Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Quarter Ended August 29, 2021, or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition period for _________ to _________. Commission file number: 000-27446 LANDEC CORPORATION (Exact name of registrant as specified in its charter) | Securities registe ...

Landec Corporation (LNDC) Q1 2022 Earnings Conference Call September 29, 2021 5:00 PM ET CorporateParticipants Jeff Sonnek - IR, ICR Albert Bolles - President and Chief Executive Officer John Morberg - Chief Financial Officer Jim Hall - President, Lifecore ConferenceCall Participants Mark Smith - Lake Street Capital Markets Anthony Vendetti - Maxim Group Mitch Pinheiro - Sturdivant & Company Mike Petusky - Barrington Research Operator Good afternoon and thank you for joining Landec's Fiscal 2022 First Quart ...

I N V E S T O R P R E S E N TAT I O N S e p t e m b e r 2 0 2 1 I M P O R T A N T C A U T I O N S R E G A R D I N G F O R W A R D - L O O K I N G S T A T E M E N T S Except for the historical information contained herein, the matters discussed in this presentation are forward- looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"). These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ mater ...

[Cautionary Note About Forward-Looking Statements](index=4&type=section&id=Cautionary%20Note%20About%20Forward-Looking%20Statements) The Annual Report contains forward-looking statements subject to risks and uncertainties, which may cause actual results to differ [Summary of Forward-Looking Statements](index=4&type=section&id=Cautionary%20Note%20About%20Forward-Looking%20Statements_Summary) This section summarizes forward-looking statements, noting inherent risks and uncertainties that could cause actual results to vary - Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from expectations[12](index=12&type=chunk) - Potential risks include timing and expenses of operations, market acceptance of new products, weather conditions, government regulations, COVID-19 impacts, regulatory approvals, and successful integration of Yucatan Foods[12](index=12&type=chunk) - The company's actual results could differ materially from projections due to various factors, including those listed in Item 1A. 'Risk Factors'[13](index=13&type=chunk) [PART I](index=4&type=section&id=PART%20I) [Item 1. Business](index=4&type=section&id=Item%201.%20Business) Landec Corporation designs, develops, manufactures, and sells differentiated products for food and biomaterials markets through Curation Foods and Lifecore Biomedical - Landec Corporation operates in food and biomaterials markets, licensing technology and selling differentiated products[17](index=17&type=chunk) - Curation Foods focuses on plant-based foods with 100% clean ingredients, utilizing BreatheWay® packaging technology for freshness[18](index=18&type=chunk) - Lifecore Biomedical is a CDMO specializing in sterile, injectable pharmaceutical products and Hyaluronic Acid (HA) manufacturing[18](index=18&type=chunk) [Corporate Overview](index=4&type=section&id=Corporate%20Overview) Landec Corporation, incorporated in California in 1986 and reincorporated in Delaware in 2008, is listed on The NASDAQ Global Select Market under the symbol 'LNDC' - Landec Corporation, incorporated in California in 1986 and reincorporated in Delaware in 2008, is listed on The NASDAQ Global Select Market under the symbol 'LNDC'[19](index=19&type=chunk) [Reportable Segments](index=5&type=section&id=Reportable%20Segments) Landec operates through Curation Foods (plant-based foods), Lifecore Biomedical (CDMO), and an 'Other' segment for corporate expenses - Landec has three reportable business segments: Curation Foods, Lifecore, and Other[20](index=20&type=chunk) - Curation Foods includes brands like Eat Smart®, O Olive Oil & Vinegar®, Yucatan®, and Cabo Fresh® avocado products, leveraging BreatheWay® packaging technology[21](index=21&type=chunk)[23](index=23&type=chunk)[24](index=24&type=chunk)[25](index=25&type=chunk)[26](index=26&type=chunk) - Lifecore Biomedical is a CDMO manufacturing pharmaceutical-grade sodium hyaluronate (HA) and offering development, fill, and finish services for sterile injectable products[29](index=29&type=chunk) - The 'Other' segment includes corporate general and administrative expenses, non-Curation Foods and non-Lifecore interest income, and income tax expenses[37](index=37&type=chunk) - Curation Foods sold its 26.9% investment ownership in Windset Holding 2010 Ltd. for **$45.1 million** on June 1, 2021[28](index=28&type=chunk) [COVID-19 Pandemic](index=8&type=section&id=COVID-19%20Pandemic) The COVID-19 pandemic has significantly impacted sales, customer behaviors, operations, inventory, and employees - The COVID-19 pandemic has had and is expected to continue to have significant adverse impacts on sales, customer behaviors, business and manufacturing operations, inventory, employees, and the market generally[38](index=38&type=chunk) [Sales and Marketing](index=8&type=section&id=Sales%20and%20Marketing) Curation Foods uses dedicated sales teams, while Lifecore relies on name recognition and referrals with minimal marketing - Curation Foods uses dedicated sales and marketing teams across the U.S. and Canada[39](index=39&type=chunk) - Lifecore relies on name recognition and referrals for its biomedical CDMO and manufacturing services, with minimal marketing infrastructure[39](index=39&type=chunk) [Manufacturing and Processing](index=8&type=section&id=Manufacturing%20and%20Processing) Curation