All right, thank you everyone for joining us today. Welcome to the MustGrow Biologics Q3 2025 earnings call with CEO Corey Giasson and COO Colin Bletsky.

The financial statements and Management Discussion and Analysis are available on SEDAR+. Today is Wednesday, November the 26th, 2025.

After management's remarks, we will open the call for questions. Participants may submit questions in the question and answer window.

Please note that today's remarks may contain forward-looking statements. These statements involve known and unknown risks and uncertainties.

Please refer to MustGrow's filings on SEDAR+ for more information. With that, I'll pass it over to Corey and Colin.

Great. Thanks, Marten.

Good afternoon, everyone, and welcome to our Q3 2025 earnings call. Before I begin, I'd like to draw your attention to our disclaimer.

It's your typical forward-looking statement disclaimer. Forward-looking statements are going to be made in this presentation, and they can be read in detail on our website at mustgrow.ca.

Q3 2025, it was a lighter quarter, but we were expecting that. We did indicate in our Q2 earnings call that the shoulder season for Canadian agriculture is Q2, Q3.

Farmers are in the field seeding in Q2 and then in the field harvesting their crops in Q3. Not a lot of inputs are being purchased as they're harvesting their crop and starting to look into the 2026 crop year.

Sales for the Q3 were about $800,000. Our gross margin was up to 22%, which is up from 15.9% in the first half of the year.

That is a positive. We had a net loss of $2.4 million, which is down from the $2.7 million we had in the first half of the year.

Year-to-date, $7.4 million of sales revenue, gross profit of $1.3 million, and a gross margin of 17.7%. The net loss to date is $5.2 million.

For 2020-- or sorry, for Q3 2025, our gross margin improved, and that's because in Q1, we had foreign exchange volatility due to the tariffs. We had about 14% margin at that time, which we weren't expecting.

Then in addition, we've switched to a higher-margin product mix with the Nexus BioAg. The 22%, we're excited about, and hopefully that continues to grow as we go forward.

TerraSante sales for Q3 were zero. We ran out of product in Q2.

We were able to produce product and we will see sales in Q4 of 2025. All of the revenue that you see in Q3 comes from the Nexus BioAg sales division here in Canada.

Going forward, we expect Q4 to be the strongest quarter of all of them this year, but we are facing some headwinds with Canadian agriculture. Farmers' incomes are down.

They were down about 11% in 2024, and they're projected to be even lower in 2025. This is due to the fact that they're facing significant tariffs: 100% tariff on Canadian canola going into China and then a 50% tariff on peas going into India and that.

Input costs are also a factor that farmers are facing that they're up, and they're expected to be even higher again in 2025. On-farm margins are going to be squeezed.

There is potential that they'll apply less inputs, but we believe it will be just on the margins and that. We're expecting a good Q4 and Q1 next year.

TerraSante sales have ramped up. As we mentioned, we've seen some significant demand.

Unfortunately, we weren't able to meet that demand in Q3, but Q4, we have produced product for Q4, and we're now changing our focus to 2026. Our product pipeline, as I mentioned, we've had excellent testing of TerraSante.

Colin can go into that in a little bit more detail, but we are in the sales ramp-up, the beginning of this sales ramp-up. We're expecting 2026 to be an excellent year.

We're still waiting our registrations for TerraMG in the US and Canada. We have seen some progressions there.

Unfortunately, the US was shut down for a time period, there wasn't a lot happening. We're excited about getting our registrations specifically in Canada because we've done two years of farm trials.

Colin will go over some of those numbers, but we've seen some excellent results specifically in canola. Once the product is registered, we believe that the demand will be there right away because we have been doing on-farm testing for two years.

We look forward to doing that again next year at the beginning of the year. For Bayer, we had great meetings in October with Bayer.

They continue to push this forward. We're excited about what they see.

We're one of the only biologics that they have that has efficacy. That's great news.

There is potential for a milestone payment at the end of the year here. We look forward to the work that they continue to do in Europe, Middle East, Africa, an area that we wouldn't be able to focus in without their help.

