail seller of locally grown hydroponic produce, nutraceuticals, and hot sauce, distributed across the Northeast and Midwest to over **5,000** supermarkets[29](index=29&type=chunk) - The financial statements are prepared on a going concern basis, but management believes substantial doubt exists regarding the company's ability to continue as a going concern due to insufficient liquidity[32](index=32&type=chunk)[33](index=33&type=chunk) [NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES](index=8&type=section&id=NOTE%202%20%E2%80%93%20SUMMARY%20OF%20SIGNIFICANT%20ACCOUNTING%20POLICIES) This note details significant accounting policies, including estimates, receivables, inventory, assets, revenue, and income taxes - The company's allowance for credit losses increased from **$0.203 million** as of December 31, 2024, to **$0.557 million** as of June 30, 2025[38](index=38&type=chunk) - Four customers accounted for approximately **84.7%** of total revenue for the six months ended June 30, 2025, indicating a high concentration of credit risk[39](index=39&type=chunk) Revenue Disaggregation (in thousands) | Revenue Stream | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :--------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | Herbs, Produce & Floral | $2,886 | $3,835 | $5,433 | $6,589 | | Vitamins and Supplements | $260 | $433 | $431 | $812 | | Total | $3,146 | $4,268 | $5,864 | $7,401 | - The company recorded an out-of-period adjustment of **$0.091 million** to cost of goods sold and **$0.192 million** to operating expenses for the six months ended June 30, 2025, related to the year ended December 31, 2024, which was deemed immaterial[62](index=62&type=chunk) [NOTE 3 – INVENTORY](index=11&type=section&id=NOTE%203%20%E2%80%93%20INVENTORY) This note breaks down inventory components: raw materials, work-in-progress, and finished goods Inventory Summary (in thousands) | Inventory Category | June 30, 2025 | December 31, 2024 | | :----------------- | :------------ | :------------------ | | Raw materials | $616 | $1,000 | | Work-in-progress | $726 | $517 | | Finished goods | $25 | $27 | | Total inventory | $1,367 | $1,544 | - Total inventory decreased from **$1.544 million** at December 31, 2024, to **$1.367 million** at June 30, 2025, primarily due to a reduction in raw materials[65](index=65&type=chunk) [NOTE 4 – NATURALSHRIMP ACQUISITION](index=11&type=section&id=NOTE%204%20%E2%80%93%20NATURALSHRIMP%20ACQUISITION) This note details the **$12.0 million** acquisition of NaturalShrimp assets, paid via Series B Preferred Stock issuance - On May 14, 2025, the company acquired sustainable aquaculture assets from NaturalShrimp Farms Inc. for **$12.0 million**[66](index=66&type=chunk) - Consideration for the acquisition was **12,000** shares of Series B Preferred Stock, valued at **$1,000** per share, issued to Streeterville Capital, LLC[66](index=66&type=chunk) Purchase Price Allocation (in thousands) | Asset Category | Acquisition Date Fair Value | | :-------------------- | :-------------------------- | | Furniture and equipment | $8,005 | | Vehicles | $187 | | Favorable contracts | $3,533 | | Intellectual property | $275 | [NOTE 5 – PROPERTY, EQUIPMENT AND LEASEHOLD IMPROVEMENTS, NET](index=12&type=section&id=NOTE%205%20%E2%80%93%20PROPERTY%2C%20EQUIPMENT%20AND%20LEASEHOLD%20IMPROVEMENTS%2C%20NET) This note summarizes net carrying values of property, equipment, and leasehold improvements, and depreciation expense Property, Equipment and Leasehold Improvements, Net (in thousands) | Asset Category | June 30, 2025 | December 31, 2024 | | :----------------------------- | :------------ | :------------------ | | Furniture and equipment | $9,335 | $1,330 | | Leasehold improvements | $3,156 | $3,134 | | Vehicles | $634 | $456 | | Land | $202 | $202 | | Construction in progress | $496 | $410 | | Subtotal | $13,833 | $5,542 | | Less accumulated depreciation | $(2,827) | $(2,397) | | Property, equipment and leasehold improvements, net | $11,006 | $3,145 | - Net property, equipment, and leasehold improvements increased significantly from **$3.145 million** at December 31, 2024, to **$11.006 million** at June 30, 2025, largely due to the NaturalShrimp acquisition[69](index=69&type=chunk) - Depreciation expense for the six months ended June 30, 2025, was **$0.455 million**, a decrease from **$0.560 million** in the same period of 2024[69](index=69&type=chunk) [NOTE 6 – INTANGIBLE ASSETS](index=12&type=section&id=NOTE%206%20%E2%80%93%20INTANGIBLE%20ASSETS) This note summarizes intangible assets, including intellectual property, their useful lives, and net carrying value Intangible Assets, Net (in thousands) | Intangible Asset | Estimated Useful Life (Years) | Gross Carrying Value (June 30, 2025) | Accumulated Amortization (June 30, 2025) | Net Carrying Value (June 30, 2025) | | :------------------ | :---------------------------- | :----------------------------------- | :--------------------------------------- | :--------------------------------- | | Intellectual property | 15 | $275 | $(3) | $272 | | Pulp brand recipes | 15 | $50 | $(9) | $41 | | Non-compete agreement | 2 | $62 | $(62) | $- | | Total Intangible Assets, net | | $387 | $(74) | $313 | - Net intangible assets increased from **$0.043 million** at December 