Hf Foods Group Inc. · NASDAQ:HFFG

Hf Foods — Sidoti Micro Cap Conference (May 2024)

13 slides from Hf Foods's conference presentation, May 2024

1. Slide 1: HF Foods Group Inc. Investor Presentation

   HF FOODS GROUP INC. May 2024 (NASDAQ: HFFG) Investor Presentation STRICTLY PRIVATE AND CONFIDENTIAL

2. Slide 2: Disclaimer

   CONFIDENTIAL DISCLAIMER Forward-Looking Statements All statements in this Presentation other than statements of historical facts are forward-looking statements which contain HF Foods Group’s (the “Company”) current expectations about our future results. The Company has attempted to identify any forw

3. Slide 3: HF Foods is the only scaled, nationwide operator serving the Asian Foodservice market

   CONFIDENTIAL CONFIDENTIAL HF Foods is the only scaled, nationwide operator serving the Asian Foodservice market STRONG VALUE PROPOSITION AS A POSITIONING AND SCALE IN A NICHE SECTOR LEADER IN ASIAN FOOD DISTRIBUTION DIFFICULT TO REPLICATE 1 National reach with a regional feel gives HF Foods an edge

4. Slide 4: HF Foods is a leading food distributor for the Asian restaurant market in the U.S.

   CONFIDENTIAL HF Foods is a leading food distributor for the Asian restaurant market in the U.S. HF Foods strategically leverages its platform to win  Deep, long-term relationships with diversified customer and supplier base  Proven pricing power in an inflationary environment attributable to a uni

5. Slide 5: Extensive reach and distribution capabilities with strong regional operating brands

   CONFIDENTIAL HF Foods has extensive reach and distribution capabilities with strong regional operating brands driving success Northwest Brands in each region drive regional customer loyalty B&L Midwest Northeast B&L  Strong brand recognition within local client bases allows HF Foods to win against

6. Slide 6: Unmatched ability to service the large and growing Asian restaurant market

   CONFIDENTIAL Unmatched ability to service the large and growing Asian restaurant market… HF FOODS IS A CRITICAL PROVIDER TO THE ASIAN RESTAURANT MARKET... ... AND ITS POSITION IS DIFFICULT TO REPLICATE One-stop shop for Asian-centric cuisines There are ~94K Asian restaurants in the U.S.1, and HF Foo

7. Slide 7: Customer-focused and integrated value proposition

   CONFIDENTIAL …with a customer-focused and integrated value proposition National Small/Local Large, national Fragmented, Why HF Foods wins public companies regional players  Customer focus drives high-quality service Customer stickiness     Distribution centers are their own engine – providing t

8. Slide 8: Long-standing sourcing partners are key to operations

   CONFIDENTIAL HF’s closely developed and long-standing sourcing partners are key to its operations  Ability to source from a deep list of ~30% international suppliers and  Ability to source a broad product offering, allowing HF Foods to become the ~70% domestic suppliers one-stop shop for clients 

9. Slide 9: Tangible growth opportunities supported by unique go-to-market strategy

   CONFIDENTIAL HF has tangible growth opportunities, supported by unique go-to-market strategy and capabilities Key avenues for outsized growth  Continued expansion in existing core markets EXPANSION IN  Optimize product mix to capitalize on key secular growth trends within the Asian foodservice mar

10. Slide 10: Clear line of sight into new locations with repeatable expansion plan

    CONFIDENTIAL 1 Clear line of sight into new locations with repeatable expansion plan Potential new customers (e.g., Asian restaurants) Key expansion opportunities  Meaningful whitespace opportunity across the United States, both within existing markets and in new, untapped markets  Existing custom

11. Slide 11: Clearly defined margin expansion strategy

    CONFIDENTIAL 2 Clearly defined margin expansion strategy Initiated operational transformation plan to improve margins through achieving growth and cost savings Significant Operational Initiatives Operational Initiative Description  Centralized purchase order management and strategic sourcing Consol

12. Slide 12: Opportunity to cross-sell products across business units

    CONFIDENTIAL 3 Opportunity to cross-sell products across business units Cross-sell products across full HF Foods customer base  Significant cross-sell opportunity, especially in seafood  Expand newly established seafood offerings from Great Wall and Sealand through other DCs  Robust geographic cr

13. Slide 13: Proven M&A Playbook

    CONFIDENTIAL 4 Proven M&A Playbook HF Foods’ thoughtful acquisition strategies identify M&A opportunities with significant and attainable synergies Acquisition strategy What this means Why this matters Management aims to  Expanding presence in select regions will allow HF Foods to Geographic penetr

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