Replenish Nutrients Holding Corp (CSE:ERTH, OTC:VVIVF) said it expects improving revenues, margins and cash flows in the coming quarters as its Beiseker granulation facility nears full commissioning and demand for its regenerative fertilizer products continues to climb.
The Canadian agricultural technology company, which reported a smaller net loss and improved cash flow from operating activities in the first quarter, said it anticipates reaching full production capacity at the Beiseker site by mid-year, ramping up to approximately 2,000 metric tonnes per month.
Replenish said it has already secured firm sales commitments for the first 6,000 metric tonnes of product and noted that second-quarter revenues and gross profit from blended fertilizer sales have surpassed prior-year levels.
The company said it expects strong customer demand and increased throughput at Beiseker to drive higher revenues and margins through the remainder of 2025.
Although first-quarter revenue fell to C$400,000 from C$1.3 million a year earlier, Replenish improved its gross profit margin to 19%, up from 12%, supported by higher pricing and lower input costs. The company narrowed its net loss to C$1.2 million from C$1.6 million.
The seasonal dip in sales volumes reflected varying crop nutrient application needs, the company said, but added that the outlook remains robust amid rising interest in regenerative agriculture.
To support its growth, the company raised approximately C$5.6 million in debt and equity financing, including C$1.4 million in the first quarter and C$4.2 million after quarter-end. The funds will be used to complete Beiseker’s final upgrades and settle about C$0.6 million in payables.
The company said interior construction at Beiseker is complete, with final plant automation and exterior work expected to wrap by mid-year.
Replenish is also advancing its DeBolt project, which remains eligible for grant funding from Emissions Reduction Alberta once additional financing is secured.