31, 2024, to **$0.313 million** at June 30, 2025, primarily due to the acquisition of intellectual property[70](index=70&type=chunk)[72](index=72&type=chunk) - Amortization expense for the six months ended June 30, 2025, was **$0.0047 million**, compared to **$0.0017 million** in the prior year[72](index=72&type=chunk) [NOTE 7 – ACCOUNTS PAYABLE AND ACCRUED EXPENSES](index=13&type=section&id=NOTE%207%20%E2%80%93%20ACCOUNTS%20PAYABLE%20AND%20ACCRUED%20EXPENSES) This note details accounts payable and various accrued expenses as of June 30, 2025, and December 31, 2024 Accounts Payable and Accrued Expenses (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :----------------------------- | :------------ | :------------------ | | Accounts payable | $898 | $2,290 | | Accrued payroll | $14 | $302 | | Accrued vacation | $92 | $133 | | Accrue dividends payable | $155 | $- | | Other accrued expenses | $351 | $175 | | Employee retention credit funds | $865 | $865 | | Total Accounts Payable and Accrued Expenses | $2,375 | $4,018 | - Total accounts payable and accrued expenses decreased from **$4.018 million** at December 31, 2024, to **$2.375 million** at June 30, 2025, primarily due to a reduction in accounts payable and accrued payroll[73](index=73&type=chunk) [NOTE 8 – NOTES PAYABLE](index=14&type=section&id=NOTE%208%20%E2%80%93%20NOTES%20PAYABLE) This note summarizes notes payable, including financing agreements, promissory notes, and principal payment schedules Notes Payable (in thousands) | Debt Instrument | June 30, 2025 | December 31, 2024 | | :-------------------------------------------------- | :------------ | :------------------ | | Future receivables financing agreement with Cedar Advance, LLC | $- | $2,223 | | NJD Investments, LLC promissory note | $408 | $564 | | SBA loan | $150 | $150 | | Vehicle loans | $179 | $240 | | ARIN note | $1,275 | $- | | Insurance financing agreement | $18 | $26 | | Total Gross Debt | $2,030 | $3,203 | | Less: Debt discount | $(379) | $(720) | | Total Net Debt | $1,651 | $2,483 | - Total net debt decreased from **$2.483 million** at December 31, 2024, to **$1.651 million** at June 30, 2025, largely due to the payoff of the Cedar Advance agreement and new financing with Arin[74](index=74&type=chunk)[80](index=80&type=chunk)[90](index=90&type=chunk) Principal Payments Due on Notes Payable (in thousands) | Years Ending December 31, | Amount | | :------------------------ | :----- | | 2025 (remaining) | $1,496 | | 2026 | $318 | | 2027 | $59 | | 2028 | $7 | | 2029 | $- | | Thereafter | $150 | | Total | $2,030 | [NOTE 9 – MEZZANINE EQUITY](index=15&type=section&id=NOTE%209%20%E2%80%93%20MEZZANINE%20EQUITY) This note describes Series B Preferred Stock terms, voting rights, dividend preferences, and mezzanine equity classification - The company issued **15,000** shares of Series B Preferred Stock at a stated value of **$1,000** per share, totaling **$15.0 million**, to Streeterville Capital, LLC[92](index=92&type=chunk)[93](index=93&type=chunk) - Series B Preferred Stock ranks senior to common stock for dividends and liquidation, with an **8.0%** annual preferred return payable quarterly in cash or additional shares[94](index=94&type=chunk) - The Series B Preferred Stock is classified as mezzanine equity due to certain redemption features and restrictions not solely within the company's control, as per ASC 480-10-S99[96](index=96&type=chunk) [NOTE 10 – STOCKHOLDERS' EQUITY (DEFICIT) AND STOCK-BASED COMPENSATION](index=16&type=section&id=NOTE%2010%20%E2%80%93%20STOCKHOLDERS%27%20EQUITY%20%28DEFICIT%29%20AND%20STOCK-BASED%20COMPENSATION) This note details changes in stockholders' equity, including public offerings, warrant inducements, and stock issuances - The company completed public offerings in May and September 2024, raising net proceeds of **$5.498 million** and **$4.795 million**, respectively, through the sale of common units and pre-funded units[102](index=102&type=chunk)[106](index=106&type=chunk) - Warrant inducement letters in December 2024 and May 2025 resulted in proceeds of **$3.841 million** and **$3.495 million**, respectively, but also led to deemed dividends of **$3.873 million** and **$9.833 million**[108](index=108&type=chunk)[109](index=109&type=chunk) - Under the 2025 Equity Distribution Agreement, the company sold **519,341** shares of common stock for gross proceeds of **$1.932 million** during the six months ended June 30, 2025[112](index=112&type=chunk)[113](index=113&type=chunk) Warrant Transactions (Six Months Ended June 30, 2025) | Category | Warrants (Underlying Shares) | Weighted Average Exercise Price Per Share | | :---------------------------- | :--------------------------- | :---------------------------------------- | | Outstanding December 31, 2024 | 1,744,337 | $25.82 | | Warrants issued in public offering | 1,999,200 | $3.50 | | Warrants exercised | (999,600) | $3.50 | | Outstanding June 30, 2025 | 2,743,937 | $10.10 | [NOTE 11 – LEASES](index=19&type=section&id=NOTE%2011%20%E2%80%93%20LEASES) This note details operating and finance lease agreements, including acquired leases and associated assets and liabilities - The company assumed a lease for a **5-acre** greenhouse in Belvidere, New Jersey, with a term ending December 31, 2029, and monthly