Company Announcements

• TRUBAR generated record Net Revenue of $17.7 million from continuing operations for the three months ended June 30, 2025, representing an increase of 176% compared to Net Revenue of $6.4 million during the three months ended June 30, 2024.
• During Q2 2025, the Company continued to advance its strategy to increase household penetration through retail expansion, extensive trial and awareness programs supporting existing and new distribution and accelerated direct-to-consumer sales.
• TRUBAR reaffirms full-year 2025 guidance for Net Revenue in the range of $65 to $70 million

VANCOUVER, BC , Aug. 25, 2025 /CNW/ - TRUBAR Inc. ("TRUBAR" or the "Company") (TSXV: TRBR) (OTCQX: TRBRF), a better-for-you snacking company focused on delivering high-quality, plant-based protein products with exceptional taste and made with clean, recognizable ingredients, is pleased to announce its interim financial results for the three months ended June 30, 2025. All amounts are expressed in United States dollars unless otherwise noted. Certain metrics, including those expressed on an adjusted basis, such as "Gross Revenue," "Gross Profit," "Gross Margin Percentage," "EBITDA" and "Adjusted EBITDA", are non-International Financial Reporting Standards ("IFRS") measures, see "Non-IFRS Measures" below.

Selected financial and operating information are outlined below and should be read with the Company's interim consolidated financial statements and related management's discussion and analysis ("MD&A") for the three months ended June 30, 2025, which are available under the Company's profile on SEDAR+ at www.sedarplus.com. 

MANAGEMENT COMMENTARY

Erica Groussman, Chief Executive Officer, commented, "Our second quarter results demonstrate the strength of the TRUBAR™ brand as we continue to execute our strategy to expand distribution, drive innovation, increase trial, build brand awareness, and ultimately increase household penetration. Net revenue increased by 176% year over year driven by ongoing retail expansion and the execution of in-store consumer trial and brand awareness building efforts.  Our continued retail expansion included launches across several regional and national mass, club, and grocery chains in Q2 keeping us on track to reach our goal of 25,000 retail locations by the end of 2025. As the TRUBAR™ brand continues to increase household penetration, the benefit of these efforts is reflected in continued direct-to-consumer growth, with DTC net revenue up +281% in Q2 2025 compared to Q2 2024. We are also advancing our innovation pipeline with the recent launch of TRUBAR™ Kids, a healthy and delicious snack that delivers one of the highest fiber and protein content among leading kids' bars. The highly anticipated launch of TRUBAR™ Kids is generating solid listing momentum in both physical retail and e-commerce channels.  With our continued growth and momentum in the second quarter, we are well positioned to further strengthen our leadership in the better-for-you snacking category going forward."

Kingsley Ward, Executive Chairman, added, "Our expanded retail footprint, continued strength in the e-commerce channel, increase in brand awareness and trial, and a solid innovation pipeline is creating a powerful platform for long-term growth. The Company's capital structure and liquidity position provide flexibility to support ongoing expansion, and we remain confident in our ability to deliver sustained growth and long-term shareholder value."

2025 ANNUAL GUIDANCE

TRUBAR is pleased to reaffirm full-year 2025 guidance for Net Revenue in the range of $65 to $70 million. 

FINANCIAL HIGHLIGHTS FOR THE THREE-MONTH PERIOD JUNE 30, 2025

Financial highlights for the Company's continuing operations during the three months ended June 30, 2025, included:

