Q4 2026 Burcon NutraScience Corp Earnings Call

June 24, 2026

Operator: Good afternoon, everyone, thank you for participating in today's conference call to discuss Burcon NutraScience Corporation's fiscal 2026 results, year ended 31 March 2026. Joining us today are Kip Underwood, Burcon's Chief Executive Officer, Alex Varty, the company's Interim Chief Financial Officer. Following their presentation, we will open up the call for your questions. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star then one on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star then zero. Before we conclude today's call, I'll provide the company's safe harbor statement with the important cautions regarding the forward-looking statements made during this call. I would like to turn the call over to the CEO of Burcon, Mr. Kip Underwood. Sir, please go ahead.

Speaker #1: Good afternoon, everyone, and thank you for participating in today's conference call to discuss Burcon NutraScience Corporation's fiscal 2026 results for the year ended March 31, 2026. Joining us today are Keith Underwood, Burcon's Chief Executive Officer, and Alex Bardi, the company's Interim Chief Financial Officer.

Speaker #1: Following their presentation, we will open up the call for your questions. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press the star, then 1, on your telephone keypad.

Speaker #1: Should you need assistance during the conference call, you may signal an operator by pressing star, then 0. Before we conclude today's call, I will provide the company's safe harbor statement with important cautions regarding the forward-looking statements made during this call.

Speaker #1: Now, I would like to turn the call over to the CEO of Burcon, Mr. Keith Underwood. Sir, please go ahead.

Speaker #2: Thank you, operator, and good morning, good afternoon, or good evening to those attending the call today. We very much appreciate you taking time out of your day to spend with us.

Kip Underwood: Thank you, operator, and good morning, good afternoon, and good evening to those attending the call today. We very much appreciate you taking time out of your day to spend time with us. We want you all to have three takeaways from today's presentation. The first is that we are targeting a large growing market. The second, that our technology platform delivers highly differentiated products. I think three, maybe most importantly, is throughout fiscal 2026, we are delivering on commercial success. Our standard safe harbor statement. Before we get into fiscal 2026, I want to take a step back and go through a couple of key points as to why we are so excited about the opportunity in front of us. The first is, I think many of you can probably see, protein is everywhere.

Speaker #2: We want you all to have three takeaways from today's presentation. The first is that we are targeting a large, growing market. The second is that our technology platform delivers highly differentiated products.

Speaker #2: And I think three, maybe most importantly, is throughout fiscal '26, we are delivering on commercial success. Our standard safe harbor statement—before we get into fiscal '26, I want to take a step back and go through a couple of key points as to why we are so excited about the opportunity in front of us.

Speaker #2: The first, as I think many of you can probably see, is that protein is everywhere. If you've been in a grocery store, read a newspaper, or seen a commercial on television or streaming, you know that protein is hot.

Kip Underwood: If you've been in a grocery store, you've read a newspaper, you've seen a commercial on television or streaming, protein is hot. Any consumer brand product that has a positioning on the front panel, 20 grams of protein, 30 grams of protein, 10 grams of protein per serving, those types of consumer products are bullseyes for Burcon's technology. That is where we are, in fact, the most relevant. Tremendously exciting market, protein is everywhere. It's not just a fad, right? There's some fundamental drivers at the consumer level that are driving protein demand and the opportunity for us. The first and foremost is people seeking better nutrition. What is accelerating the protein growth beyond better nutrition is GLP-1 or weight loss medication. When people are on this medication, which is growing rapidly, they need more protein on less calories.

Kip Underwood: If you've been in a grocery store, you've read a newspaper, you've seen a commercial on television or streaming, protein is hot. Any consumer brand product that has a positioning on the front panel, 20g of protein, 30g of protein, 10g of protein per serving, those types of consumer products are bullseyes for Burcon's technology. That is where we are, in fact, the most relevant. Tremendously exciting market, protein is everywhere. It's not just a fad, right? There's some fundamental drivers at the consumer level that are driving protein demand and the opportunity for us. The first and foremost is people seeking better nutrition. What is accelerating the protein growth beyond better nutrition is GLP-1 or weight loss medication. When people are on this medication, which is growing rapidly, they need more protein on less calories.

Speaker #2: Any consumer brand product that has a position on the front panel—20 grams of protein, 30 grams of protein, 10 grams of protein per serving—those types of consumer products are bull's eyes.

Speaker #2: For Burcon's technology, that is where we are, in fact, the most relevant. So, tremendously exciting market—protein is everywhere. And it's not just a fad.