payments of approximately **$0.022 million** in 2025[125](index=125&type=chunk) - A new operating lease for aquaculture assets in Webster City, Iowa, commenced on May 14, 2025, with an initial term of **12** months and a monthly payment of **$1.00**, subject to significant increases if the company becomes a holdover tenant[126](index=126&type=chunk) Operating Lease Assets and Liabilities (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :---------------------------------- | :------------ | :------------------ | | Operating lease assets | $4,480 | $1,202 | | Current maturities of operating lease liabilities | $219 | $212 | | Long-term operating lease liabilities | $881 | $992 | Finance Lease Assets and Liabilities (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :---------------------------------- | :------------ | :------------------ | | Financing lease assets | $92 | $114 | | Current maturities of finance lease liabilities | $43 | $41 | | Long-term finance lease liabilities | $53 | $75 | [NOTE 12 – RELATED PARTY TRANSACTIONS](index=21&type=section&id=NOTE%2012%20%E2%80%93%20RELATED%20PARTY%20TRANSACTIONS) This note discloses a transition services agreement with NaturalShrimp for operational and accounting support - The company entered into a transition services agreement with NaturalShrimp, an affiliate of Streeterville, for **two** months of operational support and accounting services, incurring a fee of **$0.07 million** for the three months ended June 30, 2025[131](index=131&type=chunk) [NOTE 13 – COMMITMENTS AND CONTINGENCIES](index=22&type=section&id=NOTE%2013%20%E2%80%93%20COMMITMENTS%20AND%20CONTINGENCIES) Management believes no pending legal proceedings will materially adversely affect the company's financial condition - Management believes there are no pending or threatened legal proceedings that would materially adversely affect the company's business, results of operations, or financial condition[132](index=132&type=chunk) [NOTE 14 – GOING CONCERN](index=22&type=section&id=NOTE%2014%20%E2%80%93%20GOING%20CONCERN) This note highlights substantial doubt about going concern due to net losses and insufficient liquidity, requiring funding - The company incurred a net loss of **$7.4 million** for the six months ended June 30, 2025, and expects further significant net losses[133](index=133&type=chunk) - As of June 30, 2025, the company had **$2.8 million** in cash, which is believed to be insufficient to fund operations through the next twelve months, raising substantial doubt about its ability to continue as a going concern[133](index=133&type=chunk)[136](index=136&type=chunk) - Future success is dependent on achieving profitable operations, generating cash from operating activities, or securing additional debt or equity financing[134](index=134&type=chunk) [NOTE 15 – SUBSEQUENT EVENTS](index=22&type=section&id=NOTE%2015%20%E2%80%93%20SUBSEQUENT%20EVENTS) This note describes subsequent events, including Series B Preferred Stock amendments to clarify voting and support reclassification - As of July 29, 2025, the Certificate of Designation for Series B Preferred Stock was amended to clarify Streeterville's voting rights, limiting them to the lesser of **1,305,483 common shares** or **9.99%** of outstanding common stock[137](index=137&type=chunk) - On August 13, 2025, the Certificate of Designation was further amended to remove certain filing requirements and modify default consequences, aiming to reclassify Series B Preferred Stock as permanent equity[138](index=138&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=23&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial condition and results, covering business overview, recent developments, accounting estimates, performance, liquidity, and capital [FORWARD-LOOKING STATEMENTS](index=23&type=section&id=FORWARD-LOOKING%20STATEMENTS) This subsection cautions that forward-looking statements are subject to risks and uncertainties, potentially altering actual results - The report contains forward-looking statements based on current expectations, beliefs, estimates, and projections, which are subject to inherent uncertainties and risks[139](index=139&type=chunk)[140](index=140&type=chunk) - Key risks include historical losses, ability to obtain financing, Nasdaq listing compliance, management team changes, market competition, growth management, acquisition integration, customer retention, brand awareness, intellectual property, future financial performance, debt repayment, regulatory compliance, and liquidity of securities[145](index=145&type=chunk) [OVERVIEW](index=23&type=section&id=OVERVIEW) Edible Garden is a CEA farming company using hydroponic systems and GreenThumb software for sustainable organic produce - Edible Garden is a CEA farming company utilizing hydroponic and vertical greenhouses with a 'closed loop' system for sustainable, year-round production of organic herbs[142](index=142&type=chunk)[143](index=143&type=chunk) - The proprietary GreenThumb software enhances traceability, manages daily operations, monitors sales data, forecasts demand, and optimizes logistics to reduce the carbon footprint[144](index=144&type=chunk)[146](index=146&type=chunk)[148](index=148&type=chunk)[153](index=153&type=chunk) - The company focuses