With Nexus BioAg, again, it's been a good year for us getting sales, some significant sales that we've never had in the past. We've got five new product lines that we brought to the table, and we're looking forward to Q4 and Q1 of next year and really getting farmers the inputs that they need to grow the 2026 crop.

Here's an example of TerraSante being applied in Washington State. This happened this spring.

It went on at about 10 pounds per acre. This is a mixing applicator.

Just wanted to give you guys an example of what's happening in the field with TerraSante in the US. Once it's mixed in the mixer, it goes into the sprayer, and you can see it's being sprayed out just like they would any other chemical.

That's really the value of our technology. A farmer didn't have to grow a mustard cover crop.

They didn't have to apply mustard meals at 1,000 or 2,000 pounds per acre. They're applying this at 10 pounds per acre.

That's really the value that we see in this. We're getting a lot of great responses back from the farmers in the US that have applied TerraSante to date.

With TerraSante, as Corey mentioned, we've had a good ramp-up and a good run on this product already. Just to give the background on it just in case you don't know, we are registered across many different states, specifically the key states in California, Washington, Oregon, getting down into Arizona now.

This production that we're doing right now is produced specifically now both in Canada and Asia. When we look at this technology, we're seeing that good ramp-up and good applicability in the farms.

Who we work with right now, we do have individuals on the ground across the US, across the West Coast, working with the key retails. We're not just selling this direct to farm.

We are selling this through the key retails, such as Nutrien, Integrated Crop. We are working with different groups right across the entire channel.

We are seeing this ramp-up. This is where when you look at the marketplace, in the US, there's roughly about 5.6 million acres of fruit and vegetables, tree nut and vine, and really root and tuber and potatoes.

There is above that about 200,000 acres of organic production that doesn't have things that you can use or products you can use at that scope. This is where we have a very big, I guess, early entry point.

In 2024, unlike in Canada where we have large-scale field trials, we have to sell the product in and do those trials on farm. It's a different scope than in Canada, where you're working with smaller fruit and vegetable growers who instead of working on 2,000 or 3,000 acres of canola are looking at 5 to 10 acres of strawberries or, in some cases, working with some of the large fruit and vegetable companies who have 20,000 acres of strawberries.

We launched in 2024. In 2025, we did sell out early.

We over 10x our sales in these markets on application and yield. The main crops that we've been focusing on have been strawberries, potatoes, leafy greens, and tomatoes.

Looking at these areas, what gets me so excited about it is: one, the product was sold out; number two, we had repeat sales; number three, we had some considerable, I would say, increases with some of the very large fruit companies coming into our distribution partners and buying product based on the product performance in-field. When we are looking at some of the trials and that one specific trial that Corey showed you with the farmers up in Washington, they were seeing over 2 ton per acre yield increase in potatoes.

They were seeing also a size increase on the A's and B's, what that means is they had a larger size, of about 38%, of bigger, higher-quality potatoes as well. This was on 240 acres, not a small trial.

This was on large-scale field trials, overall that farmer has seen close to a $5,000 US per acre increase in value. We're seeing very similar types of things when you come into strawberries, into lettuce, and now starting into tomatoes.

When I look at 2026, we have a very good, strong baseline for the product. The word is getting out through the key retails, through large farmers, and there's been a lot of, I would say, excitement around us moving into that market and really ramping up for 2026 and helping these farmers produce more product.

When you look at TerraMG, as Corey mentioned, we are still going through the registration processes in Canada and US, but we still see a continued effort in field trials here in Canada, with Bayer in Europe, Africa, and Middle East, and now we're also expanding and looking at trials and working across many different regions in Latin America and in Asia. This is the same type of process where we're producing this through our manufacturers and seeing the same results that what we've been talking about for many years.

I would really point to what we're done here in Western Canada through the Nexus team. Through 2024 and 2025, there's been a significant amount of trials done in Canada.

We've seen canola yields move up to roughly a 7 bushel increase, which when you look at revenue increase in canola, it's almost $100 an acre. We've also seen reductions in clubroot spores.

This is something we've seen now for two years running. There's been multiple trials done, replicated with large farmers, and seeing these key results.

