Business Transformation and Operations - Sadot Group transformed from a U.S.-centric restaurant business into a global Agri-Foods supply-chain organization in late 2022[18]. - As of December 31, 2024, Sadot Group consists of one distinct operating unit and one discontinued operation[19]. - Sadot Agri-Foods operates a 5,000-acre crop-producing farm in Zambia, focusing on major commodities such as wheat, soy, and corn[21]. - The company signed a consulting agreement with Buenaventura Trading LLC for $0.5 million annually, updated to $0.9 million in December 2024[22]. - Sadot Group sold its subscription-based meal concept, SuperFit Foods, in August 2024, and now only operates as a franchisor for Muscle Maker Grill and Pokémoto[27]. - The company is diversifying its operations geographically and across products to hedge against market volatility and increase profit margins[32]. - The Brazilian subsidiary, Sadot Brazil, was formed in December 2023 to enhance sourcing capabilities in a key agricultural production region[24]. - Sadot Group's strategy focuses on enhancing its global operations in the Agri-Foods supply chain, including farming, trading, and shipping[28]. Risks and Challenges - The company faces challenges from weak global economic conditions, including rising interest rates and reduced demand for agricultural commodities[48]. - The company is exposed to adverse weather conditions, pandemics, and political events that could disrupt operations and affect the availability and pricing of agricultural commodities[49]. - The farming operations are solely located in the Mkushi region of Zambia, where adverse weather can negatively impact crop yields and increase input costs[51]. - The company faces significant risks from international operations, including adverse trade policies, inflation, and currency exchange rate fluctuations, particularly with the Brazilian Real and Zambian Kwacha[55][57]. - The availability and prices of agricultural commodities are subject to wide fluctuations due to factors such as climate change, government programs, and competition, which could adversely affect operating results[68]. - The company has increased its international supply chain operations, which exposes it to additional country risk due to political and economic unrest in trading regions[73]. - Seasonal fluctuations in agricultural production can lead to variations in financial performance, with potential material adverse effects during periods of reduced market demand[77][78]. - Advances in technology may reduce dislocations and arbitrage opportunities in agricultural markets, potentially impacting earnings for agricultural merchandisers[70]. Food Safety and Security - The company is enhancing food safety and security procedures to mitigate risks associated with product adulteration in the supply chain[76]. Financial Strategy and Capital Management - The company’s strategy includes expanding the volume and diversity of crops, global reach, and sustainable agriculture programs, which may be impacted by government policies and regulations[64]. - The company is focusing on expanding into multiple verticals of the food supply chain, including logistics, food processing, and sustainability initiatives[82]. - The growth strategy includes both organic and inorganic initiatives, with potential risks of increased costs and delayed synergies in new geographies[81]. - The company may face challenges in effectively integrating acquired businesses, which could lead to unforeseen operational difficulties and expenditures[83]. - There is a risk of not realizing anticipated benefits from acquisitions, joint ventures, or divestitures, which could adversely affect financial results[85]. - The company relies on third-party vendors for certain operations, which exposes it to risks of business disruption and increased costs if these vendors do not perform effectively[90]. - The company’s food origination and trading operations could be negatively impacted if the consulting agreement with Aggia LLC FZ were to terminate[91]. Competitive Landscape - The competitive landscape is intense, with significant pressure from larger competitors that could impact sales and profit margins[92]. - Franchisees operate independently, which may lead to inconsistencies in quality and operational standards, potentially harming the company's reputation[96]. - The company faces risks related to the protection of its intellectual property, which is crucial for brand awareness and market acceptance[99]. Information Technology and Cybersecurity - Information technology systems are critical for operations, and any interruptions or security breaches could adversely affect business operations[101]. - Increased global cybersecurity vulnerabilities pose significant risks to the company's IT systems and data integrity, with potential costs for protection against breaches[102]. - The ongoing Ukraine-Russia war has heightened the risk of cyberattacks, which could adversely affect the company's operations in the region[103]. - The company has implemented various security measures, including training programs and disaster recovery plans, but