on its 'Edible Garden' brand, emphasizing sustainability, traceability, and social contribution, and has expanded into co-manufactured consumer products like sauces and supplements[149](index=149&type=chunk) [RECENT DEVELOPMENTS](index=24&type=section&id=RECENT%20DEVELOPMENTS) This section outlines recent developments: Nasdaq compliance, financing, NaturalShrimp acquisition, and executive employment changes - The company regained compliance with Nasdaq's minimum bid price rule on April 8, 2025, but remains under a discretionary panel monitor until April 8, 2026[150](index=150&type=chunk) - On April 2, 2025, Edible Garden entered into the Arin II Agreement, selling **$2.04 million** of future accounts receivable for **$1.5 million**, with net funds of **$1.435 million** used partly to prepay the Cedar III Agreement[151](index=151&type=chunk) - On May 14, 2025, the company acquired sustainable aquaculture assets from NaturalShrimp Farms Inc. for **$12.0 million**, issuing **12,000** shares of Series B Preferred Stock to Streeterville Capital, LLC[154](index=154&type=chunk)[156](index=156&type=chunk) - The CEO, James E. Kras, entered into an amended employment agreement with a base salary of **$0.45 million**, eligibility for a **100%** target annual cash bonus, and a **$0.5 million** transaction bonus related to the NaturalShrimp acquisition[161](index=161&type=chunk)[162](index=162&type=chunk) [CRITICAL ACCOUNTING ESTIMATES](index=26&type=section&id=CRITICAL%20ACCOUNTING%20ESTIMATES) This section highlights critical accounting estimates requiring significant judgment, including revenue, assets, acquisitions, and taxes - Revenue is recognized when control of goods or services is transferred to customers, with no material returns, discounts, or loyalty programs[167](index=167&type=chunk)[168](index=168&type=chunk) - Property, equipment, and leasehold improvements are depreciated using the straight-line method over **five** years, with impairment assessed when events indicate carrying balances may not be recoverable[169](index=169&type=chunk)[170](index=170&type=chunk) - Acquisitions are evaluated to determine if they constitute a business combination or asset acquisition, with assets recognized at fair value and goodwill not recognized in asset acquisitions[171](index=171&type=chunk) - Income taxes are provided based on enacted tax law, with deferred taxes recognized for temporary differences and operating losses, offset by valuation allowances when necessary[173](index=173&type=chunk) [RESULTS OF OPERATIONS](index=27&type=section&id=RESULTS%20OF%20OPERATIONS) This section compares financial performance for Q2 and H1 2025 vs 2024, analyzing revenue, costs, expenses, and net loss [COMPARISON OF THE THREE MONTHS ENDED JUNE 30, 2025 AND 2024](index=27&type=section&id=COMPARISON%20OF%20THE%20THREE%20MONTHS%20ENDED%20JUNE%2030%2C%202025%20AND%202024) Q2 2025 saw a **26%** revenue decrease, gross profit margin decline, and increased SG&A, resulting in higher net loss Financial Performance (Three Months Ended June 30, in thousands) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------- | :------ | :------ | :--------- | :--------- | | Revenue | $3,146 | $4,268 | $(1,122) | -26% | | Cost of goods sold | $2,512 | $2,702 | $(190) | -7% | | Gross profit | $634 | $1,566 | $(932) | -59% | | Selling, general and administrative expenses | $4,227 | $2,748 | $1,479 | 54% | | Loss from operations | $(3,593)| $(1,182)| $(2,411) | 204% | | Interest expense, net | $(389) | $(419) | $30 | -7% | | NET LOSS | $(4,043)| $(1,932)| $(2,111) | 109% | - Revenue decreased by **$1.2 million** (**26%**) due to strategic exit from floral and lettuce categories (**$0.741 million** decline) and a **7%** decrease in core herb portfolio revenue[177](index=177&type=chunk) - Gross profit as a percentage of revenue decreased from **37%** to **20%**, driven by inflationary pressures and higher labor costs[178](index=178&type=chunk) - SG&A expenses increased by **$1.5 million** (**54%**) due to legal charges for the NaturalShrimp acquisition (**$0.759 million**), Narayan transactions (**$0.268 million**), and franchise tax expense (**$0.234 million**)[179](index=179&type=chunk) [COMPARISON OF THE SIX MONTHS ENDED JUNE 30, 2025 AND 2024](index=29&type=section&id=COMPARISON%20OF%20THE%20SIX%20MONTHS%20ENDED%20JUNE%2030%2C%202025%20AND%202024) H1 2025 experienced a **21%** revenue decrease, gross profit margin decline, and increased SG&A, leading to higher net loss Financial Performance (Six Months Ended June 30, in thousands) | Metric | 2025 | 2024 | Change ($) | Change (%) | | :------------------------- | :------ | :------ | :--------- | :--------- | | Revenue | $5,864 | $7,401 | $(1,537) | -21% | | Cost of goods sold | $5,142 | $5,811 | $(669) | -12% | | Gross profit | $722 | $1,590 | $(868) | -55% | | Selling, general and administrative expenses | $7,242 | $6,632 | $610 | 9% | | Loss from operations | $(6,519)| $(5,042)| $(1,477) | 29% | | Interest expense, net | $(829) | $(536) | $(293) | 55% | | NET LOSS | $(7,367)| $(5,909)| $(1,458) | 25% | - Revenue decreased by **$1.5 million** (**21%**) due to the strategic exit from floral and lettuce categories (**$1.1 million** decline)[185](index=185&type=chunk) - Gross profit as a percentage of