When you start looking at the value in canola where you have a disease that right now has no true chemical control, it has a lot of value for us, a lot of opportunity. We also did a potato trial here in Canada, and we'll expand on this in the upcoming years, but we are seeing very similar to results what we've seen into the US: 2 ton per acre increase, we're seeing average increase in size, and we've seen revenue increases across the board.

When we look at the Canadian market, we see a lot of opportunity as well for TerraMG, combined with what we're doing across many different regions of the world, looking at nematode control, disease control, and other areas, working with some large partners in other regions. Just to, I guess, reiterate why and looking at Nexus BioAg and the power of the Nexus BioAg team, over the last number of years since 2020, they've done over 700 large-scale trials, looking at different products to put into the portfolio and continue to look at them and continue to research, prove them out in-field, and then bring those products to farm.

I think this is something that we see a lot of great potential and opportunity moving forward into 2026 as well and expanding on it, but also utilizing this to really prove out and continue to prove out TerraMG so we have that baseline, we have those farmer data points, and we have that acceptance already when we do get that registration here in Canada.

Our capital structure remains tight, as you see, but we're fortunate to have raised a couple million dollars in the late summer, early fall of this year, but it remains tight. Our share price, as hasn't seen appreciation.

We are facing a cyclical downturn. We have for the last three years or so in agriculture.

At the end of the day, farmers are going to need to grow crops. We believe agriculture is cyclical and we will be coming out of this.

Our objective though, as management, is to continue to drive operations, continue to drive revenues, specifically with Nexus BioAg and TerraSante in the US, and eventually TerraMG in Canada, US and through Bayer in Europe, Middle East, Africa. When we start driving revenues and moving to positive cash flows, our share price will reflect that.

We believe specifically when we start to see a turn in this agriculture market. With that, I'd like to open it up to question and answers, Marten.

All right, Corey, Colin, thank you very much. As you are out of TerraSante inventory in Q3, was this due to higher-than-expected demand, or was this due to manufacturing and/or supply chain issues?

Marten, for that one, to me, it was just greater demand. This is something that with a new product, we didn't have the luxury like we did in Canada having the large-scale field trials like I said.

We have to go in, once we got registration, we actively started selling into the channel and to those large-scale farmers. To me, it was one where I did not want to take the risk until we've seen the level of efficacy and proving it out in those US soils with those farmers.

It was just, in my mind, a greater demand. There was essentially a few large customers came in and took a lot of product, which essentially emptied the channel.

Very pleased about that because we haven't really started marketing TerraSante in the US. We want to wait till we build up that inventory, then we can take more of an aggressive marketing approach as well.

We are moving forward with more partners, more retail channel partners and in a broader scale, specifically looking into California. It's really about now that we've seen the product work, we've seen it work consistently, we have that repeat sales, we are looking at how do we build up that inventory and drive that US.

Then, I think, on the other side, we're taking that success, and that success is essentially pulling it into other areas. We've had quite a bit of interest coming out of the Netherlands, quite a bit of interest coming out of Mexico now, and even into parts of Brazil, looking at how we could take that technology and really move it forward in some of those other regions.

Are you able to quantify how impactful the inventory shortage was, how much you could have sold had you had the inventory on hand?

There's probably about 1,500 bags or so, about a million, million and a half dollars' worth of sales that we weren't able to fill.

Okay. How many countries have Bayer made registration requests for MustGrow products, either TerraSante or MG?

Bayer is working with TerraMG in Europe, Africa, Middle East. Their first focus is into the European Union.

To clarify that question, on the European Union, it is the EU27, there are 27 different countries that you work towards getting registration with all essentially at the same time. The process works through having to pick a member state, that one country that's going to support your registration.

Bayer has done that, and that country is working with them and us to now satisfy the European Union. If you think of it, it's not just one country.

It is essentially the list of 27 countries right across the EU. Once that gets set, then they will start expanding that list into the African countries and into Middle East.

Is Bayer working at all with TerraSante?

