• Continuing to add major retail partners; now serving thousands of stores across North America
  
• Amazon sales increased approximately 92% and 330% over the same quarter last year in the U.S. and Canada, respectively
• Conference Call to be Held Today at 10:00 AM Eastern Time

ELSE NUTRITION HOLDINGS INC. (BABY) (BABYF) (0YL.F) ("Else" or the "Company"), today reported financial results for the first quarter ended March 31, 2024. The financial statements and MD&A are available on SEDAR under the Company’s profile.

“We are proud of our strong start to 2024 with multiple, significant retail partners signing on to carry our products,” commented, Hamutal Yitzhak, CEO of Else Nutrition. “We remain committed to providing dairy and soy-free alternatives to families around the world and are rapidly gaining traction within the market. Although we continued to experience temporary order delays from certain large retailers that impacted our revenue for the quarter, the outlook for the full year is extremely positive and we have received very favorable feedback from both retailers and consumers. This is illustrated by the continued adoption of our products by major retailers within the United States and Canada. The increase in consumer awareness and demand is also evident in the Amazon platform, with first quarter 2024 sales increasing approximately 92% and 330% in the U.S. and Canada, respectively, over the same period last year. Even more notable, Amazon sales increased sequentially from the fourth quarter of 2023 by 13% and 65% within the U.S. and Canada, respectively.”

“Furthermore, we are seeing remarkable success with our kids ready-to-drink shakes, with new and existing retailers onboarding the product. Given we only launched the product late last year, we anticipate additional growth throughout the reminder of the year as we continue to increase brand awareness. In addition, we expect to launch our adult ready-to-drink product during the summer, which we believe will receive similar traction in the market, further propelling our growth.”

“Importantly, we recently announced the highly anticipated first commercial launch of our groundbreaking plant-based infant formula in Australia. Our plant-based formula addresses an unmet need in the market, with a desired composition that is free of antibiotics, hormones, pesticides, GMOs, and heavy metals—all of which are an increasing concern for parents. The core ingredients, almonds, buckwheat, and tapioca, have a ~65% lower carbon footprint and require zero chemical processing, keeping proteins intact. Our product is meticulously crafted to support infants aged 6-12 months as they transition to solid foods, ensuring they receive essential nutrients for optimal growth and development. We are very proud to have achieved this major milestone.”

“Overall, we continue to make meaningful progress in terms of product launches, expanding our retail network, increasing our international market penetration, and growing our online sales, while carefully managing our expenses. We look forward to achieving additional milestones in the near-term and will keep our shareholders updated as developments unfold,” concluded Ms. Yitzhak.

2024 First Quarter Financial Results
All figures are in CAD unless otherwise indicated.

• Revenue for Q1 2024 decreased approximately 27% to $2.1 million compared to $2.9 million for the same period last year. This decrease was primarily due to delays in shipments of products to retailers.
• Operating expenses for Q1 2024 decreased 15% to $4.2 million compared to $4.9 million in Q1 2023.
• Cash balance as of March 31, 2024, was $3.1 million (including restricted cash and short term bank deposits).

Conference Call

Else Nutrition management plans to host a business update conference call today at 10:00 a.m. Eastern Time to discuss the Company’s financial results for the 2024 first quarter ended March 31, 2024, as well as the Company’s corporate progress and other developments.

The conference call will be available via telephone by dialing toll free 1-877-704-4453 for U.S. callers or +1-201-389-0920 for international callers. A webcast of the call may be accessed at https://viavid.webcasts.com/starthere.jsp?ei=1670081&tp_key=b5d07769b3 or on the Investor Relations section of the Company’s website at https://investors.elsenutrition.com/.

A webcast replay will be available on the Investor Relations section of the Company’s website (https://investors.elsenutrition.com/), through May 15, 2025. A telephone replay of the call will be available approximately three hours following the call, through May 22, 2024, and can be accessed by dialing 1-844-512-2921 for U.S. callers or +1-412-317-6671 for international callers and entering conference ID: 13746526.

To delve deeper into Else Nutrition's offerings and its revolutionary approach to kids' nutrition, visit www.elsenutrition.com

About Else Nutrition Holdings Inc.
Else Nutrition Holdings Inc. (TSX: BABY, OTCQX: BABYF, FSE: 0YL) is a food and nutrition company in the international expansion stage focused on developing innovative, clean, and plant-based food and nutrition products for infants, toddlers, children, and adults. Its revolutionary, plant-based, non-soy formula is a clean-ingredient alternative to dairy-based formulas. Since launching its Plant-Based Complete Nutrition for Toddlers, made of whole foods, almonds, buckwheat, and tapioca, the brand has received thousands of powerful testimonials and reviews from parents, gained national retailer support, and achieved rapid sales growth.

Awards and Recognition:

• “2017 Best Health and Diet Solutions” award at Milan's Global Food Innovation Summit
• #1 Best Seller on Amazon in the Fall of 2020 in the New Baby & Toddler Formula Category
• “Best Dairy Alternative” Award 2021 at World Plant-Based Expo
• Nexty Award Finalist at Expo West 2022 in the Plant-Based lifestyle category
• During September 2022, Else Super Cereal reached the #1 Best Seller in Baby Cereal across all brands on Amazon

Investor Relations Contact:
Alexandra Schilt
Crescendo Communications, LLC
Office: (212) 671-1020
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

TSX

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Caution Regarding Forward-Looking Statements

This press release contains statements that may constitute “forward-looking statements” within the meaning of applicable securities legislation. Forward-looking statements are typically identified by words such as “will” or similar expressions. Forward-looking statements in this press release include statements with respect to the anticipated dates for filing the company's financial disclosure documents. Such forward-looking statements reflect current estimates, beliefs, and assumptions, which are based on management's perception of current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. No assurance can be given that the foregoing will prove to be correct. Forward-looking statements made in this press release assume, among others, the expectation that there will be no interruptions or supply chain failures as a result of COVID-19 and that the manufacturing, broker, and supply logistic agreement with the company does not terminate. Actual results may differ from the estimates, beliefs, and assumptions expressed or implied in the forward-looking statements. Readers are cautioned not to place undue reliance on any forward-looking statements, which reflect management's expectations only as of the date of this press release. The company disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.