revenue decreased from **21%** to **12%**, attributed to inflationary pressures and higher labor costs[186](index=186&type=chunk) - Interest expense increased by **$0.293 million** (**55%**) due to the company entering into the Arin II Agreement[189](index=189&type=chunk) [LIQUIDITY AND CAPITAL RESOURCES](index=29&type=section&id=LIQUIDITY%20AND%20CAPITAL%20RESOURCES) This section discusses the company's ability to meet obligations, covering losses, going concern, and cash sources/uses [Going Concern Considerations](index=29&type=section&id=Going%20Concern%20Considerations) Significant losses and rising expenses create substantial doubt about the company's ability to continue as a going concern - The company incurred net losses of **$7.4 million** for the six months ended June 30, 2025, and **$11.1 million** for the twelve months ended December 31, 2024[191](index=191&type=chunk) - Substantial doubt exists about the company's ability to continue as a going concern for the next twelve months due to insufficient liquidity and expected increasing capital and operational expenses[191](index=191&type=chunk)[192](index=192&type=chunk) - Future success depends on raising additional funds through public/private financing, collaborative relationships, or expense reduction measures[192](index=192&type=chunk) [Liquidity](index=30&type=section&id=Liquidity) Primary liquidity needs for working capital, capital expenditures, debt, and preferred returns are met via financing - Primary liquidity requirements include working capital, capital expenditures, debt repayment, and preferred return payments[194](index=194&type=chunk) - Cash and cash equivalents were **$2.8 million** as of June 30, 2025, down from **$3.5 million** at December 31, 2024[195](index=195&type=chunk) - The company raised **$3.0 million** from preferred stock sales, entered the Arin II Agreement, received **$1.86 million** from an at-the-market offering, and **$3.3 million** from warrant exercises to meet cash needs[195](index=195&type=chunk) [Capital Resources](index=30&type=section&id=Capital%20Resources) This section details capital-raising activities, including warrant inducements, preferred stock sales, and cash advances - On May 21, 2025, a warrant inducement letter agreement generated **$2.999 million** in proceeds from warrant exercises[197](index=197&type=chunk) - On May 14, 2025, the company issued **3,000** shares of Series B Preferred Stock to Streeterville for **$3.0 million**, with an additional **$0.5 million** purchase expected by November 13, 2025[197](index=197&type=chunk) - The Arin II Agreement on April 2, 2025, provided **$1.4 million** in net funds from the sale of future accounts receivable, used partly to discount and prepay the Cedar III Agreement[198](index=198&type=chunk) - The company advanced **$0.293 million** to Narayan Group in February 2025, which has since defaulted on repayment of the promissory notes[200](index=200&type=chunk) [Cash Flows](index=31&type=section&id=Cash%20Flows) This section analyzes cash flows from operating, investing, and financing activities for H1 2025 versus 2024 - Net cash used in operating activities increased to **$6.8 million** for the six months ended June 30, 2025, from **$5.6 million** in 2024, driven by decreased revenue and reduced accounts payable[202](index=202&type=chunk) - Net cash used in investing activities decreased to **$0.122 million** in 2025 from **$0.167 million** in 2024, due to lower purchases of property, equipment, and leasehold improvements[203](index=203&type=chunk) - Net cash provided by financing activities decreased to **$6.2 million** in 2025 from **$7.5 million** in 2024, primarily due to lower debt financing offset by higher cash flows from warrant inducements, preferred stock issuance, and the EDA[204](index=204&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=31&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) As a smaller reporting company, Edible Garden AG is exempt from market risk disclosures - The company is exempt from providing quantitative and qualitative disclosures about market risk as a smaller reporting company[205](index=205&type=chunk) [Item 4. Controls and Procedures](index=31&type=section&id=Item%204.%20Controls%20and%20Procedures) This section confirms effective disclosure controls and procedures, with no material changes in internal control - Management concluded that disclosure controls and procedures were effective at a reasonable assurance level as of June 30, 2025[207](index=207&type=chunk) - There were no material changes in internal control over financial reporting during the most recent fiscal quarter[208](index=208&type=chunk) PART II — OTHER INFORMATION [Item 1. Legal Proceedings](index=32&type=section&id=Item%201.%20Legal%20Proceedings) Management believes no pending legal proceedings will materially adversely affect the company's financial condition - Management does not believe any pending or threatened legal proceedings would have a material adverse effect on the company's business, results of operations, or financial condition[209](index=209&type=chunk) [Item 1A. Risk Factors](index=32&type=section&id=Item%201A.