At this time right now, no, Marten. Looking at what they need and their direct needs, TerraMG for that European Union is something that they want to focus on, specifically around the nematode and disease control.

If you look at what's happening in the European Union, essentially, by 2030, that area, it does not want to register any more new chemical synthetic active ingredients. This is an area of opportunity for Bayer to really focus on that TerraMG and the nematode and disease control.

What were TerraSante sales in Q3?

There was no TerraSante sales in Q3.

Right. Are any more states lined up for approval of TerraSante?

At this time, we're not looking to expand into the states. The key states that we have are all moving forward and driving sales.

The one area that we will put a bit more focus on is into Florida, specifically looking at the strawberry market in the Florida area, potentially some other crops. For right now, we want to focus on driving our sales specifically in California and into Washington and Idaho.

My personal opinion is the two biggest crops that are going to have impact for us are strawberries and potatoes, and those are the two crops we're seeing the most amount of data around and the most amount of uptake. I want to focus on those first with enough product and supply, and then potentially move out from there.

Beyond the strawberries and potatoes where you're seeing, let's say, the biggest traction, is it in certain geographic regions where it seems to work best or at certain types of soil where it has especially good applicability?

We've done trials right across, and this is with essentially TerraMG as well as some parts of TerraSante. We do know what soil types, what pHs, what areas, organic matters that you need to be able to be successful with our technology.

It is very broad. I would say the one area we maybe had a challenge was a number of years ago in Japan, it was very volcanic ash soil that was really low in pH, we overcame that with some different additives.

In the US, the key region for us is if you look at around the Santa Maria, Oxnard, and into the Watsonville area specifically where strawberries are, that's a key growth area for us. That's where Dole, Driscoll's, if you think of some of the large fruit and vegetable customers that we're working with, Cal Giant, they have a significant amount of acres of strawberries in those regions.

If I remember right, I believe Dole has close to about 22,000 acres of strawberries just in that region alone. We're really focusing that area for strawberries.

Then when it comes to potatoes, it is around in Idaho, specifically around Moscow, Idaho, where there's a lot of issues with what's being used, and then into the Washington area just right around Portland, Oregon and north.

Where do we stand on the repayment of Ag-West loan and royalty payments?

We'll be paying Ag-West out fully by the end of the year.

$8 million of minimum purchase product purchases, how much has the company purchased? Do you expect to do all the $8 million in 2025?

How will you finance the purchases? Maybe you can add a bit of background for people who haven't read the MD&A regarding that.

That's the RhizoSorb product. We're receiving purchase orders here now.

We're collecting more. That'll be for the 2026 crop year, for application this coming spring.

How has been the reception for the products added in 2025 to the Nexus product line?

A lot of those products, we went through the bat trials and have done large-scale trials, and I would say for some of them, there was some very good response, and others, it was a little bit lukewarm. I think, Marten, the key thing is with the environmental conditions we had last year, biologicals typically did not work as consistently as they have in the past from my opinion and looking at it.

We'll continue to assess the pipeline and continue to look at things that have an addition to our pipeline and improve it. At this time, I would say those five product lines, some goods, some bads, and that comes with agriculture.

Now we just have to reassess, re-look at the pipeline, and see what the best route is forward for the Nexus pipeline in Canada.

What does the pipeline look like for TerraSante sales in 2026?

It looks excellent. We're quite excited about it.

We can't give any details on numbers or whatever, but it's a significant factor above what we did in 2025, and we hope to be able to deliver.

Can you make any comments on TerraMG approval in the US or Canada or other markets?

We continue to work on it. Unfortunately, in the US, as I mentioned, there was a shutdown with the government, the EPA was off for about two months there.

Things continue to progress. In Canada is the same, things continue to progress.

As I mentioned, we met with Bayer. They continue to push forward on their dossier and preparing that for submission.

With I call it the MAHA movement in the US for more natural, less synthetic things, has that impacted the EPA at all or given them any more sort of interest in products like yours, or have you seen any change in how the market is responding to biotype products?

I don't believe we have. You can also look at Europe.

They've got a mandate to go to 25% organic acres. They want to push for natural products, but it takes a long time to get registrations in Europe and that.