• Net Revenue was $17.68 million for the three months ended June 30, 2025, representing an increase of 176% compared to Net Revenue of $6.39 million during the three months ended June 30, 2024, driven by a 328% increase in retail net revenue and a 281% increase in DTC net revenue. 
• Gross Revenue was $24.88 million for the three months ended June 30, 2025, an increase of 298% compared to $6.24 million for the comparable period in 2024.
• Gross Profit was $3.95 million for the three months ended June 30, 2025, an increase of 35% as compared to Gross Profit of $2.91 million for the three months ended June 30, 2024. Gross Margin Percentage¹ was 22% for the three months ended June 30, 2025, compared to 46% for the comparable period in 2024. The decline in Gross Margin Percentage was due to investments we have made at retail to drive consumer trial and awareness. 
• Operating costs were $6.77 million for the three months ended June 30, 2025, an increase of $3.16 million (or 87%), compared to $3.61 million for the three months ended June 30, 2024.  This increase reflects the Company's strategic investments and operational growth initiatives.
• The Company generated an Adjusted EBITDA loss of $1.85 million from continuing operations for the three months period ending June 30, 2025, compared to $0.27 million in the comparable period in 2024. The decrease was primarily due to brand-building investments at retail to drive consumer trial and awareness, as reflected in the change in gross margin.  
• The Company recorded a net loss from continuing operations of $1.96 million during the three months ended June 30, 2025, compared to a net loss of $7.07 million for the three months ended June 30, 2025.  

SEGMENT REVENUE

• Wholesale club net revenue was $11.24 million in Q2 2025, an increase of 135% as compared to $4.78 million in Q2 2024.  
• Retail net revenue was $2.62 million in Q2 2025, an increase of 328% as compared to $0.61 million in Q2 2024.  
• Direct-to-consumer (DTC) net revenue was $3.81 million in Q2 2025, an increase of 281% compared to $1.0 million in Q2 2024.  DTC revenue includes e-commerce revenue generated from Amazon and Shopify.

RECENT BUSINESS HIGHLIGHTS

• Target Expansion: On April 14, 2025, the Company announced the nationwide launch of TRUBAR^TM in select Target locations, marking further progress in expanding the brand's North American distribution footprint with key national retail partners.
• Expansion into Major Regional Grocery Chains: On July 8, 2025, the Company announced the addition of over 500 stores across key grocery chains in the U.S. Midwest, Pacific Northwest, and Colorado. The new retail partnerships include Meijer, Fred Meyer, King Soopers, and Fresh Thyme Market, significantly extending TRUBAR™'s geographic reach. 
• Launch of TRUBAR™ Kids Line: On August 5, 2025, the Company introduced its TRUBAR™ Kids snack bar line at Sprouts Farmers Market, marking the brand's entry into the kids snack bar category. The allergy-friendly bars feature one of the highest fiber and protein content among leading kids' bars and are now available across 400 Sprouts locations in 24 states, with plans to expand to Amazon, Walmart.com, Hy-Vee, and trubar.com later in mid to late September.

CORPORATE DEVELOPMENTS

• Name Change to TRUBAR Inc.: On May 21, 2025, the Company officially changed its name from Simply Better Brands Corp. to TRUBAR Inc., aligning its corporate identity with its flagship brand. As part of the transition, Kingsley Ward was appointed Executive Chairman to lead capital markets strategy, while Erica Groussman, co-founder of TRUBAR™, assumed the role of Chief Executive Officer to lead brand operations and growth.
• Sale of NO BS Brand:   On July 2, 2025 – the completed the sale of its personal care product line, NO BS Life, LLC, to an arm's length third party buyer effective June 30, 2025. This strategic move sharpens the Company's focus on its core business and reinforces its commitment to scaling the flagship TRUBAR™ brand.

UPDATE ON LIQUIDITY AND CAPITAL RESOURCES

The Company's primary liquidity and capital requirements are for inventory and general corporate working capital purposes. The Company had a cash balance of $1.19 million as of June 30, 2025, which will provide capital to support the planned growth of the business and for general corporate working capital purposes. The Company's working capital increased to $1.34 million as of June 30, 2025, representing an improvement of $3.66 million from a working capital deficiency of $2.32 million as of December 31, 2024.

On April 22, 2025, the Company entered into a credit facility agreement with a related party, to provide up to $10 million to support the TRUBAR sales expansion in 2025.   