these may not fully prevent adverse events[104]. - A breach of IT systems could lead to material disruptions in business operations and significant costs, impacting financial reporting and business opportunities[105]. - The company is subject to evolving data privacy regulations, which could result in legal claims and regulatory fines, adversely affecting its financial condition[106]. Human Capital and Labor - Human capital requirements may not be sufficient to support global operations, potentially impacting warehousing and shipping processes[107]. - Changes in labor laws and regulations could materially affect the company's operating costs and financial condition[108]. - The company relies on its executive officers and key employees, and their loss could harm business strategy and financial results[113]. Market Conditions and Stock Performance - Risk management strategies may not fully hedge against fluctuations in commodity prices and other market risks, potentially impairing financial position[114]. - As a smaller reporting company, the company is exempt from certain disclosure requirements, which could make its common stock less attractive to investors[115]. - The company entered into a SEPA with Yorkville to issue and sell up to $25 million of common stock, with an initial advance of $3 million[138]. - The company intends to retain future earnings for business operations and expansion, with no dividends expected in the foreseeable future[132]. - The company may face difficulties in trading its common stock if it becomes subject to penny stock rules, which apply to stocks priced under $5.00[134]. - The company has registered 34,315,083 shares for resale under the SEPA, which includes 227,273 commitment shares and up to 34,087,810 shares that may be sold at the company's discretion[144]. - The company may incur dilution of existing shareholders' ownership due to the issuance of shares under the SEPA, potentially affecting the market price of its common stock[147]. - The company is subject to market conditions and other factors that will determine the timing and amount of shares sold to Yorkville under the SEPA[141]. - The company may not be able to raise the full $25 million under the SEPA due to limitations such as the Ownership Limitation and Exchange Cap[143]. - The company’s stock price has been highly volatile, influenced by various factors including market conditions and operational performance[128]. - The company does not control the research and reports published by analysts, which can significantly impact its share price and trading volume[131]. - The company may face challenges in maintaining its listing on NASDAQ, which could adversely affect stockholder's ability to sell their securities[133]. - The company has entered into a SEPA allowing the right to sell up to $25.0 million of common stock, subject to certain conditions[155]. - The company expects to continue incurring operating losses as it implements its business plans, with significant capital expenditures anticipated for the foreseeable future[154]. - Capital expenditures will be directed towards servicing Sadot Agri-Foods, Sadot restaurant group, and Sadot farming operations[154]. - The company acknowledges limited historical data on demand for its Agri-Foods and farming operations, leading to uncertainty in capital requirements[154]. - Additional equity or equity-linked securities sales could dilute stockholders, while incurring debt may increase obligations and restrict operations[157]. - The ability to access capital is critical for the company to execute its business plans, with plans to seek additional equity and/or debt financing[156]. - Management will have broad discretion over the use of proceeds from the SEPA, which may not necessarily improve financial condition[158]. - The company may need to significantly reduce spending or alter corporate structure if unable to raise sufficient funds on favorable terms[157]. - Future growth opportunities may arise, potentially requiring additional capital[154]. - The company plans to continue seeking other funding sources, including credit facilities and debt securities[156].

Financial Performance - Consolidated revenues for Q3 2024 reached $201.7 million, a 10.7% increase compared to the prior year period[2] - Net income improved to $1.2 million, a significant turnaround from a loss of $5.2 million in the prior year, marking a $6.3 million improvement[2] - Year-to-date consolidated revenues totaled $484.7 million, down from $555.4 million in the prior year[3] - Year-to-date net income increased to $3.3 million, up from a loss of $6.1 million in the prior year, representing a $9.3 million improvement[3] - EBITDA for Q3 2024 was $2.9 million, compared to a negative $4.4 million in the prior year, reflecting a $7.4 million improvement[2] - Basic EPS improved to $0.25 compared to a negative $1.39 in the prior year period[2] - Net income for the nine months ended September 30, 2024, was $3,099,000, a significant improvement from a net loss of $6,171,000 in the same period of 2023[17] - EBITDA for the nine months ended September 30, 2024, was $6,498,000, compared to