MustGrow Biologics (MGRO) Q3 2025 earnings summary

Executive summary

• Q3 2025 was a seasonally light quarter with CAD 800,000 in sales, all from NexusBioAg, compared to no revenue in Q3 2024.

• Gross profit reached CAD 180,555, with a margin of 22.9%, up from 20.9% in Q2 2025.

• Q3 is typically a low revenue period due to the agricultural cycle in Canada.

• Management anticipates stronger sales in Q4 2025 and Q1 2026, with significant demand for TerraSate and a positive outlook for 2026.

Financial highlights

• Gross margin improved to 22.9% in Q3, up from 15.9% in the first half and 20.9% in Q2.

• Net loss for Q3 was CAD 2.4 million, down from CAD 2.7 million in the first half; year-to-date net loss is CAD 5.2 million.

• Year-to-date sales revenue reached CAD 7.4 million, with a gross profit of CAD 1.3 million and a gross margin of 17.7%.

• Cash and equivalents totaled CAD 3.3 million as of September 30, 2025; inventory stood at CAD 1.9 million.

Outlook and guidance

• Q4 2025 is expected to be the strongest quarter, with TerraSate inventory replenished and sales ramping up.

• 2026 is projected to be an excellent year, with strong demand anticipated for TerraSate and new product launches.

• Cash flow break-even is targeted for next year, contingent on achieving sales of CAD 20–30 million, depending on product mix.

• Focus remains on growing revenue through NexusBioAg in Canada and TerraSate biofertility sales in the U.S.