Speaker #2: Right? So there are some fundamental drivers at the consumer level that are driving protein demand, and the opportunity for us. The first and foremost is people seeking better nutrition.

Speaker #2: What is accelerating the protein growth beyond better nutrition is GLP-1, or weight loss medication. When people are on this medication, which is growing rapidly, they need more protein on fewer calories.

Speaker #2: That drives up protein demand, which is great for us. What is also great for us in this market now is that, as demand increases, we're seeing constraints for other protein sources.

Kip Underwood: That drives up protein demand, is great for us. What is also great for us in this market now is as demand drives up, we're seeing constraints for other protein sources, again, driving up opportunity for plant-based proteins like ours. Again, long term, we see 8% to 10% CAGRs for this. Great opportunity for protein in the marketplace today. Specifically for Burcon, right? We have a technology platform that is now proven at commercial scale. Fundamentally what this does, it delivers unmatched purity in the marketplace. That unmatched purity helps brand owners solve problems, deliver great-tasting products that end consumers want to buy and enjoy, and meet their needs. We've applied the proven technology platform across our sunflower, our pea protein, our FavaPro fava protein, and our Puratein canola protein.

Speaker #2: Again, driving up opportunity for plant-based proteins like ours. And again, long-term, we see 8% to 10% CAGRs for this great opportunity for protein in the marketplace today.

Speaker #2: And specifically for Burcon, right? We have a technology platform that is now proven at commercial scale. And fundamentally, what this does is it delivers unmatched purity in the marketplace.

Speaker #2: And that unmatched purity helps brand owners solve problems, deliver great-tasting products that end consumers want to buy and enjoy, and meet their needs.

Speaker #2: We've applied the proven technology platform across our sunflower, our pea protein, our fiber-pro fiber protein, and our puritin canola protein. So we have a technology platform that is proven across multiple products delivering the unmatched purity and more unmatched purity in the marketplace which delivers great tasting solutions to our customers.

Kip Underwood: We have a technology platform that is proven across multiple products, delivering the unmatched purity in the marketplace, which delivers great-tasting solutions to our customers, those brand owners that you saw in the previous slide, delivering high protein products to consumers. Throughout the fiscal year, we have taken specific actions to capture this opportunity, and that now is the focus of the balance of our discussion today. If we have a great market and protein is in demand, and we have a technology platform that is now proven at commercial scale, what are the steps we have taken as Burcon to turn that opportunity into financial performance and eventually a profitable company? We'll go through it. We'll have a sales update, production update.

Speaker #2: Those brand owners that you saw in the previous slide are delivering high-protein products to consumers. Throughout the fiscal year, we have taken specific actions to capture this opportunity.

Speaker #2: And that now is the focus of the balance of our discussion today. So, if we have a great market and protein is in demand, and we have a technology platform that is now proven at commercial scale, what are the steps we have taken as Burcon to turn that opportunity into financial performance and, eventually, a profitable company?

Speaker #2: So, we'll go through it. We'll have a sales update, a production update, we'll talk about why we believe this is a great investment opportunity, and we'll close with the path to profitability—reviewing what we've done in the year, which then leads to the trajectory into fiscal '27.

Kip Underwood: We'll talk about why we believe this is a great investment opportunity, we'll close with the path to profitability, reviewing what we've done in the year that leads to trajectory into fiscal 2027. We start with some FY 2026 annual highlights. A little over a year ago, we had with our partner, RE ProMan, LLC, we had a manufacturing facility, a technology platform, and a plan. A little more than 12 months later, we have made significant progress. We've integrated the technology in the commercial scale facility. We've commissioned this technology and proven it at commercial scale. We have not just commercially produced our pea protein, canola protein, and fava protein, we have garnered repeat customer sales of all three of those, all along continually fueling our customer pipeline, our customer projects.

Kip Underwood: We'll talk about why we believe this is a great investment opportunity, we'll close with the path to profitability, reviewing what we've done in the year that leads to trajectory into fiscal 2027. We start with some FY 2026 annual highlights. A little over a year ago, we had with our partner,ProMan we had a manufacturing facility, a technology platform, and a plan. A little more than 12 months later, we have made significant progress. We've integrated the technology in the commercial scale facility. We've commissioned this technology and proven it at commercial scale. We have not just commercially produced our pea protein, canola protein, and fava protein, we have garnered repeat customer sales of all three of those, all along continually fueling our customer pipeline, our customer projects.

Speaker #2: We start with some FY26 annual highlights. A little over a year ago, with our partner ProMan, we had a manufacturing facility, a technology platform, and a plan.