%20Risk%20Factors) This section highlights risk factors from the 10-K, focusing on Nasdaq listing compliance and potential delisting - The company regained compliance with Nasdaq's minimum bid price rule but remains under a discretionary panel monitor until April 8, 2026, with strict consequences for future non-compliance[211](index=211&type=chunk)[212](index=212&type=chunk) - As of June 30, 2025, the company did not meet Nasdaq's stockholders' equity (**$2.5 million**) or market value of listed securities (**$35 million**) standards for continued listing[213](index=213&type=chunk) - Delisting from Nasdaq could severely impact the company's ability to raise capital, stock liquidity, investor confidence, and potentially lead to stockholder litigation[215](index=215&type=chunk)[220](index=220&type=chunk) [Item 5. Other Information](index=33&type=section&id=Item%205.%20Other%20Information) This section provides information on the 2025 annual meeting and deadlines for 2026 stockholder proposals - The 2025 annual meeting of stockholders will be held on September 24, 2025[216](index=216&type=chunk) - Stockholder proposals for the 2026 annual meeting must be submitted by April 10, 2026, for inclusion in proxy materials, or between May 27, 2026, and June 26, 2026, for presentation at the meeting[217](index=217&type=chunk)[218](index=218&type=chunk) [Item 6. Exhibits](index=33&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with Form 10-Q, including certificates, agreements, and employment contracts - Exhibits include Amended and Restated Certificates of Designation for Series B Preferred Stock, various financing and acquisition agreements (Arin, NaturalShrimp), and the Amended and Restated Executive Employment Agreement for James E. Kras[219](index=219&type=chunk)[221](index=221&type=chunk)

Financial Data and Key Metrics Changes - Revenue for Q2 2025 was $3.1 million, down from $4.3 million in the same period last year, primarily due to the strategic exit from the floral and lettuce categories, which accounted for approximately $740,000 of the difference [15] - Gross profit decreased to $634,000 from $1.6 million year-over-year, driven by changes in product mix and lower sales volume following category exits [15] - Net loss for the quarter was $4 million, compared to $1.9 million in the same period last year, largely reflecting higher selling, general, and administrative expenses [16] Business Line Data and Key Metrics Changes - Private label products sold through major retailers grew 19.1% year-over-year, driven by expanded retail programs and strong sell-through of sustainably grown herb products [9] - The core produce category saw hydroponic basil grow 7.1% quarter-over-quarter, with potted herbs up 6.4% and wheatgrass up 4.1% [9] - E-commerce sales increased, demonstrating the scalability of the product portfolio online and the growing strength of digital sales [10] Market Data and Key Metrics Changes - International revenue grew 66.5% due to new distribution partnerships and expanded retail placements in key global markets [11] - The functional food and beverage market is projected to expand from $400 billion to $610 billion by 2030, with U.S. sales of natural, organic, and functional products expected to reach $386 billion by 2028, growing at roughly 5% annually [12] Company Strategy and Development Direction - The company is focusing on higher-margin innovation-driven categories and has exited low-margin categories to build a more resilient and adaptable portfolio [8] - The acquisition of Natural Shrimp Aquaculture enhances R&D capabilities in aquaponics and supports year-round climate-controlled production [13] - The company aims to capitalize on emerging opportunities in the better-for-you consumer packaged goods market, aligning with long-term consumer trends towards health and sustainability [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the strategy, noting that the second quarter results indicate that the strategic decisions made are delivering real impact [6] - The company anticipates a strong Q4, driven by holiday programs and new accounts, with significant preorders already in place [41] - Management highlighted the importance of the Kick Sports Nutrition line and its potential for growth, particularly through e-commerce channels [48] Other Important Information - Selling, general, and administrative expenses increased to $4.2 million from $2.7 million year-over-year, mainly due to expenses related to the natural shrimp acquisition and legal costs [16] - The company closed the quarter with $2.8 million in cash and is focused on driving inventory efficiency [17] Q&A Session Summary Question: Is private label a growing part of the business? - Management confirmed that private label is a growing segment, with significant growth seen in partnerships with retailers like Meijer, contributing to overall revenue growth [20][24] Question: What accounted for the revenue shortfall this quarter? - The majority of the revenue shortfall was attributed to the exit from floral and lettuce categories, with some softness also noted in the condiments business and legacy vitamin products [26][27] Question: What does the Natural Shrimp acquisition bring to the portfolio? - The acquisition expands R&D capabilities, improves sustainability, and enhances distribution efficiency, positioning the company for future growth [32][34] Question: What are the expectations for Q4? - Management is optimistic about Q4, citing strong preorders and a stable operational position compared to the previous year [41][42] Question: What is the status of the Kick Sports Nutrition line? - The line is accelerating in growth, with strong support from Amazon and positive early results from marketing efforts [48][49] Question: How does the international business fit into long-term growth plans? - The international business is expected to grow significantly, particularly through shelf-stable products that can be distributed globally [54][56]