a loss of $4,316,000 in the same period of 2023, indicating a positive trend in operational performance[20] - Gross profit for the nine months ended September 30, 2024, was $4,635,000, down from $10,654,000 in the same period of 2023, reflecting challenges in revenue generation[20] - The net income margin attributable to Sadot Group Inc. for the nine months ended September 30, 2024, was 0.6%, an improvement from a margin of -1.1% in the same period of 2023[20] - The EBITDA margin attributable to Sadot Group Inc. for the nine months ended September 30, 2024, was 1.4%, compared to -0.8% in the same period of 2023[20] Cash Flow and Working Capital - The company reported a net cash provided by operating activities of $6,980,000 for the nine months ended September 30, 2024, compared to a cash used of $8,679,000 in the same period of 2023[17] - Working capital surplus increased to $18.9 million from $8.3 million at the end of 2023[2] - Cash at the end of the period for September 30, 2024, was $962,000, down from $2,422,000 at the end of September 30, 2023[17] - The company experienced a significant change in accounts receivable, with a net increase of $20,275,000 for the nine months ended September 30, 2024, compared to a decrease of $61,155,000 in the same period of 2023[17] - The company reported a total adjustment of $3,881,000 for the nine months ended September 30, 2024, compared to an adjustment of -$2,508,000 in the same period of 2023[17] Business Operations - The company completed 24 transactions of over 0.5 million metric tons of agri-commodities across 14 countries during Q3 2024[5] - Revenue growth in the core commodity trading business was 11.6% year-over-year in the latest three-month period[4] - The company is negotiating for the acquisition of an agricultural farming property in Indonesia[6] Forward-Looking Statements - The company cautions that forward-looking statements may involve risks and uncertainties that could cause actual results to differ materially from expectations[21]

Financial Data and Key Metrics Changes - Consolidated revenues for Q3 2024 increased by 10.7% to $201.7 million compared to $182.2 million in Q3 2023 [8][15] - Net income improved significantly to $1.2 million in Q3 2024, a turnaround from a net loss of $5.2 million in Q3 2023, representing an improvement of approximately $6.3 million year-over-year [9][16] - EBITDA for Q3 2024 was positive at $2.9 million, compared to a negative $4.4 million in the same period last year, marking a $7.4 million improvement [10][16] - Year-to-date net income through Q3 2024 stands at $3.3 million, a significant improvement from a net loss of $6.1 million for the same period in 2023 [10] Business Line Data and Key Metrics Changes - The core agri commodity group, Sadot Agri-Foods, generated 99.6% of consolidated revenue, amounting to $200.9 million, reflecting an 11.6% increase year-over-year [8][15] - Legacy restaurant operations, now 100% franchised, contributed $0.8 million in revenue from royalties and company operations in Q3 [15] Market Data and Key Metrics Changes - The company is actively expanding its operations into new geographical markets, including recent expansions into Brazil and Canada [21] - The Canadian trading division has facilitated sales of 11 specialty crop commodities, contributing approximately $20 million in transactions [27] Company Strategy and Development Direction - The company aims to diversify into various verticals within the global food supply chain, including farming, logistics, and processing [21] - Plans to expand farm operations into new geographies and leverage farm assets for trading are underway [21] - The company is negotiating the acquisition of agricultural property in Indonesia, which would enhance its portfolio of farming assets [12][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to operate profitably within the global agri commodities market, which is valued at nearly $2 trillion [11] - The company is focused on enhancing revenue streams, increasing working capital surplus, and achieving profitability [20][22] Other Important Information - SG&A expenses increased to $4.2 million, primarily due to investments in expanding Sadot Agri-Food trading offices [17] - The company reported a mark-to-market gain of approximately $5.5 million from derivative transactions in Q3 [19] Q&A Session Summary Question: Update on progress in Canada - The Canadian trading division has exceeded initial expectations, facilitating sales of 11 specialty crop commodities and engaging in approximately $20 million of transactions [27] Question: Details on the deposit for farmland in Indonesia - The company placed a deposit for approximately 9,500 acres of farmland in Indonesia, which includes vanilla plants and coconut trees, with potential for other crops [29][30] Question: Status of restaurant sales - The company is advancing steadily with multiple interested groups in various stages of due diligence for the sale of Pokémoto and Muscle Maker, having transitioned to a 100% franchise model [31][32] Question: Gross margin improvement - Gross margins are in line with industry standards, and increased trading activity in Canada is expected to enhance margins [36][37] Question: Rationale for the Indonesian farm purchase - The Indonesian farm will offer niche products and allow for geographical diversification, enhancing the company's trading capabilities [39][40] Question: Drivers of SG&A increase - SG&A expenses are rising due to the need to build teams in new geographical areas, with some one-time expenses expected [43][44] Question: Yorkville debt retirement transaction - The company has fully paid off its obligations to Yorkville, and they no longer own any stock [55] Question: Timeline for restaurant deal closing - The company anticipates a formal LOI soon, with incentives provided to close the deal by the end of the year [56][57]