Foods' operations are affected by seasonal weather, with production across multiple U.S. and Mexico facilities, while Lifecore produces HA in Minnesota - Curation Foods' operations are affected by seasonal weather, leading to potential higher sourcing and processing costs[40](index=40&type=chunk) - Eat Smart products are processed in Guadalupe, CA, and Bowling Green, OH. O Olive Oil & Vinegar uses third parties for crushing/bottling and its Petaluma, CA facility for vinegar production. Yucatan and Cabo Fresh guacamole is primarily produced in Guanajuato, Mexico[41](index=41&type=chunk)[42](index=42&type=chunk)[43](index=43&type=chunk) - Lifecore produces HA through bacterial fermentation at its Chaska, Minnesota facilities, which also handle non-HA manufacturing, formulation, aseptic filling, and distribution[45](index=45&type=chunk)[46](index=46&type=chunk) [Competition](index=9&type=section&id=Competition) The company faces intense competition from larger, better-resourced companies in rapidly evolving food and biomedical markets - The company operates in highly competitive and rapidly evolving fields, facing competition from large food-products, industrial, medical, and pharmaceutical companies with greater resources[47](index=47&type=chunk) - Curation Foods' principal competitors include Taylor Farms, Fresh Express, and Dole. Increased competition and e-commerce growth can reduce sales and restrict pricing power[48](index=48&type=chunk)[49](index=49&type=chunk) [Patents and Proprietary Rights](index=9&type=section&id=Patents%20and%20Proprietary%20Rights) Success relies on obtaining patents, maintaining trade secret protection, and avoiding infringement, with 19 active U.S. patents as of May 2021 - The company's success relies on obtaining patents, maintaining trade secret protection, and avoiding infringement. As of May 30, 2021, it held **19 active U.S. patents** expiring between 2021 and 2035[50](index=50&type=chunk) [Government Regulation](index=9&type=section&id=Government%20Regulation) Products are subject to extensive regulation by foreign, federal, state, and local agencies, including the FDA, FTC, OSHA, and SAGARPA - Curation Foods' products are regulated by various foreign, federal, state, and local agencies, including the FDA, FTC, and OSHA in the U.S., and SAGARPA in Mexico[51](index=51&type=chunk)[52](index=52&type=chunk)[53](index=53&type=chunk) - Lifecore's medical devices and drug products are subject to extensive regulation by the FDA and foreign agencies, requiring approvals (PMA, NDA, Pre-Market Notifications) and compliance with quality control procedures[54](index=54&type=chunk)[55](index=55&type=chunk) [Human Capital](index=11&type=section&id=Human%20Capital) Landec had 905 full-time employees as of May 2021, focusing on attraction, development, and retention through equitable hiring and training - As of May 30, 2021, Landec had **905 full-time employees**, with **675** in R&D, manufacturing, quality control, and regulatory affairs, and **230** in sales, marketing, and administration[56](index=56&type=chunk) - The company focuses on attracting, developing, and retaining employees through an equitable hiring process, a COVID-19 Taskforce for safety, and training programs in Food Safety, Human Safety, and Human Resources[57](index=57&type=chunk)[58](index=58&type=chunk)[59](index=59&type=chunk) [Available Information](index=13&type=section&id=Available%20Information) Landec makes its SEC filings, including Annual Reports on Form 10-K, available free of charge on its website and the SEC's website - Landec makes its SEC filings, including Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K, available free of charge on its website (www.landec.com) and the SEC's website (www.sec.gov)[62](index=62&type=chunk) [Item 1A. Risk Factors](index=13&type=section&id=Item%201A.%20Risk%20Factors) Significant risks include operational challenges, COVID-19 impacts, financial constraints, adverse weather, customer concentration, competition, and regulatory compliance - Project SWIFT, a shareholder value creation program for Curation Foods, may not achieve anticipated results, incur additional restructuring costs, and face negative market perception[64](index=64&type=chunk) - The COVID-19 pandemic continues to pose significant adverse impacts on sales, customer behavior, manufacturing, supply chains, and overall economic stability, affecting both Curation Foods and Lifecore[65](index=65&type=chunk)[66](index=66&type=chunk)[67](index=67&type=chunk) - Credit facilities impose financial covenants and liens on assets, potentially limiting operational flexibility, cash flow for investments, and increasing default risk[68](index=68&type=chunk)[69](index=69&type=chunk)[70](index=70&type=chunk) - Adverse weather conditions can substantially decrease sales and increase costs for the packaged fresh salads and vegetables business[71](index=71&type=chunk) - Sales to the top five customers accounted for approximately **49% of total revenue** in fiscal year 2021, with Costco and Walmart representing **16%** and **15%** respectively, posing a risk of order cancellations or delays[72](index=72&type=chunk) - The company faces intense competition from larger, better-resourced companies in both food and biomedical sectors, exacerbated by e-commerce growth[77](index=77&type=chunk)[78](index=78&type=chunk)[79](index=79&type=chunk) - Operations are subject to extensive governmental regulations (FDA, FTC, OSHA, SAGARPA