[Q2 2025 Performance and Strategic Update](index=1&type=section&id=Q2%202025%20Performance%20and%20Strategic%20Update) [Highlights and Strategy](index=1&type=section&id=Highlights%20and%20Strategy) Edible Garden reported strong Q2 2025 performance, driven by a strategic shift to higher-margin products and e-commerce expansion - The company is executing a portfolio transformation by exiting underperforming, low-margin product lines to focus on **higher-margin, CEA-informed, shelf-stable products**[2](index=2&type=chunk)[3](index=3&type=chunk)[7](index=7&type=chunk) Q2 2025 Key Segment Performance (YoY Growth) | Segment/Product | YoY Growth Rate | | :--- | :--- | | International Vitamin and Supplements Revenue | 66.5% | | Private Label Products | 19.1% | | Non-perishable Unit Sales | ~17% | | Hydroponic Basil | 7.1% | | Potted Herbs | 6.4% | | Wheatgrass | 4.1% | - Acquired the NaturalShrimp aquaculture facility, now Edible Garden Prairie Hills, to enhance R&D, add water treatment patents, and improve distribution efficiency[4](index=4&type=chunk) - Expanded digital footprint by launching the Kick Sports Nutrition line on Amazon, contributing to a **surge in e-commerce sales**[4](index=4&type=chunk) [Q2 2025 Financial Results](index=2&type=section&id=Q2%202025%20Financial%20Results) [Detailed Financial Performance](index=2&type=section&id=Detailed%20Financial%20Performance) Q2 2025 revenue decreased to $3.1 million due to strategic exits, leading to lower gross profit and an increased net loss of $4.0 million Q2 2025 Financial Summary (in millions) | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | Revenue | $3.1 | $4.3 | ($1.2) | | Gross Profit | $0.63 | $1.56 | ($0.93) | | SG&A Expenses | $4.2 | $2.7 | $1.5 | | Net Loss | ($4.0) | ($1.9) | ($2.1) | - The decrease in revenue was primarily due to the strategic exit from floral and lettuce categories, accounting for **$741,000 of the decline**[7](index=7&type=chunk) - The increase in SG&A expenses was mainly driven by legal costs for the NaturalShrimp acquisition, Narayan transaction expenses, and franchise tax charges[9](index=9&type=chunk) [Financial Statements](index=3&type=section&id=Financial%20Statements) [Consolidated Balance Sheets](index=3&type=section&id=Consolidated%20Balance%20Sheets) Total assets increased to **$21.8 million** by June 30, 2025, driven by property and equipment, while total liabilities decreased to **$5.2 million** Selected Balance Sheet Data (in thousands) | Account | June 30, 2025 | Dec 31, 2024 | | :--- | :--- | :--- | | Cash | $2,821 | $3,530 | | Total Current Assets | $5,889 | $7,377 | | Total Assets | $21,814 | $11,915 | | Total Current Liabilities | $3,954 | $6,210 | | Total Liabilities | $5,222 | $7,821 | | Total Stockholders' Equity (Deficit) | $1,592 | $4,094 | [Consolidated Statements of Operations](index=4&type=section&id=Consolidated%20Statements%20of%20Operations) For Q2 2025, revenue was **$3.1 million**, resulting in a **$3.6 million** operating loss and a **$13.9 million** net loss to common stockholders Statement of Operations Highlights - Three Months Ended June 30 (in thousands, except per-share data) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Revenue | $3,146 | $4,268 | | Gross Profit | $634 | $1,566 | | Loss from Operations | $(3,593) | $(1,182) | | Net Loss | $(4,043) | $(1,932) | | Net Loss Attributable to Common Stockholders | $(13,876) | $(1,932) | | Net Loss per Common Share | $(6.58) | $(30.02) | [Corporate Information](index=2&type=section&id=Corporate%20Information) [Company Profile](index=2&type=section&id=Company%20Profile) Edible Garden leads in controlled environment agriculture (CEA), delivering organic produce to over 5,000 locations using proprietary technology and a diverse product portfolio - The company is a leader in controlled environment agriculture (CEA) with products available in over **5,000 retail locations** across the U.S., Caribbean, and South America[15](index=15&type=chunk) - Owns proprietary GreenThumb 2.0 software and holds multiple U.S. patents related to greenhouse optimization, in-store displays, and advanced aquaculture technologies[16](index=16&type=chunk) - Develops and markets a growing line of nutrition and specialty food products, including Vitamin Way®, Kick. Sports Nutrition, Pulp® sauces, and Pickle Party™ fermented foods[17](index=17&type=chunk) [Conference Call Information](index=2&type=section&id=Conference%20Call%20Information) A conference call was scheduled for 8:00 A.M. Eastern Time to discuss Q2 2025 financial results and corporate developments - A conference call was scheduled for **8:00 A.M. Eastern Time** to discuss the quarterly financial results[12](index=12&type=chunk) - Details for accessing the live webcast and a telephone replay, available through **August 28, 2025**, were provided[13](index=13&type=chunk)[14](index=14&type=chunk)