You'd think, given that mandate, that these jurisdictions would want to start really pushing forward quicker on registrations. That being said, it just takes a long time, and we're seeing delays.

We're not the only ones seeing the delay. We talked to some other companies and that, and they're seeing the same thing.

Colin, I'm not sure if you want to add anything more to that because you've been talking to quite a few different groups.

I think, Marten, I think where the key thing is is, yeah, there's you still have to go through those registration processes, which take time, and that's that's bureaucracy we just have to deal with. With so, though, you are seeing a level of increase on the biofertility and biostimulant products and and actually seeing some good adoption right across the Americas, not only in North America, but also down to Latin America.

That's an area that with TerraSante, we'll focus on. That's an area with looking at continual pipeline additions we'll focus on.

What? We we have a sales product now with TerraSante to go and and drive hard in the US and waiting on until that registration comes.

Excited for all of them to come, specifically as a canola grower myself. I I really want to get TerraMG registered in Canada.

I've seen how it works, I've seen the opportunity, and we just have to wait for that. It's it's a it's a I hate to say it, it's a it's a frustrating process to work through, but it also also adds another level of, essentially, IP to your portfolio when you do get those registrations.

It's a it's challenging, it's time-consuming, but it's also adds a lot of value in the long run.

I believe in your opening comments, one of you made comments about, I believe it was TerraSante, pushing distribution to Latin America and possibly Asia. Are you going through any registration processes in other markets and looking to expand in other markets?

Tell us that process, please.

We are. There's been some meetings happening with a number of different organizations in other parts of the world, not in Asia right now, Marten.

It is actually South America, specifically Brazil and Mexico, and then into the Netherlands, to be specific, where you're sitting right now. It's essentially those two regions have a lot of opportunity for us.

If you look at the data that we're having and what we're getting right now in the US, specifically with TerraSante and strawberries, looking at into potatoes, which is a big crop when you look at the European Union, and even down into other crops into Brazil, there's a lot of opportunity. We have not started a registration process right now.

It is in discussion with those teams, as: one, we don't speak the language; number two, you need to have those local teams, like a Nexus team, on the ground supporting that technology. That's what we're working through right now in those areas.

I guess the structure of how that would be done in different regions through partnerships or licensing, that's still in discussion.

That's still in discussion, yes. Until we get past and looking at it, working with these organizations, I can envision multiple different types of partnerships or distribution agreements or potentially even licensing.

It depends on where you are, who you're dealing with, and what area.

All right. How are tariffs affecting growth in the USA?

They're negatively affecting growth. We're currently facing some tariffs on TerraSante coming in being produced in Asia going into the US.

We're assessing how we can get around those tariffs. At the end of the day, it provides uncertainty in the market.

I think it opens up other countries for implementing their own tariffs. Canadian agriculture seeing that in China, they're seeing that in India on some of their products that they're farmers are selling here.

Tariffs aren't good for anybody, I believe, and we just have to find a way to live with them.

Regarding your capital needs going forward, when do you expect to see cash flow break-even?

As I mentioned, we were fortunate to raise the $2 million here in in Q3. I'm still targeting cash flow break-even for next year and that, but there's a lot of, external factors that could be could apply to this.

As I mentioned, there is some headwinds that we're facing in Canadian agriculture. On the positive side, TerraSante, the demand is is it's surpassed our expectations for what we're seeing here for initial demands.

We haven't even really started even marketing this yet. We we want to build up some inventory and and then start hitting it hard and and moving it.

I think we're still targeting positive cash flows for next year, which would be super exciting for MustGrow.

Given the substantial increase in revenue following the Nexus BioAg acquisition, but the ongoing losses, what specific steps is management taking to achieve profitability in the coming year?

I think with Nexus BioAg, we had some headwinds at the start given the tariff situation. Farmers are going to have to grow a crop, and we think Q4 is going to be an excellent quarter for us.

We think Q1 next year is going to be an excellent quarter for us as they start to really buy inputs for the 2026 crop year. We believe with Nexus BioAg, that will be cash flow neutral or positive on that sales division.

