Barfresh(US:BRFH) Globenewswireยท2025-08-13 20:05Core Insights - Barfresh Food Group Inc. reported an 11% year-over-year revenue increase to $1.6 million for the second quarter of 2025, driven by expanded manufacturing capacity [4][3] - The company achieved a gross margin of 31.1% for the second quarter of 2025, down from 34.8% in the same period of 2024, attributed to product mix and new manufacturer trial costs [5][4] - Barfresh expects revenue and gross margin improvements in the second half of 2025, following the completion of equipment installation by a new co-manufacturer [2][13] Financial Performance - Revenue for the second quarter of 2025 was $1.625 million, compared to $1.464 million in the second quarter of 2024 [10] - The net loss for the second quarter of 2025 was $880,000, an improvement from a loss of $1.0 million in the second quarter of 2024 [6][10] - Adjusted EBITDA for the second quarter of 2025 was a loss of approximately $600,000, compared to a loss of $682,000 in the same quarter of 2024 [7][10] Operational Developments - The company has completed equipment installation with its new co-manufacturer, which is expected to resolve previous operational inefficiencies and logistics costs [3][2] - Barfresh is focused on building consistent production capabilities to better serve its customers, particularly in the education channel [3][2] - The company is revising its fiscal year 2025 revenue guidance to a range of $12.5 million to $14.0 million, down from a previous range of $14.5 million to $16.6 million [14][13] Future Outlook - Management remains confident in achieving double-digit year-over-year revenue growth for the full year, despite adjusting expectations due to operational challenges [3][13] - Investments in manufacturing capacity and operational improvements are aimed at creating a scalable platform for future growth [3][2] - The company anticipates being better positioned to capitalize on market opportunities as production capacity stabilizes [3][13]