Core Viewpoint - Edible Garden AG Incorporated is focusing on optimizing its product portfolio by exiting low-margin product lines and investing in higher-margin, innovative consumer packaged goods, particularly in the controlled environment agriculture (CEA) sector, to meet growing consumer demand for quality and sustainability [2][4]. Financial Performance - For the three months ended June 30, 2025, the company reported revenue of $3.1 million, a decrease from $4.3 million in the same period in 2024, primarily due to the exit from low-margin floral and lettuce categories [7]. - Gross profit for the quarter was $634,000, down from $1.56 million in Q2 2024, reflecting changes in product mix and increased costs [8]. - Selling, general and administrative expenses rose to $4.2 million from $2.7 million year-over-year, driven by legal costs related to acquisitions [9]. - The net loss for the quarter was $4.0 million, compared to a net loss of $1.9 million in Q2 2024, attributed to higher expenses and reduced revenue from exited categories [10]. Strategic Initiatives - The company has exited underperforming product lines and is investing in CEA-informed, better-for-you shelf-stable products, which are expected to enhance profitability and market leadership [4][5]. - Private label products sold through major retailers increased by 19.1% year-over-year, with notable growth in hydroponic basil (up 7.1%), potted herbs (up 6.4%), and wheatgrass (up 4.1%) [5]. - International revenue from vitamins and supplements surged by 66.5% due to new distribution partnerships [5]. Market Trends - The global functional food and beverage market is projected to grow from $400 billion to $610 billion by 2030, with U.S. sales of natural, organic, and functional products expected to reach $386 billion by 2028, growing at approximately 5% annually [4]. Operational Developments - The acquisition of the NaturalShrimp aquaculture facility in Iowa is expected to enhance research and development in aquaponics and improve distribution efficiency [4]. - The company is advancing its strategic priorities in innovation and operational sustainability, with a focus on expanding its digital marketing reach and e-commerce sales [4].

Core Viewpoint - Edible Garden AG Incorporated, a leader in controlled environment agriculture, will host a conference call on August 14, 2025, to discuss its financial results for the second quarter of 2025 and provide a business update [1]. Company Overview - Edible Garden is recognized for its sustainable produce and products, operating under a Zero-Waste Inspired farming model [4]. - The company has over 5,000 retail locations across the U.S., Caribbean, and South America, emphasizing its role in the CEA and sustainability technology movement [4]. - It operates advanced vertically integrated greenhouses and processing facilities in Michigan, Iowa, and New Jersey, and collaborates with contract growers near major U.S. markets [4]. Technology and Innovations - Edible Garden's proprietary GreenThumb 2.0 software optimizes greenhouse conditions and aims to reduce food miles, protected by multiple U.S. patents [5]. - The patented Self-Watering display is designed to extend plant shelf life and enhance in-store presentation [5]. - The company holds patents in advanced aquaculture technologies, including a closed-loop shrimp farming system and a modular recirculating aquaculture setup [5]. Recognition and Product Offerings - Edible Garden has been recognized as a FoodTech 500 firm and is a member of Walmart's Project Gigaton sustainability initiative [6]. - The company markets a range of nutrition and specialty food products, including plant and whey protein powders, and a line of sustainable condiments [6].

Core Insights - Edible Garden AG Incorporated has launched a USDA Certified Organic Hydroponic Basil Plant, marking a significant innovation in the controlled environment agriculture (CEA) sector [2][4] - The product combines hydroponic cultivation with USDA Organic certification, aiming to reduce food waste and enhance freshness while appealing to health-conscious consumers [4] Company Overview - Edible Garden is a leader in CEA, offering locally grown, organic, and sustainable produce, and operates over 5,000 stores across the US, Caribbean, and South America [5] - The company utilizes patented technologies such as GreenThumb software and Self-Watering displays to optimize growth and enhance product shelf life [5] - Edible Garden has acquired patents related to advanced aquaculture technologies, further diversifying its product offerings [5] Product Features - The new hydroponic basil is designed to use up to 90% less water than conventional farming methods and is cultivated locally year-round, which reduces food miles [4] - The product's packaging is visually appealing, aimed at improving in-store visibility and supporting premium placement in retail environments [4] - The basil is marketed as a sustainable choice that aligns with modern consumer values regarding health and environmental awareness [4]