Revenue Performance - Commodity sales for the three months ended September 30, 2024, were $200.9 million, an increase from $180.0 million in the same period of 2023, representing an increase of 11.0%[212] - Company restaurant sales for the three months ended September 30, 2024, were $0.5 million, down from $1.9 million in the same period of 2023, a decrease of 75.0%[212] - Franchise royalties and fees increased to $0.32 million for the three months ended September 30, 2024, compared to $0.25 million in the same period of 2023, an increase of 30.6%[212] - Commodity sales increased to $200.9 million for the three months ended September 30, 2024, up by $20.9 million or 11.6% compared to $179.975 million in 2023[231] - Company restaurant sales, net of discounts, decreased by 75.3% to $0.5 million in Q3 2024 from $1.9 million in Q3 2023, primarily due to the conversion of corporate locations to franchises[234] - Franchise royalties and fees rose to $0.3 million in Q3 2024, an increase of 31.0% from $0.2 million in Q3 2023, attributed to a higher number of Pokemoto franchises[235] - Commodity sales for the nine months ended September 30, 2024, totaled $480.7 million, a decrease of $67.2 million or 12.3% compared to $547.9 million in the same period of 2023[259] - Company restaurant sales, net of discounts, were $2.6 million for the nine months ended September 30, 2024, down $4.1 million or 60.9% from $6.7 million in 2023, primarily due to the conversion of corporate locations to franchise locations[260] - Franchise royalties and fees increased to $1.3 million for the nine months ended September 30, 2024, representing a rise of $0.6 million or 72.0% compared to $0.8 million in 2023[261] Profitability Metrics - Gross profit for the three months ended September 30, 2024, was $2.5 million, down from $2.9 million in the same period of 2023, a decrease of 15.2%[212] - EBITDA for the three months ended September 30, 2024, was $2.9 million, compared to a loss of $4.4 million in the same period of 2023, indicating a significant improvement[212] - Net income for the three months ended September 30, 2024, was $1.1 million, a significant improvement from a net loss of $5.3 million in the same period of 2023, representing a 120.7% increase[228] - Gross profit for the nine months ended September 30, 2024, was $4.6 million, a decrease of $6.0 million or 56.5% from $10.7 million in 2023, mainly due to lower sales[258] - Net income for the nine months ended September 30, 2024, was $3.1 million, compared to a net loss of $6.2 million in the same period of 2023, representing an improvement of $9.3 million[258] Cost and Expenses - Total cost of goods sold for the three months ended September 30, 2024, was $199.3 million, an increase from $179.3 million in the same period of 2023, representing an increase of 11.2%[212] - Stock-based expenses for the three months ended September 30, 2024, were $1.7 million, compared to $1.1 million in the same period of 2023, an increase of 54.5%[218] - Loss from operations for the three months ended September 30, 2024, was $3.6 million, slightly improved from a loss of $4.0 million in the same period of 2023[212] - Cost of goods sold increased to $199.3 million in Q3 2024, up by $20.0 million or 11.2% from $179.3 million in Q3 2023, driven by higher sales[238] - Depreciation and amortization expenses for Q3 2024 totaled $49.0 thousand, a decrease of $394.0 thousand or 89.0% compared to $443.0 thousand in Q3 2023[241] - Stock-based expenses increased by $638.0 thousand or 59.3%, totaling $1.7 million in Q3 2024 compared to $1.1 million in Q3 2023[245] - Sales, general and administrative expenses totaled $4.2 million in Q3 2024, an increase of $935.0 thousand or 28.2% compared to $3.3 million in Q3 2023[246] - Interest expense, net, increased significantly to $3.0 million for the nine months ended September 30, 2024, compared to $0.3 million in 2023, an increase of 827.8%[258] - Stock-based expenses for the nine months ended September 30, 2024 were $4.4 million, down $1.2 million or 21.8% from $5.7 million in 2023, primarily due to consulting fees[272] - Sales, general and administrative expenses increased by $1.6 million or 22.2% to $8.8 million for the nine months ended September 30, 2024, driven by higher consulting fees related to market expansions[273] Financial Position - Total assets as of September 30, 2024, were $171.0 