Speaker #2: A little more than 12 months later, we have made significant progress. We've integrated the technology into the commercial-scale facility, commissioned this technology, and proven it at commercial scale.

Speaker #2: We have not just commercially produced our pea protein, canola protein, and fiber protein—we have garnered repeat customer sales of all three of those.

Speaker #2: All along, continually fueling our customer pipeline, our customer projects. And this business—customers changing products that we all buy at the grocery store or online—that's a 9- to 18-month process.

Kip Underwood: In this business, customers changing products that we all buy at the grocery store or online, that's a 9 to 18-month process. We always must have a robust pipeline to feed future growth. With that, I'll turn over to Alex for a few financial highlights.

Speaker #2: So, we always must have a robust pipeline to feed future growth. With that, I'll turn it over to Alex for a few financial highlights.

Speaker #3: Thank you, Kip. In respect of financial highlights, the big takeaway here is the translation of these operational achievements to Burcon's financial performance. In fiscal 2026, Burcon generated revenues of $2.3 million, which is a nearly sixfold increase over the prior year.

Alex Varty: Thank you, Kip. In respect of financial highlights, the big takeaway here is the translation of these operational achievements to Burcon's financial performance. In fiscal 2026, Burcon generated revenues of CAD 2.3 million to the nearly sixfold increase over the prior year. In both Q3 and Q4, we further posted double-digit quarter-over-quarter growth in revenues. Furthermore, in sales, we're seeing increases in repeat orders across our portfolio of plant proteins, demonstrating progress in customer adoption. Putting the sales to date in context, we've come a long way in one year from commissioning a production facility, integrating the technology, scaling production, attaining new customers, and getting customers through their ingredient adoption process to come to this repeat order stage. Looking forward into fiscal 2027, we expect to continue this momentum and growth and see significant quarter-over-quarter revenue growth. In respect of expenditures, our priority in fiscal 2026 was on commercial operations.

Speaker #3: In both Q3 and Q4, we further posted double-digit quarter-over-quarter growth in revenues. Furthermore, in sales, we're seeing increases in repeat orders across our portfolio of plant proteins, demonstrating progress in customer adoption.

Speaker #3: Putting the sales-to-date in context, we've come a long way in one year—from commissioning a production facility, integrating the technology, scaling production, attaining new customers, and getting customers through their ingredient adoption process to come to this repeat order stage.

Speaker #3: Looking forward into fiscal 2027, we expect to continue this momentum in growth and see significant quarter-over-quarter revenue growth. With respect to expenditures, our priority in fiscal 2026 was on commercial operations.

Speaker #3: As a result, we concentrated our resources on commissioning and scaling our production, which included the reallocation of labor. This led to a year-over-year decrease of 23% in general and administrative expenditures, and a 65% decrease in research and development.

Alex Varty: As a result, we concentrated our resources on commissioning and scaling our production, which includes the reallocation of labor. This led to a year-on-year decrease of 23% in general and administrative expenditures and a 65% decrease in research and development. Lastly, in fiscal 2026, we announced a CAD 6.9 million private placement of convertible notes, and we closed CAD 4 million of the offering in fiscal 2026, with the balance closed subsequent to year-end. The private placement was further significantly supported through participation by insiders and from the owners of the manufacturing facility, underscoring their belief in Burcon's momentum and its future. I'll turn it back to Kip now to provide more color on our sales growth and production.

Speaker #3: Lastly, in fiscal 2026, we announced a $6.9 million private placement of convertible notes, and we closed $4.0 million of the offering in fiscal 2026, with the balance closed subsequent to year-end.

Speaker #3: The private placement was further significantly supported through participation by insiders and from the owners of the manufacturing facility, underscoring their belief in Burcon's momentum and its future.

Speaker #3: I'll now alternate back to Kip to provide more color on our sales growth and production.

Speaker #2: Thanks, Alex. So, sales growth is the lifeblood of a company, right? If we look across our sales growth, there's a growth curve with a couple of key points.

Kip Underwood: Thanks, Alex. Sales growth is the lifeblood of a company, right? If we look across our sales growth, there's a couple of key points. First is we mentioned a robust pipeline, more than 200 active projects. That is always growing. That is an evergreen thing. Second, maybe more importantly, we've expanded our customer base. We now have 30-plus active buyers across our portfolio. Beyond those two bullet points, the other key takeaway is diversity. If we look at both the customer projects and the sales, we have good diversity across three dimensions. First is across food type, different food applications. We have sales into beverages, into nutrition bars, into plant-based foods, all of these different food types that are really around positioning protein to the end consumer. We have good diversity across company or brand.

