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Barfresh Food Group (BRFH)
NASDAQ:BRFH
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Barfresh Food Group (BRFH) AI Stock Analysis

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BRFH

Barfresh Food Group

(NASDAQ:BRFH)

Rating:39Underperform
Price Target:
Barfresh Food Group faces severe financial challenges, including no revenue in the latest period and a negative cash flow, significantly impacting its overall score. Technical indicators show a bearish trend with limited immediate upside potential. Despite promising growth projections and new initiatives, the current operational inefficiencies and financial losses weigh heavily on the stock's attractiveness.
Positive Factors
Customer Relationships
Despite recent challenges, BRFH has preserved strong relationships with school district partners, and has received reorders from previous customers.
Product Portfolio
Analyst remains bullish on the company’s core product portfolio, including the recently launched Pop & Go line, which enhances long-term positioning within the education channel.
Supply Chain
The onboarding of a new co-manufacturing partner should improve inventory management ahead of the upcoming school year.
Negative Factors
Management Guidance
Management introduced guidance below expectations.
Manufacturing Issues
Manufacturing disruptions related to inadequate production equipment negatively impacted sales and margins.
Revenue Guidance
BRFH reduced 2025 revenue guidance, indicating ongoing impact of manufacturing disruptions and supply shortages.

Barfresh Food Group (BRFH) vs. SPDR S&P 500 ETF (SPY)

Barfresh Food Group Business Overview & Revenue Model

Company DescriptionBarfresh Food Group, Inc. manufactures and distributes ready-to-drink and ready-to-blend frozen beverages in the United States. The company offers smoothies, shakes and frappes in various formats comprising ready-to-drink bottled, easy pour, juice concentrates, and single serve. The company was founded in 2009 and is based in Los Angeles, California.
How the Company Makes MoneyBarfresh Food Group makes money through the sale of its ready-to-blend frozen beverages to various foodservice operators. The company's revenue model is primarily based on selling these products to restaurants, convenience stores, and schools, which then serve them to their customers. Barfresh generates income through direct sales and has distribution agreements with key foodservice distributors to widen its market reach. These partnerships are crucial for expanding its customer base and facilitating product delivery. Additionally, Barfresh may also earn from strategic partnerships and collaborations that enhance its market presence and product offerings.

Barfresh Food Group Earnings Call Summary

Earnings Call Date:Aug 13, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Oct 23, 2025
Earnings Call Sentiment Neutral
The earnings call highlighted significant progress in addressing production challenges with increased manufacturing capacity and potential for market growth. However, the reduction in gross margin and supply chain issues that affected customer relationships and revenue were notable challenges. Despite these setbacks, the company is optimistic about future revenue growth and market opportunities.
Q2-2025 Updates
Positive Updates
Revenue Growth
Revenue for the second quarter of 2025 reached $1.6 million, representing an 11% year-over-year increase, driven by expanded bottle capacity.
Manufacturing Capacity Expansion
The installation of equipment at the second co-manufacturing partner was completed, addressing production challenges and increasing bottling capacity by approximately 400% for 2026.
Market Penetration Opportunities
The company has only 5% market penetration in the education channel, indicating significant potential for future growth.
Cost Management
General & Administrative expenses decreased to $673,000 from $865,000 year-over-year, driven by a reduction in personnel-related expenses and lower stock-based compensation.
Interest in New Products
Positive interest in the new Pop & Go 100% juice freeze pops, targeting a larger lunch daypart market.
Negative Updates
Gross Margin Decline
Gross margin for the second quarter of 2025 decreased to 31% from 35% in the second quarter of 2024, due to product mix and manufacturer trial costs.
Supply Chain Challenges
Temporary removal of products from customer menus due to capacity issues, impacting revenue.
Increased Operational Costs
Higher processing and logistical costs due to expanded bottle capacity and distribution inefficiencies.
Net Loss
Net loss for the second quarter of 2025 was $880,000, a slight improvement from $1 million in the second quarter of 2024, primarily due to increased storage and freight costs.
Company Guidance
During the second quarter of fiscal year 2025, Barfresh Food Group achieved revenue of $1.6 million, marking an 11% growth compared to the same period in 2024, despite manufacturing constraints. The company completed equipment installations with its second co-manufacturing partner, addressing production challenges that previously impacted revenue and margins. Gross margin decreased to 31% from 35% due to product mix and new manufacturer trial costs, but is expected to normalize in the second half of the year. Operating expenses for selling, marketing, and distribution rose to $634,000, while general and administrative expenses decreased to $673,000. The net loss improved to $880,000 from $1 million. Barfresh revised its fiscal year 2025 revenue guidance to $12.5 million to $14 million, anticipating a 17% to 31% year-over-year growth. The company is building inventory to align production with market demand, especially in the education channel, where it holds only a 5% market penetration, indicating significant growth potential.