million, an increase from $90.7 million as of September 30, 2023[250] - As of September 30, 2024, total current assets were $159.0 million, an increase from $112.9 million at December 31, 2023, while total current liabilities rose to $140.1 million[278] - Working capital increased to $18.9 million as of September 30, 2024, up $10.7 million from $8.3 million at December 31, 2023, reflecting improved liquidity[279] - The current ratio improved to 1.14 as of September 30, 2024, compared to 1.08 at December 31, 2023, indicating better short-term financial health[279] Other Financial Information - The company recognized $16.0 thousand in other revenues for Q3 2024, with no other revenues reported in Q3 2023, indicating new revenue streams[237] - Total other income for Q3 2024 was $4.7 million, a significant increase of $6.1 million compared to a loss of $1.3 million in Q3 2023[247] - Total other income for the nine months ended September 30, 2024 was $12.3 million, a significant increase of $12.5 million from a loss of $0.2 million in 2023, mainly due to gains on fair value remeasurement[275] - The company recognized a gain on the sale of trading securities amounting to $0.5 million for the nine months ended September 30, 2024, with no such gain reported in 2023[258] Strategic Changes - The company has initiated a transformation from a U.S.-centric restaurant business to a global Agri-foods supply-chain organization as of late 2022[207] - The company is currently evaluating the impact of ASU 2023-07 on its consolidated financial statements, which requires additional disclosures related to reportable segments[289] - The company intends to vigorously defend against a lawsuit seeking damages of $7.4 million related to a commodities transaction[295] - The company has experienced seasonal fluctuations in revenues and net income, typically lower during non-harvest seasons[291] Internal Controls and Future Considerations - There were no changes in internal control over financial reporting that materially affected the company during the three and nine months ended September 30, 2024[293] - The company may need to raise additional capital, which could dilute existing shareholders and may not be available on acceptable terms[281] - The company has no off-balance sheet arrangements that could materially affect its financial condition[292]

Financial Performance - Sadot Group reported a total revenue of $716 million for the first half of 2024, with over 1,750,275 metric tons shipped to/from 27 different countries [20]. - The company has a market capitalization of $25.7 million and a trailing twelve months (TTM) revenue of $636.4 million, resulting in a price-to-earnings (P/E) ratio of 2X compared to the sector median of 10.6X [4]. - The company generated $9.2 million in net income for the first half of 2024, reflecting a significant increase in profitability [20]. - Sadot Group Inc. reported a market cap of $19 million and projected revenue of $632 million for CY 2024 [24]. - Sadot Group's current Earnings Ratio is 2X, compared to a sector median of 10.6X [27]. Strategic Initiatives - Sadot Group is actively divesting from its legacy food service operations, including the announced sale of Superfit Foods on August 1, 2024 [11]. - The company is in the process of divesting its food service business to concentrate on its international Agri-Foods supply chain segments [28]. - In August 2024, Sadot announced the sale of Superfit Foods Meal Prep Company as part of its divestment strategy [28]. - The company is transitioning corporate-owned locations to franchise-owned locations to streamline operations [28]. - Sadot Group plans to enhance its diversification strategy by acquiring additional commodity fields over the coming year [25]. - The company is engaged in business development, exploring potential synergies and acquisitions within the industry [26]. Agricultural Operations - Sadot Group acquired approximately 5,000 acres of farmland in Zambia's Mkushi Region, expected to yield 5,000 metric tons of maize and 1,000 metric tons of premium wheat [20]. - The company plans to implement a pilot program in Zambia to support local farmers by providing seeds and fertilizers, enhancing regional agricultural productivity [20]. - Sadot Group aims to expand its farming operations into new geographies and agricultural products to manage market volatility [26]. - The company has established four trading teams globally to enhance its market reach and capitalize on growing opportunities in agri-commodities [20]. Market Context - The global agricultural export market was valued at $1.9 trillion in 2022, indicating substantial growth potential for Sadot Group's operations [6]. - The company is tapping into a rapidly growing $1.9 trillion marketplace focused on core farming [27]. Sustainability Focus - Sadot Group's mission focuses on ensuring a sustainable global food supply chain, addressing food security challenges amid a projected population growth to 9.7 billion by 2050 [8]. - The company is focusing on sustainability solutions and has initiated involvement with Carbon Credits to unlock value for shareholders [26].

