Slide 1: The Industry Leader in CBD
The Industry Leader in CBD February 2024
Slide 2: Safe Harbor Statements & Disclaimers
Safe Harbor Statements & Disclaimers This presentation contains certain forward-looking statements that are based upon current expectations and involve certain risks and uncertainties within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements can
Slide 3: Spotlight on cbdMD
Spotlight on cbdMD LEADING THE WAY We were not first to market with CBD, but we’re proud to be a leader in doing it right! Founded: 2015 ● Award winning, clinically supported products. Acquired cbdMD brand: December 2018 ● Differentiated science and therapeutics program. Ticker: YCBD, YCBDpA (NYSE A
Slide 4: Our Mission
Our Mission Our mission is simple: enhance people’s overall quality of life through innovative, natural products developed and manufactured under industry- leading standards. But we don't stop there. As pioneers in the hemp-derived CBD space, we've taken our experience and expertise to new levels, l
Slide 5: Why cbdMD?
Why cbdMD? eStrongest CBD. Bg ~~ No-Risk Guarantee eIndependently | Fes tase: © USA Grown RegG |) Ga uniitce! cbdMD is committed to challenging the way we think about health and wellness, while building a connected community that's rooted in one universal goal — to just feel good. Join the growing m
Slide 6: Disciplined Operation Under Current Management
Disciplined Operation Under Current Management Leadership driving the turnaround with consistent earnings improvement. YCBD Key Operating Metrics Simplifying our business Op Profit & Adj EBITDA ($M) • Significant SKU rationalization • Exited underutilized manufacturing production • Outsourced produc
Slide 7: Defining the Industry Standard
Defining the Industry Standard AT cbdMD, WE PRIDE OURSELVES ON TWO THINGS: QUALITY AND INNOVATION. Our goal is to produce the industry’s highest-quality CBD while using state-of-the-art growing and extraction techniques. LAB TESTED NON-THC* BROAD SPECTRUM FULL SPECTRUM Products go through extensive
Slide 8: For the Good of Everyone.
For the Good of Everyone. We are an industry leader and innovator in producing best-in-class, compliant, hemp-derived products. All Products comply with 2018 Farm Bill.
Slide 9: Award Winning with Extensive Media Reach
Award Winning with Extensive Media Reach PERENNIAL AWARD WINNING PRODUCTS! 2020, 2021, 2022 Product of the Year CBD Ingestible Category “ My favourite is the 3000mg 2023 Pet Innovation Award Freeze spray; it’s great for Paw CBD soothing aches and pains.” - Kate Moss 2023 Best in Biz Awards CBD PM So
Slide 10: Brand Power
Brand Power Second Half Calendar Year 2023 Second Half Calendar Year 2023 BRAND SHARE BRAND SHARE CAPSULES GUMMIES Market share opportunity Among the 2000+ plus brands of CBD in the US Market cbdMD is well positioned in the gummies and tinctures categories with brand share in rankings within the top
Slide 11: cbdMD History Timeline & Milestones
cbdMD History Timeline & Milestones
Slide 12: Inside the Bottle Unmatched Science
Inside the Bottle Unmatched Science Defining the industry standard for product development and regulation in Washington. What you see on the label is in the bottle. You can trust in safety. Certifications & Our Partners ● Provided written testimony to Congressional Oversight Hearing July 2023 ● Resp
Slide 13: Clinically Studied
Clinically Studied Proven Product - Tangible Results! Supports qualified marketing claims for efficacy benefits Guides product development - Path to structure function claims CBD Human Clinical Study2 Paw CBD Clinical Study2 UNIVERSITY OF SOUTH CAROLINA COLORADO STATE UNIVERSITY April 2021 - October
Slide 14: Leading On and Off the Field: NSF Sport
Leading On and Off the Field: NSF Sport What is NSF for Sport Product? ● Ensures that you can incorporate CBD into your health and wellness routine without worrying about failing a drug test for THC ● Tested for 280 known banned substances that are on the World Anti-Doping Agency List of Prohibited
Slide 15: Omni-channel Access
Omni-channel Access We want to make it easy for consumers to find and purchase cbdMD or Paw CBD products. Our strength has historically been online; we continue to bolster our channel expertise and working with the right channel partners. DIRECT TO CONSUMER Continue to dominate online market share w
Slide 16: The Best is Yet to Come.
The Best is Yet to Come. We’re building scalable growth to bring the best product solutions to market - a massive addressable market By 2028, CBD sales are expected to double to $10 billion1, driven by: ● Ingestibles like gummies, capsules and 2028 drinks (40% CAGR)1 US CBD Market Size Forecast1 ● L
Slide 17: Functional Mushroom Market
Functional Mushroom Market ‘Shroom for success: $65.83 billion ● Mushroom supplements saw a 60.2% growth surge in 2020 $31.71 billion ● The market will more than quadruple by 2025 from 2017 CAGR ● Strongest growth projected in brain 11.2% health while opening a runway for other health conditions 203
Slide 18: Key Growth Initiatives
Key Growth Initiatives ● Scaling ecommerce through smart, profitable marketing investments. ● Leveraging the right partnerships and advocates to scale traffic and brand awareness. ● Enter new categories to expand customer base and add wallet share. ● Add sales resources with specific channel experti
Slide 19: Strong Leadership
Strong Leadership Ronan Kennedy Dr. Sibyl Swift Shannon Charles Lance Blundell Interim CEO (2023) CSO & VP Regulatory Affairs (2020) CMO (2023) General Counsel (2018) CFO (2020) Board of Directors Scott Stephen Bakari Sellers Billy Raines Dr. Sibyl Swift Chairman Of The Board Board Member Board Memb
Slide 20: Operational & Ownership Metrics
Operational & Ownership Metrics LISTING & CAPITALIZATION INFORMATION Common Stock YCBD 8.0% Series Cumulative Convertible Preferred Stock YCBDpA Exchange NYSE American Common Shares Outstanding2,3 3,045,092 Preferred Shares Outstanding2 5,000,000 Direct-To-Consumer Net Sales by Wholesale Net Sales b
Slide 21: March 29, 2024 Shareholder Meeting – 1pm EST
March 29, 2024 Shareholder Meeting – 1pm EST Proposals Preferred Conversion The Company believes the automatic conversion of the Series 1. Election of directors A Preferred into common stock, eliminating the Series A Preferred dividend, Change of Control, conversion rights and 2. Appointment of Cher
Slide 22: Proforma Equity Capitalization
Proforma Equity Capitalization Proposed conversion: How to vote: ● Return proxy cards Proposed Proforma % Class Shares SP* Equit y Value Conversion Capit alizat ion Ownership ● Contact Issuer Direct 866-752-8683 Common 3,0 45,0 92 $ 0 .70 $ 2,134,60 9 - 3,0 45,0 92 9.2% Series A Pref 5,0 0 0 ,0 0 0
Slide 23: Financial Information
Financial Information Reconciliation of Non-GAAP Information 1 Represents non-cash expense related to options, warrants, restricted stock expenses that have been amortized during the periods. 2 Represents non-cash expense related to options, warrants, restricted stock expenses that have been amortiz
Slide 24: Thank You.
Thank You. For More Information: ir@cbdmd.com