Blue Star Foods Reports 14% Revenue Growth to $4.0 Million, Highlighted by 27% Increase in Gross Profit for the First Half 2024

Blue Star Foods Corp., (“Blue Star,” the “Company,” “we,” “our” or “us”) (NASDAQ: 

BSFC

)

, an integrated Environmental, Social, and Governance (“ESG”) sustainable seafood company with a focus on Recirculatory Aquaculture Systems (“RAS”), announced unaudited financial and operational results for the three and six months ended June 30, 2024.

Key Financial Highlights for the Three Months Ended June 30, 2024

• Revenue increased 7% to $1.8 million
• Gross profit increased 264% to $0.3 million
• Gross margin increased 1,170 basis points to 16.6%
• Operating loss decreased 36% to $0.7 million
• Inventory and RAS biomass of $2.6 million
• Total assets of $8.1 million

Key Financial Highlights for the Six Months Ended June 30, 2024

• Revenue increased 14% to $2.3 million
• Gross profit increased 27% to $0.5 million
• Gross margin increased 120 basis points to 11.5%
• Operating loss decreased 24% to $1.5 million

Business Highlights for the Three Months Ended June 30, 2024

• Signed Agreement with to provide high-quality, nutritious meals for U.S. Military
• Land-based aquaculture license renewal thru 2033 covering white sturgeon, coho salmon, chinook salmon and rainbow trout

Business Highlights Subsequent to the Three Months Ended June 30, 2024

• Initiated roll-out and expected to expand to numerous military bases over the next few months
• Launched plans to improve its soft-shell crab operations by introducing cutting-edge technology that combines Artificial Intelligence (AI) with Ultraviolet (UV) light technology to revolutionize the industry’s standard molting crab identification process

Management Commentary

John Keeler, Chairman and CEO of Blue Star, commented, “Our first half 2024 results demonstrate the increase in business opportunities and revenue traction we are witnessing. The increased gross profit and gross margins are meaningful and drive incremental dollars to our operating line, which has been improving with each quarter. Our pipeline of existing and additional business remains strong, as our 2024 forecast of at least 65% revenue growth with an annual run-rate of greater than $20 million.”

Keeler, continued, “We are proud of our recent regaining Nasdaq listing compliance and believe our continued listing on a national exchange will better enable us to seek strategic opportunities such as strategic partnerships and acquisitions to complement our growth. We look forward to the remainder of 2024 as we embark on increasing our shareholder relations and outreach programs later in the fall.”

About Blue Star Foods Corp. (NASDAQ: BSFC)Blue Star Foods Corp. is an integrated ESG seafood company that processes, packages and sells high-value seafood products. The Company believes it utilizes best-in-class technology, in both resource sustainability management and traceability, and ecological packaging. The Company also owns and operates the oldest continuously operating RAS full grow-out salmon farm in North America. The Company is based in Miami, Florida, and its corporate website is: https://bluestarfoods.com

Forward-Looking Statements:

The foregoing material may contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. Forward-looking statements include all statements that do not relate solely to historical or current facts, including without limitation statements regarding the Company’s product development and business prospects, and can be identified by the use of words such as “may,” “will,” “expect,” “project,” “estimate,” “anticipate,” “plan,” “believe,” “potential,” “should,” “continue” or the negative versions of those words or other comparable words. Forward-looking statements are not guarantees of future actions or performance. These forward-looking statements are based on information currently available to the Company and its current plans or expectations and are subject to a number of risks and uncertainties that could significantly affect current plans. Risks concerning the Company’s business are described in detail in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, and other periodic and current reports filed with the Securities and Exchange Commission. The Company is under no obligation, and expressly disclaims any such obligation to, update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.

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