Laird Superfood, Inc. · AMEX:LSF
Laird Superfood — Q2 2024 Earnings Presentation
26 slides from Laird Superfood's earnings presentation, Aug 9, 2024
Slide 1: Q2 2024 Investors Presentation
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Slide 2: Forward-Looking Statements Disclaimer
Forward-Looking Statements Disclaimer Ccavionary “Sale Harbor Sllemen! Under he PrivaleSecuilesiigaon Relorm Act of 199S:This presentation and the accompanying ora pratantationcortin“Yorwardlecting" statements ‘hate besed on Lava Supertoud Ines (the “Company”. “Laid Superood’ or LSP )eurent expectat
Slide 3: Mission: fuel optimal daily performance with superfoods
NSA v v6’ sen WW Za To fuel optimal daily performance lS aS, and support the health and wellness (A journey of our consumers with G > great-tasting, innovative, highest- - @ quality superfoods. @~ = / ‘
Slide 4: Laird Superfood was founded by two athletes
Laird Superfood was founded by two athletes and built to be a nutrition powerhouse to fuel their activities and life Laird Hamilton Gabby Reece Big Wave Surfer and pioneer of action water sports The Gabby Reece Show podcast host + Innovator + Best-seling author + Author + Former professional volleyb
Slide 5: Laird Superfood Strategic Plan on a Page
Laird Superfood Strategic “Plan on a Page” 1 Grow our core business Expand distribution &. im 3 Innovate in Superfoods Improve LSF Supply Chain Sxpandexstinap ‘opacity and flexbili >erational costs ict quality nandising awareness and mize marketing efficiency Build critical capabilities and improve
Slide 6: LSF investment highlights
LSF investment highlights v¥|_ Plant-based, clean, functional ingredients, on-trend with consumer demand v¥| Large and growing addressable market across core categories v¥| Highly engaged founders with strong equity, reach and relevance ¥| Strong brand equity, net promoter score, and activesocial co
Slide 7: LSF executive team with extensive experience
LSF executive team with extensive experience CEO | President + President and CEO since donvary 2022 + EVP/GM at Sover Brande + SVP oftife ime Fitness + SVP/GM ot WhiteWave Foous + Boston Consulting Group cro + Chiet Financial Officer ince July 2022 + CFO attite Secrets + Se, Ditector of nance at Ban
Slide 8: The Laird Superfood portfolio spans large, attractive categories
The Laird Superfood portfolio spans large, attractive categories tain vag Rd | 6 : Plant-Based Coffee Coffee Instant Lattes ProteinBars Functional Beverages ‘Creamers Total “Marte 06am 52 ton oddiaw osama | 2b (TAM) PAN 2 Pee
Slide 9: Laird Superfood is well positioned to lead functional food growth
Laird Superfood is well positioned to lead functional food growth to aperson’s health and well-being. SUPERFOOD:A food that is rich in compounds (such as antioxidants, fiber, or fatty acids) considered beneficial Large and Growing Functional Market Increasing Consumer Demand for Mushrooms Mood Suppo
Slide 10: Retail Sales
Ret RetallSole WOIRD Ss2tceeeeeereee ‘ail continues with strong momentum while outpacing prior year Laird Superfood Retail Total Brand YOY $ Sales (MM) by. Quad* Total Marketplace (MULO+NAT+WFM) (Cee:net include Bor ond AD SPINS Wl 2022 M2023 I 2024 (SM) 18 E 17 45 18 16 14 12 10 08 06 04 02 0.0 2B-
Slide 11: Net Sales growth accelerated in Q2, led by E-commerce +47%
Net Sales growth accelerated in Q2, led by E-commerce +47% QI! Net Sales by channel, $M* Q2 Net Sales by channel, $M* Wholesale whelasala E-commerce E-commerce snersows ormpores
Slide 12: TDPs continue to grow in both Natural and MULO Channels
