Executive Summary

Quarter ended November 30, 2022 (“Q4 FY2023”) revenue was $0.007M with gross profit of $0.001M; net loss narrowed to $0.660M from $0.787M in the prior quarter as operating expenses fell materially .
Management reiterated a “buy-and-build” strategy and highlighted Mango Moi integration; the quarter showed initial merchandise sales but continued going-concern risk given minimal revenues and working capital deficits .
In calendar Q4 2023, BFYW closed an asset purchase of The Ideation Lab brands (including Stephen James Curated Coffee Collection) for 300,000 Series A preferred shares, which is intended to accelerate growth in functional beverages and wellness portfolios .
Also in calendar Q4 2023, management proposed increasing authorized common shares to facilitate funding and growth; targeting $3.5M debt capital and ~$1.0M first-year gross sales post-funding with ~60% gross margin (strategic plan, not formal guidance) .

What Went Well and What Went Wrong

What Went Well

Operating expenses fell sharply versus prior year and sequentially, helping narrow quarterly net loss to $0.660M; share-based expense and SG&A reductions were the main drivers .
Mango Moi contributed reported quarterly revenue ($0.001M) as early commercialization actions continued; management cited “streamlining of manufacturing” supporting gross profit .
Strategic expansion: closed the asset purchase of Ideation Lab brands (SJCCC coffee line) to bolster growth channels across Kroger, Amazon and other retailers, positioning BFYW for broader distribution .

What Went Wrong

Revenues remain de minimis ($0.007M) with limited product sales, keeping the company far from scale and profitability; going-concern uncertainty persists due to operating losses and working capital deficiency .
Gross profit was modest ($0.001M) and below prior-year period; management explained disruptions from reformulation/repackaging impacting sales and gross profit trends .
Convertible notes and related-party financing remain key funding sources; accrued interest and deferred compensation rose, elevating financial risk while equity dilution levers (authorized shares) are being pursued .

Financial Results

Metric	Q1 FY2023 (May 31, 2022)	Q2 FY2023 (Aug 31, 2022)	Q4 FY2023 (Nov 30, 2022)
Merchandise Sales ($USD Millions)	$0.013	$0.003	$0.007
Cost of Goods Sold ($USD Millions)	$0.010	$0.003	$0.006
Gross Profit ($USD Millions)	$0.003	$(0.001)	$0.001
Operating Expenses ($USD Millions)	$1.334	$0.707	$0.605
Operating Loss ($USD Millions)	$(1.331)	$(0.708)	$(0.604)
Net Loss ($USD Millions)	$(1.373)	$(0.787)	$(0.660)
Loss per Share ($USD)	$(0.00)	$(0.00)	$(0.00)
Weighted Avg Shares (Millions)	363.658	372.031	372.031

Segment/KPIs:

Mango Moi quarterly revenue ($USD Millions): Q4 FY2023 $0.001
Balance sheet KPIs ($USD Millions):

KPI	Q1 FY2023 (May 31, 2022)	Q2 FY2023 (Aug 31, 2022)	Q4 FY2023 (Nov 30, 2022)
Cash and Cash Equivalents	$0.003	$0.003	$0.003
Inventory	$0.007	$0.006	$0.002
Convertible Notes Payable (net)	$0.315	$0.522	$0.599
Deferred Compensation	$—	$0.258	$0.284
Accounts Payable (incl. accrued shown where applicable)	$0.173	$0.010	$0.312

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	FY (strategic plan, calendar Q4 2023)	Not provided	Target ~$1.0M gross sales in first year post-funding (plan)	New (strategic plan)
Gross Margin	Same	Not provided	Target ~60% gross margin (plan)	New (strategic plan)
Funding	Same	Not provided	Targeting $3.5M 5-year debt capital (plan)	New (strategic plan)
Share Authorization	Effective Jan 17, 2024	500M authorized	2,000M authorized common shares	Raised authorization

Note: BFYW did not issue formal numerical guidance in Q4 FY2023 filings; items above reflect strategic objectives disclosed subsequently in calendar Q4 2023 .

Earnings Call Themes & Trends

No earnings call transcript was located for Q4 FY2023; themes below reflect MD&A disclosures and calendar Q4 2023 press communications.

Topic	Previous Mentions (Q1 FY2023, Q2 FY2023)	Current Period (Q4 FY2023)	Trend
Buy-and-build strategy	Emphasized acquisitions (Mango Moi), in-house brand building	Reiterated; early sales and manufacturing streamlining	Consistent
Market opportunity	Targeting $1.5T wellness market	Same positioning	Stable
Operating costs	High SG&A; plan to taper legal and overhead	Lower Opex vs prior year; continued cost focus	Improving
Supply chain/product reformulation	Ingredient/supply disruptions cited	Reformulation/repackaging constrained sales	Mixed headwind persists
Financing/liquidity	Convertible notes, related-party funding	Higher notes/interest; continued reliance	Elevated risk
Strategic expansion (coffee)	LOI for Ideation Lab/The Jordre Well	Asset purchase closed (SJCCC, broader portfolio)	Positive inflection

Management Commentary

“We are a sustainable brands and services company… evaluating opportunities targeting six goals-based wellness categories… to create a leading global wellness conglomerate.”
“We recorded $605,163 and $1,066,097 in Operating Expenses for the three months ended November 30, 2022, and 2021… decrease due to reduced stock option expenses… and reduction in legal fees, marketing….”
“We aim to become a major participant in the $1.5 trillion global wellness industry.”
Calendar Q4 2023: “The closure of The Ideation Lab deal secures perpetual rights to divisions and brands, including the exceptional Stephen James Curated Coffee Collection brand… we foresee significant synergies…” .

Q&A Highlights

No analyst Q&A transcript was found for Q4 FY2023; filings provide qualitative MD&A and subsequent press materials .

Estimates Context

Wall Street (S&P Global) consensus estimates were unavailable for BFYW for Q4 FY2023 due to coverage gaps on the OTC microcap. As a result, no EPS or revenue estimate comparisons can be provided.*

Key Takeaways for Investors

Sequential loss narrowing driven by Opex reduction, but revenue remains immaterial ($0.007M), reinforcing reliance on external financing and increasing dilution/credit risk .
Mango Moi contributed initial reported revenue, yet reformulation/repackaging constrained quarterly sales; execution on product readiness and distribution is critical near term .
Strategic pivot toward functional beverages via Ideation Lab/SJCCC acquisition could provide nearer-term scale through existing Kroger/Amazon channels; integration and funding are gating factors .
Share authorization increase (to 2B) and proposed $3.5M debt plan are core to funding growth and retiring legacy obligations; monitor capital raises and terms closely .
Material weaknesses in controls previously disclosed and restatements highlight governance execution risk; watch ongoing remediation and audit progress .
Without Street coverage/estimates, trading is likely to be headline/transaction-driven; catalysts include tangible revenue traction from coffee/retail expansion and balance-sheet de-risking .

*Estimates unavailable via S&P Global for this ticker at time of analysis.

Better For You Wellness, Inc. (BFYW)·Q4 2023 Earnings Summary