Barfresh Food Group Financial Statement Overview

Summary
Barfresh Food Group is facing severe financial difficulties, with no revenue reported in the latest period, negative profitability metrics, and deteriorating cash flows. The balance sheet shows declining equity, posing future liquidity risks. Immediate strategic changes are essential to address these challenges.
Income Statement
20
Very Negative
Barfresh Food Group has shown a declining trend in revenue from $9.16 million in 2022 to $0 in 2024, indicating significant business challenges. The company consistently reported negative EBIT and net income, reflecting ongoing losses and operational inefficiencies. The absence of revenue in the latest period indicates severe financial distress.
Balance Sheet
40
Negative
The company's debt-to-equity ratio is relatively low due to low total debt, but the equity base has been shrinking, from $2.52 million in 2022 to $578,000 in 2024. The equity ratio dropped significantly, indicating a potential risk in financial stability. However, the reduced liabilities provide some relief.
Cash Flow
25
Negative
Operating cash flow remains negative and worsening, from -$2.65 million in 2022 to -$2.23 million in 2024. Free cash flow also remains negative, highlighting the company's struggle to generate cash. The company relies heavily on financing activities to sustain operations, which is unsustainable long-term.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue10.98M10.72M8.13M9.16M6.70M2.57M
Gross Profit3.40M3.67M2.88M1.44M2.51M764.07K
EBITDA-2.62M-2.49M-2.41M-4.94M-495.98K-3.60M
Net Income-3.01M-2.83M-2.82M-6.13M-1.26M-4.15M
Balance Sheet
Total Assets3.77M3.32M4.81M5.09M9.72M5.82M
Cash, Cash Equivalents and Short-Term Investments712.00K235.00K1.89M2.81M5.53M1.82M
Total Debt176.00K832.00K0.0020.00K95.00K1.89M
Total Liabilities1.72M2.74M2.31M2.57M1.54M3.49M
Stockholders Equity2.05M578.00K2.50M2.52M8.18M2.32M
Cash Flow
Free Cash Flow-2.40M-2.28M-2.96M-2.66M-2.01M-3.27M
Operating Cash Flow-2.25M-2.23M-2.96M-2.65M-1.86M-3.20M
Investing Cash Flow-143.00K-53.00K0.00-13.00K-150.54K-59.66K
Financing Cash Flow2.73M626.00K1.83M5.00K5.73M4.20M

Barfresh Food Group Technical Analysis

Technical Analysis Sentiment
Positive
Last Price3.09
Price Trends
50DMA
3.06
Positive
100DMA
2.83
Positive
200DMA
3.00
Positive
Market Momentum
MACD
0.03
Negative
RSI
53.76
Neutral
STOCH
54.44
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BRFH, the sentiment is Positive. The current price of 3.09 is above the 20-day moving average (MA) of 2.92, above the 50-day MA of 3.06, and above the 200-day MA of 3.00, indicating a bullish trend. The MACD of 0.03 indicates Negative momentum. The RSI at 53.76 is Neutral, neither overbought nor oversold. The STOCH value of 54.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BRFH.