Financial Data and Key Metrics Changes - Full-year consolidated revenues reached $544 million, exceeding expectations by $12 million, driven by both Curation Foods and Lifecore [8] - Consolidated adjusted EBITDA for the year was $31.4 million, surpassing guidance by $2.4 million, marking a 43% increase year-over-year [46] - Cash provided by operations improved by $32.1 million compared to the prior year, totaling $15 million for the full year [47] - Net debt at the end of the fourth quarter was $192.6 million, with pro forma net debt after debt repayment at $151.2 million, improving the net leverage ratio by 1.3 turns [48] Business Line Data and Key Metrics Changes Lifecore Segment - Fourth quarter revenues were $25.8 million, a 1.3% increase year-over-year, with full-year revenue growth of 14.3% to $98.1 million [38][40] - Adjusted EBITDA for Lifecore was $7.7 million in Q4, a 2.6% increase, with a full-year adjusted EBITDA of $24.5 million, reflecting a 22% year-over-year increase [39][40] Curation Foods Segment - Fourth quarter revenues totaled $114 million, a 12.7% decline from the prior year, with an adjusted EBITDA of $5.9 million [41][44] - Full-year revenues for Curation Foods declined 11.6% to $446.1 million, but adjusted EBITDA increased by 148% to $11 million [44] Market Data and Key Metrics Changes - Lifecore's revenue growth trajectory is expected to be in the low to mid-teens compound annual growth rate over the long term [9] - Curation Foods is experiencing growth in avocado products, although overall revenues are expected to be flat to slightly negative year-over-year [13] Company Strategy and Development Direction - The company plans to invest in Lifecore with additional CapEx and sales and marketing to expand development channels, anticipating full-year consolidated revenues of $545 million to $554 million for FY'22 [11][50] - Curation Foods is focusing on operational efficiencies and enhancing gross margins, aiming for a steady state gross margin of 11% to 14% [34][56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of Lifecore despite COVID-19 disruptions, with expectations for revenue growth to recover in the second half of FY'22 [12][52] - Inflationary pressures are being addressed through cost control measures and potential price increases to maintain gross margins [33][61] Other Important Information - The company has entered into a logistics agreement with Castellini to improve delivery performance and efficiency [31][75] - A director resigned for personal reasons, and the board size was reduced from 11 to 10 directors [14] Q&A Session Summary Question: Inflationary pressures in Curation Foods - Management noted that inflation is primarily from direct materials, and they are focused on efficiency programs to mitigate costs while being open to price increases [60][61] Question: Changes in consumer behavior with reopening - Management highlighted growth in food service, particularly in green beans and salads, and mentioned new shipping channels like Amazon [63] Question: Lifecore's inventory levels and customer orders - Management indicated that customer inventory levels built during COVID are expected to normalize, impacting revenue growth in the first half of FY'22 [65][68] Question: Castellini Transportation agreement - The agreement is expected to enhance delivery frequency and efficiency, leading to reduced shrinkage and improved customer service [72][75] Question: Project SWIFT savings and efficiency - Management stated that Project SWIFT is ongoing, focusing on simplification and efficiency, with approximately $20 million in assets sold to date [84][86] Question: CapEx expectations for FY'22 - CapEx is expected to be $32 million for Lifecore and up to $7 million for Curation Foods, with a focus on expanding capacity [100] Question: Avocado business performance - Management acknowledged a slowdown in the avocado category but remains confident in mid- to high-single digit growth rates for their products [108]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Quarter Ended February 28, 2021, or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition period for _________ to _________. Commission file number: 0-27446 LANDEC CORPORATION (Exact name of registrant as specified in its charter) Delaware 94-3025618 ...

I N V E S T O R P R E S E N TAT I O N A p r i l 2021 I M P O R T A N T C A U T I O N S R E G A R D I N G F O R W A R D - L O O K I N G S T A T E M E N T S Except for the historical information contained herein, the matters discussed in this presentation are forward- looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"). These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from ...

Landec Corporation (LNDC) Q3 2021 Results Earnings Conference Call April 7, 2021 5:00 PM ET Company Participants Jeff Sonnek - IR, ICR Albert Bolles - President and CEO John Morberg - Chief Financial Officer Jim Hall - President, Lifecore Conference Call Participants Anthony Vendetti - Maxim Group Mike Petusky - Barrington Research Mark Smith - Lake Street Capital Markets Mitch Pinheiro - Sturdivant & Co. Operator Good afternoon. And thank you for joining Landec's Fiscal 2021 Third Quarter Earnings Call. Du ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Quarter Ended November 29, 2020, or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition period for _________ to _________. Commission file number: 0-27446 LANDEC CORPORATION (Exact name of registrant as specified in its charter) Indicate by check ma ...

I N V E S T O R P R E S E N TAT I O N J a n u a r y 2 0 2 1 I M P O R T A N T C A U T I O N S R E G A R D I N G F O R W A R D - L O O K I N G S T A T E M E N T S Except for the historical information contained herein, the matters discussed in this presentation are forward- looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 (the "Exchange Act"). These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materiall ...