Mr. David Hanna reports

GFI ANNOUNCES FIRST QUARTER 2024 RESULTS

Global Food and Ingredients Ltd. has released its first quarter financial results for the three months ended June 30, 2023.

Company reports record month of sales from its pea-splitting facility

Highlights of Q1 2024

• Named one of the Future 50 Fastest Growing Sustainable companies in Canada by Corporate Knights.
• Revenue in the quarter of $21.7-million backed by growth in higher-margin business lines, representing 37.7 per cent of total revenue in Q1 2024 compared with 26.9 per cent in Q1 2023.
• Cash generated from operating activities of $5.1-million in Q1 2024.
• Completed the installation of the retail packaging capabilities at the company's United States distribution centre in Clayton, N.C.

"GFI is continuing to execute on its commitment to prioritize higher-margin generating business lines, evidenced by a record-setting sales month from our recently completed value-added pea-splitting facility," commented David Hanna, GFI's chief executive officer. "Our management team continues to execute on our strategy of focusing on our core ingredients segment, reducing our expenses and growing our higher-margin business lines"

First quarter results

Highlights -- three months ended June 30, 2023

• The company recorded revenue of $21.7-million in the three months ended June 30, 2023.
• Sales backed by the company's shift to higher-margin product lines, specifically plant-based pet food ingredients and split peas, representing 37.7 per cent of total revenue during the three months ended June 30, 2023, an increase of 10.8 per cent over the prior-year comparable period.
• In the month of April GFI generated $1.3-million in sales of split peas from its state-of-the-art pea splitting facility in Saskatchewan, which was a monthly record.
• Completed the installation of the retail packaging capabilities at the company's U.S. distribution centre in Clayton, N.C. The retail packaging lines are capable of packaging products in pouches and pillow bags, including one-pound, two-pound and four-pound formats. The capabilities were built within the company's existing distribution centre, providing highly efficient operation with retail packaging and order fulfilment in the same location. The initial focus for the facility will be packaging GFI's branded North Lily and North Lily Organics ingredients into pillow bags and then distributing throughout North America. GFI will also be providing private label bagging services to third party customers at gross margins higher than fiscal 2023 consolidated gross margins.
• Named one of the Future 50 Fastest Growing Sustainable companies in Canada by Corporate Knights. Selected from a pool of 8,676 Canadian public and private companies, the Future 50 represent the 25 fastest-growing publicly traded companies (as measured by year-over-year revenue growth percentage) and the 25 fastest-growing privately owned companies (as measured by percentage growth in capital raised from their two most recent funding rounds) that earn more than 50 per cent of their revenue from sustainable sources

The unaudited condensed consolidated interim financial statements for the three months ended June 30, 2023, and related management's discussion and analysis (MD&A) for the three months ended June 30, 2023, are available under the company's profile at SEDAR+.

About Global Food and Ingredients Ltd.

Global Food is a fast-growing Canadian plant-based food and ingredients company, connecting the local farm to the global supply chain for peas, beans, lentils, chickpeas and other high-protein specialty crops. Global Food's vision is to become a vertically integrated farm-to-fork plant-based company providing traceable, locally sourced, healthy and sustainable food and ingredients. Global Food is organized into four primary business lines: core ingredients, value-added ingredients, plant-based pet food ingredients and downstream products. Headquartered in Toronto, Global Food buys directly from its extensive network of farmers, processes its products locally at its four wholly owned processing facilities in Western Canada and ships to 37 countries across the world.

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