Company DescriptionMustGrow Biologics Corp., an agricultural biotech company, focuses om development and commercialization of natural biopesticide, biofumigants, and bioherbicides derived from mustard seed. It provides preplant soil biofumigation, a technology to treat soil-borne diseases and pests for various crops, including fruit, vegetables, and other crops. The company is also developing bioherbicide to treat unwanted plant growth for use in organic agriculture, home, and garden markets, as well as agriculture markets; and postharvest food preservation, an application in sprout, disease, and pathogen treatment for storage and food preservation markets. In addition, it focuses on providing CannaPM, an active ingredient to treat fungal soil diseases, as well as foliar diseases. The company was formerly known as Duport Capital Ltd. and changed its name to MustGrow Biologics Corp. in March 2018. MustGrow Biologics Corp. was incorporated in 2014 and is headquartered in Saskatoon, Canada.

How the Company Makes Money

MustGrow Biologics Financial Statement Overview

Summary

MustGrow Biologics is experiencing substantial revenue growth and boasts strong gross margins and low leverage. However, the persistent net losses and negative cash flow highlight ongoing financial challenges that need addressing for long-term sustainability.

Income Statement

Neutral

MustGrow Biologics has shown significant revenue growth in the TTM period compared to previous years, driven by a substantial increase from 2023 to 2024. The gross profit margin is remarkably high at approximately 98.76% for the TTM, reflecting strong operational efficiency. However, the company is still facing challenges with profitability, as indicated by negative net income and EBITDA, suggesting that while revenue is growing, profitability remains elusive.

Balance Sheet

Neutral

The balance sheet reveals a strong equity position with a significant equity ratio of 78.15% in the TTM, indicating financial stability. The debt-to-equity ratio is low at 0.15, suggesting conservative leverage. However, a decline in stockholders' equity over the years and ongoing net losses pose potential risks to financial sustainability.

Cash Flow

Neutral

The cash flow analysis indicates ongoing negative free cash flow, which raises concerns about the company's ability to generate cash from operations. The operating cash flow to net income ratio is negative, reflecting challenges in converting income into cash. However, the company has managed to maintain cash reserves, likely from financing activities, providing some liquidity cushion.

Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Breakdown
Income Statement		Total Revenue
398.02K	4.71M	6.48K	12.87K	0.00
	Gross Profit
300.75K	4.33M	6.48K	12.87K	0.00
	EBIT
-5.11M	-804.99K	-5.56M	-3.01M	-3.37M
	EBITDA
-5.11M	-676.94K	-5.56M	-3.01M	-3.26M
	Net Income Common Stockholders
-4.89M	-676.94K	-5.57M	-3.06M	-3.36M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
3.00M	6.82M	7.02M	9.62M	3.31M
	Total Assets
5.42M	6.94M	7.13M	9.70M	3.37M
	Total Debt
517.99K	759.33K	759.33K	749.27K	902.24K
	Net Debt
-2.48M	-6.06M	-6.26M	-8.87M	-2.41M
	Total Liabilities
3.25M	1.35M	1.90M	1.25M	1.05M
	Stockholders Equity
2.17M	5.58M	5.24M	8.46M	2.32M
Cash Flow		Free Cash Flow
-3.58M	-294.76K	-3.26M	-2.41M	-2.58M
	Operating Cash Flow
-3.58M	-294.76K	-3.26M	-2.41M	-2.58M
	Investing Cash Flow
0.00	0.00	0.00	0.00	0.00
	Financing Cash Flow
-241.34K	95.75K	653.75K	8.72M	1.86M

MustGrow Biologics Peers Comparison

Overall Rating

UnderperformOutperform

Sector (51)

Financial Indicators

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MGROF		$32.01M	―	-201.16%	―	―	―
Sector *	51 Neutral	$2.02B	-1.14	-21.37%	3.64%	2.88%	-30.57%
BEE		C$1.02M	―		―	―	―
GROW		C$1.95M	―		―	―	―
NPK	46 Neutral	C$26.33M	―	-32.62%	―	-39.06%	-9.07%
KRN	43 Neutral	C$8.53M	―	-35.90%	―	―	-16.48%
VVIVF		$8.30M	―	-32.32%	―	―	―

* Basic Materials Sector Average

Performance Comparison

MGROF

MustGrow Biologics

0.62

-0.10

-13.89%

TSE:BEE

Bee Vectoring Technologies International

0.01

-0.01

-50.00%

TSE:GROW

CO2 Gro Inc

0.02

0.00

0.00%

TSE:KRN

Karnalyte Resources

0.17

0.03

21.43%

TSE:NPK

Verde Agritech

0.50

-0.47

-48.45%

VVIVF

EarthRenew

0.06

0.02

50.00%

Glossary

OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.

NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.

UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

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