The Company's ability to fund operating expenses will depend on its future operating performance which will be affected by general economic, financial, regulatory, and other factors including factors beyond the Company's control (See "Risk and Uncertainties" in the MD&A). 

Management continually assesses liquidity in terms of the ability to generate sufficient cash flow to fund the business. Net cash flow is affected by the following items: (i) operating activities, including the level of accounts receivable, other receivable, accounts payable, accrued liabilities and unearned revenue and deposits; (ii) investing activities; and (iii) financing activities.

WEBCAST and CONFERENCE CALL DETAILS:

TRUBAR will be holding a conference call and simultaneous webcast to discuss its financial results on Tuesday, August 26, 2025, at 10:00 am ET (7:00 am PT). The call will be hosted by Kingsley Ward, Executive Chairman, and Erica Groussman, Chief Executive Officer & President.  Please dial-in 10 minutes prior to the start of the call.

Date: Tuesday, August 26, 2025
Time: 10:00 am EST (7:00 am PST)

For attendees who wish to join by webcast, the event can be accessed at:
https://bit.ly/TRBR-Q2-25-Investor-Webinar  

Dial-in by phone
+1 778 907 2071 (Vancouver Local)
+1 647 558 0588 (Toronto Local)
Click here to find local numbers 
Meeting ID: 826 2536 6446

Footnotes:

1.    Non-IFRS financial measures - Gross Profit, Gross Margin Percentage, Gross Revenue

In addition to results reported in accordance with IFRS, the Company uses certain non-IFRS financial measures as supplemental indicators of its financial and operating performance. These non-IFRS financial measures include Gross Revenue, Gross Profit, and Gross Margin Percentage. The Company believes these supplementary financial measures reflect the Company's ongoing business in a manner that allows for meaningful period-to-period comparisons and analysis of trends in its business.  

Gross Profit and Gross Margin Percentage

The Company defines Gross Profit as revenue less cost of sales and Gross Margin Percentage as Gross Profit as a percentage of revenue. Gross Profit and Gross Margin Percentage should not be construed as an alternative for revenue or net income (loss) determined in accordance with IFRS. The Company believes that Gross Profit and Gross Margin Percentage are meaningful metrics that are often used by readers to measure the Company's efficiency of selling its products and services.

Gross Revenue

The Company defines Gross Revenue as Net Revenue adjusted for vendor discounts. The Company, through its subsidiary, Tru Brands, engaged in a marketing program with one of its vendors. Discounts and specific promotional expenditures related to this program were recognized as a reduction of revenue in accordance with IFRS 15, 'Revenue from Contracts with Customers'.

The following table presents the Gross revenue and Net revenue for the three months ended June 30, 2025, and 2024, and a reconciliation of same to Gross Profit (loss).

2.    Non-IFRS Measures - EBITDA and Adjusted EBITDA 

EBITDA and Adjusted EBITDA are non-IFRS measures used by management that are not defined by IFRS. EBITDA and Adjusted EBITDA do not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similar measures presented by other issuers. Management believes that EBITDA and Adjusted EBITDA provide meaningful and useful financial information as these measures demonstrate the operating performance of the business excluding non-cash charges.

Readers are cautioned that EBITDA and Adjusted EBITDA should not be construed as an alternative to net income as determined under IFRS; nor as an indicator of financial performance as determined by IFRS; nor a calculation of cash flow from operating activities as determined under IFRS; nor as a measure of liquidity and cash flow under IFRS. The Company's method of calculating EBITDA and Adjusted EBITDA may differ from methods used by other companies and, accordingly, the Company's EBITDA and Adjusted EBITDA may not be comparable to similar measures used by any other company. Except as otherwise indicated, EBITDA and Adjusted EBITDA are calculated and disclosed by SBBC on a consistent basis from period to period.  Specific adjusting items may only be relevant in certain periods.  The most directly comparable measure to EBITDA and Adjusted EBITDA calculated in accordance with IFRS is net loss.

