Arcadia Biosciences — Third Quarter 2026 Earnings Summary

Financial Performance:

• Total revenues for the three months ended September 30, 2026, were $1.619 million, a 24% increase year-over-year from $1.302 million in the same period in 2025.
• Total revenues for the nine months ended September 30, 2026, were $4.162 million, a 5% increase year-over-year from $3.957 million in the same period in 2025.
• Total operating expenses for the three months ended September 30, 2026, were $2.458 million, essentially flat compared to $2.454 million in 2025.
• Total operating expenses for the nine months ended September 30, 2026, were $6.276 million, a 23% increase year-over-year from $5.082 million in 2025.
• Loss from continuing operations for the three months ended September 30, 2026, was $839,000, an improvement of 27% compared to a loss of $1.152 million in 2025.
• Loss from continuing operations for the nine months ended September 30, 2026, was $2.114 million, an unfavorable change of 88% compared to a loss of $1.125 million in 2025.
• Net income attributable to common stockholders for the three months ended September 30, 2026, was $1.755 million ($0.29 per share), compared to $856,000 ($0.63 per share) in 2025.
• Net loss attributable to common stockholders for the nine months ended September 30, 2026, was $8.896 million ($2.39 per share), compared to a net loss of $1.003 million ($0.73 per share) in 2025.
• Cost of revenues decreased by $124,000 in the third quarter and $117,000 in the first nine months of 2026 compared to 2025, driven by a $175,000 tariff refund received in July 2026.
• Selling, general, and administrative (SG&A) expenses increased by $128,000 (8%) in the third quarter of 2026 compared to 2025 due to the timing of the 2026 annual meeting.
• SG&A expenses decreased by $1.4 million in the first nine months of 2026 compared to 2025, driven by the absence of M&A expenses and lower employee costs.
• Other operating income decreased by $2.7 million in the first nine months of 2026 compared to 2025, primarily due to a $2.8 million gain recognized in 2025 related to patent rights agreements with Bioceres Crop Solutions Corp. and Bioseed Research India.
• Q3 2026 net income improvement was driven by a $2.6 million gain related to the change in the estimated fair value of common stock warrant and option liabilities.
• Nine-month 2026 net loss included a $4.3 million unrealized loss on Above Food stock, a $2.9 million loss on a January 2026 inducement offer financing transaction, a $5.4 million valuation loss on a June 2026 PIPE transaction, and $1.1 million in offering costs, partially offset by a $6.8 million gain on warrant and option liabilities.

Business Segments and Product Lines:

• Zola brand revenues grew 24% year-over-year in the third quarter, marking the highest quarterly sales ever reported for the brand.
• Summer programs drove significant revenue growth and secured new distribution opportunities in 2027, including new regions such as Texas.
• A new 1-liter resealable carton Zola Espresso formulation containing just over 100 milligrams of caffeine began shipping in November 2026.
• Pre-launch commitments for the new espresso formulation were received from several leading customers.
• Zola Original, Original with Pulp, and Espresso varieties are scheduled to launch in 10.5-ounce slim cans in the first half of 2027.
• Revenue growth in the first nine months of 2026 was driven by strong volumes in the third quarter, which offset slower growth in the first half caused by inventory delays.

Other Key Points:

• The company noted a $2.8 million gain in 2025 related to agreements to transfer rights for reduced gluten and oxidative stability patents and to terminate a license agreement with Bioseed Research India.
• The 2026 annual meeting of stockholders was held in the third quarter, whereas the 2025 meeting was held in the fourth quarter.
• The company requires additional funding to continue operations and planned activities, with no assurance that funding will be available on reasonable terms.
• The company may seek additional funds through equity or debt financings, transactions involving other assets, or strategic alternatives, which could result in material dilution to stockholders.
• The company has sufficient funding to continue operations and planned activities as a condition for forward-looking statements, though this may not be the case.