REG - MicroSalt PLC - H1 2025 Trading Update

MicroSaltAnnouncement

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RNS Number : 6916V  MicroSalt PLC  18 August 2025

 

 

 

 

 

The information contained withing this announcement is deemed by the Company
to constitute inside information as stipulated under the Market Abuse
Regulations (EU) No. 596/2014 as incorporated into the laws of England and
Wales by virtue of the European Union (Withdrawal) Act 2018 (as amended) and
certain other enacting measures ("UK MAR"). With the publication of this
announcement via a Regulatory Information service ("RIS"), this inside
information is now considered to be in the public domain.

 

18 August 2025

MicroSalt plc

("MicroSalt" or the "Company")

 

 H1 2025 Trading Update

 

MicroSalt plc (AIM: SALT), a leading manufacturer of full-flavour natural salt
with approximately 50% less sodium, is pleased to announce continuing
advancement of its B2B bulk business during the six months ended 30 June 2025
("H1 2025"). Furthermore, it has recently received increased North America
volume projections from whom the Company describes as Customer 3, one of the
world's largest food, soft drink and snack manufacturers.

 

While non-contractual, MicroSalt is confident in these volume projections
which include a single new item, representing an addition to the Company's
existing sales pipeline with Customer 3 and its divisions. The volume
projections for this product (in North America only) indicate commencing
rollout in Q2 2026 and resultant sales exceeding $5m in 2026 and expanding to
$11m in 2027.

 

Meanwhile, the advancement of the Company's B2B bulk revenues continued during
H1 2025. Total sales were a Company record of $0.9m in H1 2025, an increase of
nearly $0.4m (c.72%) against H2 2024. Further, total H1 2025 sales represent
121% of sales for the entirety of 2024. This includes shipments to existing
markets of Mexico, United States and Canada, as well as newly opened markets
in the UK and Belgium.

 

Bulk sales in H1 2025 were dominated by repeat orders from different entities
and geographies of Customer 3, and in particular:

·   Customer 1 (Mexican division of Customer 3) purchased $0.6m for use in
three mainstream items with two more planned to begin in Q3 or Q4 2025;

·   Customer 2 (North American division of Customer 3 - Canada, US)
purchased $0.2m for one full brand (multiple items) with two more planned for
Q4 2025; and

·    Non bulk sales to retail and ecommerce customers total $0.1m.

 

Microsalt Premium, initially targeting the quick service and fast service
restaurant (QSR/FSR) market, has been expanded to include larger food service
outlets, GPO's and school districts with a focus on readymade menu items. We
continue to be in the final stages of consideration with a major fast-food
company.

 

Gross cash as at 30 June 2025 was US$0.9m (31 December 2024: US$0.3m)
following the fundraising of US$2.9m (before expenses) in February 2025. The
key movement in H1 2025 was a $1.2m investment in inventory to meet expected
much higher sales orders in H2 2025, albeit as detailed further below, there
will be some delays in new product formulations due to the US FDA's focus on
the elimination of petroleum-based food colourings alongside existing low
sodium initiatives. Accordingly, H2 2025 cash utilisation will be much lower
than that incurred in H1 2025.

 

Regulations globally continue to support the movement of healthier foods and
lower sodium consumption. The unexpected focus by the US FDA on the
elimination of petroleum-based food colouring has delayed the larger rollout
from Q4 2025 into 2026 which has resulted in the Company adjusting its 2025
sales estimate to $2.0m (previously $2.5m) with a continuing acceleration
through 2026 and 2027.

 

The Company is now projecting 2026 sales to total $6.7m based on in-hand
volume estimations and its current customer base.

 

Rick Guiney, CEO of MicroSalt, said: "We are pleased with our H1 2025 sales
results and continued scale up of our deployment with Customer 3 and its
group. The robust sales pipeline and our ability to deliver consistent
functionality across varied reformulation platforms underpins our confidence
of future success."

 

 

For more information, please visit www.microsaltinc.co
(http://www.microsaltinc.co) , follow on X @microSaltPLC or contact:

 

 MicroSalt plc                                   c/o +44 (0)20 4582 3500
 Rick Guiney, CEO

 Zeus (Nominated adviser and broker)             +44 (0)20 3829 5000
 David Foreman, James Edis (Investment Banking)

 Gracechurch Group (Financial PR)                +44 (0)20 4582 3500
 Heather Armstrong, Alexis Gore, Rebecca Scott

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About MicroSalt®

 

MicroSalt® produces a patented full-flavour, low-sodium salt for food
manufacturers and consumers.

 

MicroSalt is a major potential disruptor in the food market, thanks to its
micron sized particles which deliver the same sense of saltiness to a wide
range of foods but with approximately 50% less sodium. Excess sodium
consumption is a significant contributor to cardiovascular disease and
MicroSalt's solution meets the rising demand for healthier alternatives to
traditional salt. The WHO has set a target for reducing global sodium intake
by 30% by 2025, which it estimates will save 7 million lives by 2030.

 

Each year, cardiovascular disease costs the UK £19 billion - if the average
salt intake was reduced by one gram per day, it has been estimated that 4,147
lives and £288 million would be saved each year in the UK. As a nation, the
UK consumes 183 million kilograms of salt each year, and 70 per cent. of the
typical person's sodium intake is hidden in processed foods.

 

Operational since 2018, MicroSalt uses patent-protected technology which helps
create high barriers to entry within the reduced-sodium salt market. The group
has a US patent and 14 patent applications pending in other jurisdictions
globally.

 

The Directors believe that MicroSalt is well positioned to capture growth in
the low sodium market, which is expected to grow exponentially, and that there
is also potential to enter the larger salt market.

 

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