Financial Performance - Commodity sales for the three months ended June 30, 2024, were $173.3 million, an increase from $157.6 million in the same period of 2023, representing a growth of 9.9%[173] - Gross profit for the three months ended June 30, 2024, was $2.5 million, down from $3.1 million in the same period of 2023, reflecting a decrease of 18.4%[173] - Adjusted EBITDA for the three months ended June 30, 2024, was $60, a significant decline from $1.3 million in the same period of 2023[173] - The company reported a loss from operations of $2.0 million for the three months ended June 30, 2024, compared to a loss of $360,000 in the same period of 2023[173] - Net income for the three months ended June 30, 2024, was $2.3 million, a significant increase from $190,000 in the same period of 2023, representing a growth of 1119.5%[186] - Gross profit for the six months ended June 30, 2024, was $2.2 million, a decline of 72.0% compared to $7.7 million in 2023[203] - Net income for the six months ended June 30, 2024, was $2.0 million, a significant turnaround from a net loss of $0.9 million in the same period of 2023[203] Revenue Sources - Sadot Agri-Foods accounted for 99.0% of total revenues for the three months ended June 30, 2024, compared to 98.3% in the same period of 2023[174] - Franchise royalties and fees increased to $741,000 for the three months ended June 30, 2024, compared to $238,000 in the same period of 2023, marking a growth of 211.3%[173] - Company restaurant sales, net of discounts, decreased to $992,000, down 60.1% from $2.5 million in the prior year, primarily due to the conversion of corporate locations to franchises[190] - Franchise royalties and fees increased to $1.0 million for the six months ended June 30, 2024, up $0.5 million or 91.0% from $0.5 million in 2023[210] Expenses and Costs - Stock-based expenses for the three months ended June 30, 2024, were $1.9 million, up from $1.2 million in the same period of 2023, indicating a rise of 58.3%[177] - Cost of goods sold increased to $172.5 million, up by $15.3 million or 9.7% from $157.2 million in the prior year, correlating with the rise in sales[192] - Sales, general and administrative expenses rose to $2.4 million in Q2 2024, up 36.2% from $1.8 million in Q2 2023, driven by increased consulting fees related to Latin America and Brazil market entry[197] - Stock-based expenses rose to $1.9 million, an increase of 63.5% from $1.2 million in the previous year, reflecting higher compensation costs[186] - Total other income for the six months ended June 30, 2024, was $7.5 million, an increase of $6.4 million or 584.7% compared to $1.1 million in 2023, driven by gains on fair value remeasurement and trading securities[218] Asset and Liquidity Management - Total assets as of June 30, 2024, amounted to $165.8 million, reflecting an increase from $72.3 million in 2023[203] - Total current assets increased to $153.7 million as of June 30, 2024, up from $112.9 million at December 31, 2023, primarily due to an increase in other current assets and cash[223][224] - Working capital improved to $16.1 million as of June 30, 2024, an increase of $7.9 million from $8.3 million at December 31, 2023[224] - The current ratio increased to 1.12 as of June 30, 2024, compared to 1.08 at December 31, 2023, reflecting better liquidity management[224] - Net cash provided by operating activities was $11.0 million for the six months ended June 30, 2024, compared to a use of $4.2 million in the same period of 2023[227] Strategic Initiatives - The company has initiated a transformation from a U.S.-centric restaurant business to a global Agri-foods supply chain organization since late 2022[168] - The company aims to diversify into a sustainable global agri-foods company through its subsidiaries, focusing on farming and commodity trading[169] Accounting Standards - The Company early adopted ASU 2020-06 on January 1, 2023, with no material impact noted[233] - The Company adopted ASU 2021-04 on January 1, 2022, also noting no material impact[234] - The Company is currently evaluating the impact of ASU 2023-07 on its consolidated financial statements, effective for fiscal years beginning after December 15, 2023[235] Seasonal Trends - The farming industry experiences seasonal fluctuations, with lower sales and net income during non-harvest seasons and higher during harvest seasons[236] Off-Balance Sheet Arrangements - The Company has no off-balance sheet arrangements that materially affect its financial condition or results of operations[237]