Then we have TerraSante sales. If we're able to hit our targets next year, we're looking forward to that, quite a healthy margin going towards our profitability.

Can you say what the user cost of TerraMG is per acre?

It varies per acre, it's based on the application rate. What we're seeing here in Canada for canola growers, they're putting it on at about 2 liters per acre.

In the US, they'll be putting it on at about 15 to 20 liters per acre and that. It's the same price per liter.

Depends on the application rate.

Are you able to say what level of sales you need to achieve to hit break-even and how much more money will need to be raised before being cash flow positive?

In terms of the number of sales, I think you're looking at about $20 to $30 million of sales and that, but that depends on the product mix. If more of those sales are TerraSante, obviously, that's a higher-margin product for us.

We own that, we're the manufacturing margin on that, it's not just distribution margin and that. It all depends on the product mix.

How much inventory of TerraSante are you planning to have available for sale for the 2026 growing season?

We're targeting between 5,000 to 10,000 bags of TerraSante.

Could you give a dollar value per bag or for that approximately?

We don't want to give any guidance in terms of the revenue. We can't do that at this time, but it's a significant step-up of what we've sold this year.

All right. Are you using shares to pay executives?

Yes, for our board of directors, they get paid with deferred share units, DSUs. For executive bonuses, that's with DSUs as well.

The reason why we do that is because we need to conserve cash within the company. Bonuses or our board of directors, they don't get paid with cash.

What steps are being considered to balance employee incentives with share incentives and protecting shareholder value by limiting dilution?

We pay performance share units to our employees, that would be the sales team within the market. We want them to be invested in our company and, obviously, working towards increasing their sales and cutting costs.

We have an omnibus plan, which is our plan which is voted upon by shareholders to pay those employees and then also our management and board of directors. We think it's important that these groups are vested in the company, and it's a limited amount of shares that are available for these plans and that, so that protects on the dilution side.

There are several questions here just of people concerned with the declining share price over the last while. You did make some comment to that earlier.

Any additional comments you'd like to make for viewers here?

Yeah. No, I think that our focus is on driving our revenues and moving towards positive cash flows.

That's what we can control. We can't control what the market does.

We are seeing a decline in the share price, but we believe that by driving revenues and with a turn in this agriculture market, which will happen eventually-- we're about three years in to this downturn-- with having revenues, that's really going to bode very well for our company and its share price.

The BioAg Advantage trials, that network you have across Canada, can you explain how you're leveraging that to grow your business and to drive revenues?

Marten, as we've said before, that's essentially a platform to springbank and to, one, validate technologies in-field. It's not only validating the technology with the farmers, it's also validating those technologies with the retails as well as our sales team.

You need a cohesive group, all agreeing on what that product has brought and how it's worked. Yes, I would say, listen, those trials are a significant amount of value.

The work that Nexus did previous to us acquiring them at the end of last year, the work that the team has done over the past two years, and remember, we were working with Nexus before we bought them, we've seen the value and the power of that. Having those channels, having access to growers, being able to show the growers new technologies and how it could fit on their farm is tremendously powerful.

I would say when I go to conferences, when I talk to other organizations, there's a lot of envy around what we have and the ability we can take products into market, validate them, show them, build things around them, and then go to launch them. Listen, even with Nexus BioAg and the sales team, new products are new products.

If you have a couple good years of data, you have to still build it up, and that's where we're seeing now. Two years of good data with TerraSante in the US, which were, in essence, kind of BioAg Advantage trials, and now we're seeing that ramp-up and, hopefully, seeing that significant growth in 2026.

The BioAg Advantage allows you to bring new products into Canada, establish them, and then grow new business?

Yes, that's essentially what it is. It's a platform to help bring in, validate, and leapfrog new products into the channel.

All right. We have finished all the questions from the audience here.

Thank you. Any final comments before we wrap things up?

No, there's nothing on my end. Look forward to our Q4 call at the beginning of next year.

Thank you very much, gentlemen. Have a great day.

Cheers.

Thanks, Marten.