"EBITDA" is calculated as earnings before interest, taxes, depreciation, depletion, and amortization. "Adjusted EBITDA" is calculated as EBITDA adjusted for non-cash, extraordinary, non-recurring, and other items unrelated to the Company's core operating activities.

See also Earnings before Interest, Taxes, Depreciation, and Amortization ("EBITDA") and Adjusted EBITDA (Non-GAAP Measures) in the Company's management discussion and analysis for the three months ended June 30, 2025, available on SEDAR+ at www.sedarplus.com.

The following table presents the EBITDA and Adjusted EBITDA for the three months ended June 30, 2025, and 2024, and a reconciliation of same to net income (loss).

About TRUBAR Inc.

TRUBAR Inc. is a better-for-you snacking company focused on delivering high-quality, plant-based protein products with exceptional taste and made with clean, recognizable ingredients. TRUBAR™, the Company's signature product line, is distributed through national retailers, club stores, and e-commerce platforms across North America. The Company is focused on expanding TRUBAR™'s presence throughout North America and select international markets. For more information, visit: https://www.trubarinc.com/ 

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information

Certain statements contained in this news release constitute "forward-looking information" and "forward looking statements" as such terms are used in applicable Canadian securities laws. Forward-looking statements and information are based on plans, expectations and estimates of management at the date the information is provided and are subject to certain factors and assumptions, including, among others, that the Company's financial condition and development plans do not change as a result of unforeseen events, the tariff and regulatory climate in which the Company operates, and the Company's ability to execute on its business plans. Specifically, this news release contains forward-looking statements relating to, but not limited to: management's current expectations regarding the ability of the Company to drive growth and deliver value to shareholders in fiscal 2025, management's expectations regarding the strategic focus of the Company in 2025, expansion plans for TRU Brands products and the success of the Company's marketing efforts. 

Forward-looking statements and information are subject to a variety of risks and uncertainties and other factors that could cause plans, estimates and actual results to vary materially from those projected in such forward-looking statements and information. Factors that could cause the forward-looking statements and information in this news release to change or to be inaccurate include, but are not limited to, the risk that any of the assumptions referred to above prove not to be valid or reliable, that occurrences such as those referred to above are realized and result in delays, or cessation in planned work, that the Company's financial condition and development plans change, ability to obtain necessary regulatory approvals for proposed transactions, as well as the other risks and uncertainties applicable to the plant-based food or broader wellness industries and to the Company, and as set forth in the Company's management's discussion and analysis available under the Company's SEDAR+ profile at www.sedarplus.com.

The above summary of assumptions and risks related to forward-looking statements in this news release has been provided in order to provide shareholders and potential investors with a more complete perspective on the Company's current and future operations and such information may not be appropriate for other purposes. There is no representation by the Company that actual results achieved will be the same in whole or in part as those referenced in the forward-looking statements and the Company does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable securities law. 

Financial Outlook

This press release contains future-oriented financial information and financial outlook information (collectively, "FOFI") about the financial results of the Company, including, without limitation, the Company's expected revenue growth for the fiscal year ending December 31, 2025, all of which are subject to the same assumptions, risk factors, limitations, and qualifications as set out under the heading "Forward-Looking Information". The actual financial results of the Company may vary from the amounts set out herein and such variation may be material. The Company and its management believe that the financial outlook has been prepared on a reasonable basis, reflecting management's best estimates and judgments and the FOFI contained in this press release was approved by management as of the date hereof. However, because this information is subjective and subject to numerous risks, it should not be relied on as necessarily indicative of future results. Except as required by applicable securities laws, the Company undertakes no obligation to update such FOFI. FOFI contained in this press release was made as of the date hereof and was provided for the purpose of providing further information about the Company's anticipated future business operations on a quarterly and annual basis. The purpose of the FOFI is to provide prospective investors with information pertaining to the Company's longer-term objectives. Readers are cautioned that the FOFI contained in this press release should not be used for purposes other than for which it is disclosed herein.

SOURCE Trubar Inc.