Barfresh Food Group Risk Analysis

Barfresh Food Group disclosed 32 risk factors in its most recent earnings report. Barfresh Food Group reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Barfresh Food Group Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
82
Outperform
$3.48B12.0024.18%7.72%17.01%11.63%
77
Outperform
$2.09B33.9424.35%11.97%16.10%
63
Neutral
$20.49B14.78-2.88%3.11%1.86%-5.76%
54
Neutral
$198.62M-22.11%-1.08%54.50%
52
Neutral
$519.53M-114.20%4.47%42.22%
47
Neutral
$66.20M-111.07%-63.00%56.93%
39
Underperform
$49.02M-161.48%24.52%-7.31%
* Consumer Defensive Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BRFH
Barfresh Food Group
3.08
-0.35
-10.20%
AKO.A
Embotelladora Andina SA
19.06
5.44
39.94%
SHOT
Safety Shot
0.40
-0.61
-60.40%
OTLY
Oatly Group
17.29
-0.07
-0.40%
ZVIA
Zevia PBC
2.58
1.56
152.94%
COCO
Vita Coco Company
37.25
12.14
48.35%

Barfresh Food Group Corporate Events

Private Placements and FinancingBusiness Operations and StrategyFinancial Disclosures
Barfresh Food Group Reports Q1 2025 Revenue Growth
Neutral
May 1, 2025

Barfresh Food Group reported a 4% year-over-year increase in revenue to $2.9 million for the first quarter of 2025, aligning with their guidance. Despite achieving a gross margin of 31%, the company faced temporary production inefficiencies and increased logistics costs due to onboarding new co-manufacturers. These challenges are expected to be resolved by the end of the second quarter, positioning the company to leverage new customer wins in the education channel and potentially achieve record revenue for fiscal year 2025. The company secured $3.0 million in growth financing to support scaling production capacity, particularly in the education market.

Spark’s Take on BRFH Stock

According to Spark, TipRanks’ AI Analyst, BRFH is a Neutral.

Barfresh faces significant financial challenges, with no recent revenue and negative cash flow. However, the company projects strong future growth, driven by new product offerings and expanded manufacturing capabilities. Technical indicators are weak, and valuation is strained due to ongoing losses. The earnings call reflects potential for recovery if strategic goals are met.

To see Spark’s full report on BRFH stock, click here.

Product-Related AnnouncementsBusiness Operations and StrategyFinancial Disclosures
Barfresh Food Group Projects Record Revenue for 2025
Positive
Mar 27, 2025

In 2024, Barfresh Food Group achieved its highest fiscal year revenue of $10.7 million, driven by expanded bottle production capacity and the launch of Pop & Go™ 100% Juice Freeze Pops. Despite facing temporary production inefficiencies and increased logistics costs, the company anticipates resolving these issues by mid-2025, positioning itself for further growth. Looking ahead to 2025, Barfresh expects record revenue between $14.5 million and $16.6 million, supported by enhanced production capacity and a strong product portfolio, aiming to capture significant opportunities in its target markets and deliver long-term shareholder value.

Executive/Board Changes
Barfresh Food Group Director Arnold Tinter Resigns
Neutral
Feb 28, 2025

On February 28, 2025, Arnold Tinter resigned from his roles as a director and corporate secretary of Barfresh Food Group and its subsidiaries, citing his desire to retire from active business pursuits. His resignation was not due to any disagreement with the company, where he also served as chair of the Audit Committee and was a member of the compensation and nominating and corporate governance committees.

Private Placements and FinancingBusiness Operations and Strategy
Barfresh Food Group Announces Securities Purchase Agreement
Positive
Feb 6, 2025

On February 5, 2025, Barfresh Food Group announced a Securities Purchase Agreement to sell 1,052,635 shares of common stock in a registered direct offering, expected to close by February 7, 2025, with gross proceeds of approximately $3 million. This strategic investment, primarily supported by existing shareholders, aims to expand the company’s manufacturing capabilities to meet growing customer demand and achieve positive cash flow, particularly within the education market, following successful testing of its new Pop & Go™ 100% Juice Freeze Pops.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: May 03, 2025