TDPs continue to grow in both Natural and MULO Channels & 3 é Laird Superfood rolling 12-week distribution Total US - Natural Channel 534 526 519 507 479 459 426 | fe € § €§ € & 8 a a S 2 a a = a 5 3 = > = 5 Source StS Cotegoras nudes Shel stone Cotes, Cosmet Cooma SSE NSDoeneu Cotwpurarnst ncusea P
Slide 13: Marketing continues to improve consumer content and experience
Marketing continues to improve consumer content and experience Website 2.0 refresh with Making gains in Tiktok with Accelerate strong partnerships content focus custom content approach and founders 3 SHAWN RYAN ## LAIRD HAMi
Slide 14: Improving liquid creamer formula and upsizing in 2024
Improving liquid creamer formula and upsizing in 2024 Current By end of year + >80% of liquid creamer category sales are in >160z sizes + Liquid creamer transition allows to make one change across formula and size © NEW coconut sugar formula © NEW larger 25.4ozsize © Optimize assortment at shelf + R
Slide 15: Growth through innovation and a new marketing campaign
Growth through innovation and a new marketing campaign ————Se YAIR === GREENS sAlRn DAILY GREENS 2) ©) @ A zs
Slide 16: Q2 2024 Financial Performance
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Slide 17: Financial highlights: Q2 Net Sales +30% and Gross Margin of 42%
Financial highlights: Q2 Net Sales +30% and Gross Margin of 42% $10.0 million Net Sales, +30% versus prior year period. © E-commerce: 61% of total Net Sales, 47% growth driven by Amazon (+80%) and DIC (+32%). © Wholesale: 39% of total Net Sales, 9% growth driven by Retail (+26%) offset Club (-36%) d
Slide 18: Financial results
Financial results 224 g LAIRD Gross Margin OPEX Net Income/ (Loss) Gross Margin OPEX Net Income/ (Loss) $10.0M 41.8% S4.5M ($0.2M) $7.7M. 24.3% ‘$5.5M. ($3.5M) YoY change
Slide 19: Gross Margin of 42% in Q2 delivers above 40% target threshold
Gross Margin of 42% in Q2 delivers above 40% target threshold 40% 40% 42% ax 22 2% tag fl 20% Ei P Bo A 4 El = oe Qi 222,322 HRA IB. NB @BBI_— ADB. IZ Q2H mt Gross Margin os % of Nef Soles exclone-fime ad} One-time aajustments as % of Net Sales + Unlike many peers, LSF Gross Margin includes a reduct
Slide 20: Net Loss continues to narrow, approaching breakeven
Net Loss continues to narrow, approaching breakeven $, Milions $0.1 | = : 23] wo “$27 “a 85 $49 $57 “$141 Qi = az 32222123, HMB. HIS. QIMA DH Hil nst (Losincome excl. one-time og) Ill One-time ocjustments GEAR [DASA
Slide 21: Q224 Results
Q224 Results Net Sales, SM Gross Profit, SM Net Income/(Loss), SM $10.0 $4.2 ae $77 0.2 $19. “35 223 224 223 224 223 Q224 Net Sales +30% due to: Gross Margin of 42%, +17 points Net Loss improved by $3.3 + Wholesale +9% versus prior year driven by: milion due to: - Reta +26% + transition to asset lig
Slide 22: Q224 Sales Mix
Q224 Sales Mix Gross Sales by Product Line Net Sales by Channel Il Coffee Creamers Hi Wholesale [i Coffee, Tea, and Hot Chocolate Products ME-commerce Hydration and Beverage Enhancing Supplements [ll Harvest Snacks and OtherFood Items Ml Other
Slide 23: Total Cash Add/(Burn)
Total Cash Add/(Burn) $. Ntions $05 303 ee $04 $13 $27 _ $32 “$32 43 “$59 aim am saa BH IMR LAIRD
Slide 24: Cash expected to be breakeven in 2024
Cash expected to be breakeven in 2024* LSF projected cash balance ($M) $7.7 $7.7 Dec 31 2023 Dec 31 2024 forecast* &)
Slide 25: Gross Margin Outlook
Gross Margin Outlook* 240% 30.4% 19.8% FY22 FY23 FY24 and beyond* + Margins dompened by * Partial year realization of co- Selective pricing/trade optimization. underutlization and fied packing model for both powder overhead costs due to in-house ‘and liquid products. Normalized rads promotion spend,
Slide 26: Full Year 2024 outlook
Full Year 2024 outlook* 2024 Net Sales 2024 Gross Margin $40 - $44M. (+17% to 29% vs PY) 2 407% (+10 pts vs PY) “tanagemantesimate not guaranteed