Financial Data and Key Metrics Changes - The company reported Q1 2024 revenues of $108 million, resulting in a net loss of approximately $265,000, a significant improvement compared to a net loss of approximately $1.1 million for Q1 2023 [51][58]. - EBITDA improved to a gain of $458,000, marking a positive shift from a $433,000 EBITDA loss in the first quarter of 2023 [45][58]. - Total assets decreased by $27.6 million from December 31, 2023, primarily due to the timing of payments on accounts receivable and corresponding accounts payable related to trade [62]. Business Line Data and Key Metrics Changes - Sadot Agri-Foods contributed $106.5 million in revenue in Q1 2024, completing 24 transactions across 14 different countries [59]. - Sadot Food Services operations generated $1.4 million in revenue for Q1 2024, down from $2.6 million in Q1 2023, mainly due to the conversion of certain corporate-owned locations to franchise locations [85]. Market Data and Key Metrics Changes - The company faced challenges due to a significant decrease in demand from China, which impacted overall revenue and commodity prices [77][94]. - April 2024 revenue showed improvement at $56 million, indicating a rebound from previous months [69][78]. Company Strategy and Development Direction - The company is focusing on expanding into additional trading markets and types of commodities, with recent formations of global trading entities in Brazil and Latin America [4][79]. - The divestiture of the restaurant services division is seen as a crucial step to bring in fresh capital and reduce corporate overhead, allowing the company to concentrate on its agribusiness model [71][91]. Management's Comments on Operating Environment and Future Outlook - Management noted that the challenges faced in Q1 were largely due to external factors, including China's absence in the wheat market and overall softness in agri-commodity prices [77][96]. - There is optimism regarding a return to historical trading patterns, with expectations of increased revenues in Q2 and Q3 as market conditions improve [69][95]. Other Important Information - The company has secured approximately $27 million in trade financing, which is expected to enhance its ability to pursue more agri-commodity trading opportunities [56][57]. - The company is actively exploring strategic partnerships and potential acquisitions to drive growth and investor confidence [6]. Q&A Session Summary Question: Why did revenue decrease by roughly 50% in Q1 2024 versus Q1 of 2023? - The decrease was attributed to flooding in China that reduced domestic production, leading to a shift in demand for high-quality grains from other countries [68]. Question: How will the restaurant sale impact the Company? - The divestiture is expected to bring in fresh capital and reduce corporate overhead, aiding in the focus on the agribusiness model [71]. Question: What are the terms of the sale of Pokemoto and SuperFit Foods? - The terms are currently under negotiation and subject to due diligence [53]. Question: Why is the Company doing farming, and what is the strategic advantage? - Farming provides a stable supply of raw materials, reduces dependency on external suppliers, and mitigates supply chain risks, aligning with the company's basket trading approach [9][99].

Exhibit 99.1 Fort Worth, Texas, May 15, 2024 (ACCESSWIRE) —– Sadot Group Inc. (Nasdaq: SDOT) (the "Sadot Group" or the "Company"), an emerging player in the global food supply chain sector, today announced its first quarter results ending March 31, 2024. Chief Executive Officer Michael Roper and Chief Financial Officer Jennifer Black will host a conference call at 4:30 PM Eastern Daylight Time on Thursday, May 16, 2024, to discuss the results. All interested parties are invited to join this call. The Q1 202 ...

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 quarterly period ended March 31, 2024 OR Securities registered pursuant to Section 12(b) of the Act: | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | | --- | --- | --- | | Common Stock, $0.0001 par value | SDOT | The NASDAQ Capital Market | ☐ TRANSITION REPORT PURSUANT TO SE ...

Exhibit 99.1 Sadot Group Inc. Reports Full Year 2023 Results 2023 Revenue Rises to $726.7 million from $161.7 million in 2022 Adjusted EBITDA Rises to $0.1 million vs. $2.0 million loss Year over Year Engages Third Party to Explore the Potential Divestment of its Restaurant and Food Prep Assets Fort Worth, Texas, March 20, 2024 (ACCESSWIRE) – Sadot Group Inc. (Nasdaq: SDOT) (the "Sadot Group" or the "Company"), an emerging player in the global food supply chain sector, today announced that it disclosed its ...