Financial Data and Key Metrics Changes - Total revenues increased 39% year-over-year to $9.1 million in Q3 2025, compared to $6.5 million in Q3 2024 [3][13] - Gross profit increased 50% to $5.6 million, representing 61% of total revenue, up from 57% in the same year-ago quarter [13][14] - Adjusted EBITDA loss narrowed to $0.4 million in Q3 2025 from a loss of $1.7 million in Q3 2024 [14] Business Line Data and Key Metrics Changes - Product revenue grew 30% to $8.4 million, while CDMO revenue surged 722% to $0.7 million [13][14] - Core capsules accounted for 88% of product revenues, with new products contributing approximately 30% of growth [4][5] Market Data and Key Metrics Changes - The US VINIA active user base exceeded 75,000 customers, contributing to revenue growth [3] - The launch of VINIA BloodFlow Hydration targets the $17 billion US electrolyte hydration market [9] Company Strategy and Development Direction - The company operates two business verticals: direct-to-consumer products and CDMO services, aiming to drive revenue from both branded products and B2B partnerships [4] - The recent capital raise of $19.9 million will fund the next growth phase, including tripling manufacturing capacity and expanding CDMO services [11][12] - The company aims to achieve adjusted EBITDA break-even by early 2026, with a focus on revenue growth and margin improvement [12][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving positive adjusted EBITDA soon, emphasizing the importance of scaling operations and maintaining cost discipline [15][17] - The company is focused on executing the rollout of new products and expanding its Health Pros Affiliate Program to enhance customer acquisition [16][17] Other Important Information - The company secured a new CDMO partnership with SaffronTech to develop saffron-derived compounds, retaining a 25% ownership of the resulting product [5][6] - Gross profit margins improved due to increased manufacturing scale and improved yields [14] Q&A Session Summary Question: Expectations for the ramp-up of the new hydration product - Management indicated a staged launch with initial positive responses and expects a quarter-on-quarter ramp-up in sales, particularly after the broader launch on December 3 [19][22] Question: Update on CDMO opportunities and SaffronTech agreement - Management detailed the collaboration with SaffronTech, emphasizing a fast-tracked development process and the potential for a quick market entry [24][26] Question: Progress on existing CDMO contracts - Management provided updates on ongoing CDMO agreements, highlighting progress in the cosmetic fragrance space and the Tate & Lyle agreement [32][33] Question: Long-term outlook for CDMO business - Management projected that by 2027-2028, approximately 75% of revenue could come from the CDMO business, with margins significantly higher than the product business [47][49] Question: Early success with the HealthPros program - Management reported strong early engagement and conversion rates from HealthPros, with plans to onboard 300 professionals by year-end [41][43]

BioHarvest Sciences (NasdaqGM:BHST) Update Summary Company Overview - **Company**: BioHarvest Sciences Inc. - **Industry**: Biotechnology focusing on health and wellness through plant-based compounds Key Points and Arguments Business Strategy and Vision - The company's North Star is to discover, develop, manufacture, and democratize life-changing compounds from plants for health and wellness while preserving the planet [2][3] - BioHarvest operates two major business units: a direct-to-consumer health and wellness unit and a Contract Development and Manufacturing Organization (CDMO) services unit [3][4] Financial Performance - Since launching in the U.S. in May 2021, the direct-to-consumer unit has generated over $60 million in revenue from VINIA dietary supplements, with the last quarter reporting $8.5 million in revenue and a 60% gross profit margin [3][4] Technological Advancements - The company has developed the capability to produce plant exosomes, which are nanosized extracellular vesicles that enhance intercellular communication and have significant health benefits [6][7] - Plant exosomes can penetrate human cells effectively, offering antioxidant, anti-inflammatory, anti-aging, and antimicrobial properties [7][8] Competitive Advantage - BioHarvest's bioreactors allow for controlled, consistent, and scalable production of plant exosomes, overcoming limitations of traditional plant-derived exosome production [8][10] - The unique production process results in high-quality, homogeneous exosomes that are not available from other sources [12][13] Market Opportunities - The company aims to disrupt the $14 billion U.S. cosmetics industry and the $18 billion electrolyte beverage market with its innovative products [14][18] - The hydration category is particularly targeted, with a focus on improving blood flow and hydration through a new electrolyte drink powered by their proprietary formulation [21][22] HealthPros Affiliate System - BioHarvest is building a network of HealthPro affiliates, including health professionals and fitness experts, to promote its products and expand market reach [31][32] - The launch of the hydration product is planned for November 15, aligning with Black Friday promotions [30] Future Outlook - The company anticipates achieving adjusted EBITDA profitability by the fourth quarter of 2025 [36][84] - There are ongoing discussions with potential CDMO customers across various industries, including cosmetics and pharmaceuticals, to leverage the new exosome technology [50][52] Intellectual Property - BioHarvest has filed provisional patents to protect its innovative exosome production technology, ensuring a competitive edge in the market [64][66] Additional Important Information - The company emphasizes the importance of hydration for overall health, with 64% of global consumers recognizing its significance [19] - The hydration product will utilize naturally sourced electrolytes and is designed to meet the needs of various consumer segments, from athletes to seniors [27][29] This summary encapsulates the key insights from the BioHarvest Sciences update, highlighting the company's strategic direction, technological advancements, market opportunities, and future growth potential.