Speaker #2: So, first is, we mentioned a robust pipeline—more than 200 active projects, and that is always growing. That is an evergreen thing. Second, maybe more importantly, we've expanded our customer base.

Speaker #2: We now have 30-plus active buyers across our portfolio. Beyond those two bullet points, the other key takeaway is diversity. If we look at both the customer projects and the sales, we have good diversity across three dimensions.

Speaker #2: First is across food types—different food applications. So we have sales into beverages, into nutrition bars, into plant-based foods. All of these different food types are really centered around positioning protein to the end consumer.

Speaker #2: We have good diversity across companies and brands. We have some well-known national brands that people would recognize, and we have a list of cutting-edge entrepreneurial brands that have the potential to deliver explosive growth in the future.

Kip Underwood: We have some well-known national brands that people would know, and we have a list of cutting-edge entrepreneurial brands that have the potential to deliver explosive growth into the future. Lastly, we have diversity across the portfolio. We have sales of canola and pea protein and fava protein across the portfolio. Diversity of food type or application, diversity of customer brand, and diversity of product. All of this both on one hand, de-risk the growth in the future, and on the other hand, gives us the opportunity to grow even faster. As evidenced, we're delivering, right? The last two quarters, we've delivered double-digit quarter-on-quarter growth, and we recently communicated substantive quarter looks like our fiscal Q1 will deliver 50% quarter-on-quarter growth compared to last quarter. Stacking on customers, stacking on growth, stacking on growth in a very diverse way bodes well for our future.

Speaker #2: And lastly, we have diversity across the portfolio. So, we have sales of canola and pea protein, and fiber protein across the portfolio. So, diversity of food type for application, diversity of customer brand, and diversity of product.

Speaker #2: All of this, both, on one hand, de-risks growth in the future and, on the other hand, gives us the opportunity to grow even faster.

Speaker #2: And as evidenced, we're delivering, right? So, the last two quarters, we've delivered double-digit quarter-on-quarter growth, and we recently communicated, subsequent to the quarter, it looks like our fiscal Q1 will deliver 50% quarter-on-quarter growth compared to the last quarter.

Speaker #2: So stacking on customers, stacking on growth, stacking on growth in a very diverse way, bodes well for our future. Those who have heard me in the past will have heard me use the phrase, "You cannot sell it until you can make it." Lots of work with our alliance partner, ProMan, on scaling our manufacturing facility, deriving both hourly, daily, weekly, and monthly improvements.

Kip Underwood: Those who have heard me in the past, I've used the phrase, "You cannot sell it until you can make it." Lots of work with our alliance partner, ProMan, on scaling our manufacturing facility, deriving both hourly, daily, weekly, monthly improvement. As evidenced, we recently announced achieving another production performance record, 60% higher daily production than the previous quarter. We're ramping up production to meet those sales. It's high-quality product. That is validated really two ways. First is third party. We are audited by BRC. We're kosher certified. We're allergen-free. The facility is organic certified. Second, and possibly the most important validation we can receive is in the repeat purchase from our customers. They've gone through their validation process. They've made a formulation choice. They have bought once. They've brought that product into the facility.

Speaker #2: As evidenced, we recently announced achieving another production performance record—60% higher daily production than the previous quarter. So, we're ramping up production to meet those sales.

Speaker #2: And it's a high-quality product. That is validated really two ways. First is third-party. We are audited by BRC, we're kosher-certified, we're allergen-free, and the facilities are canning-certified.

Speaker #2: Second, and possibly the most important validation we can receive, is in the repeat purchase from our customers. They've gone through their validation process. They've made their formulation choice.

Speaker #2: They have bought once. They've brought that product into the facility. They have made the products that we all go to the store, buy, and enjoy, and they've come back and they've done it again.

Kip Underwood: They have made the products that we all go to the store, buy, and enjoy, and they've came back, and they've done it again. That really is the single biggest validation that we can produce, that our technology platform produces high-quality products at scale and consistently to meet, if not exceed, our customers' expectations. If we put the market, the technology platform, and our track record of saying what we do and doing what we say, delivering on commercial success over the past year, this is fundamentally what we believe. There's a tremendous opportunity for Burcon in the future and an opportunity for our investors to come along this journey with us. We're in phase I right now, leaning towards the more the end of that phase as we establish product. In the coming year, we'll move into phase II, which is more scaling.

Speaker #2: And that really is the single biggest validation that we can produce—that our technology platform produces high-quality products at scale, and consistently meets, if not exceeds, our customers' expectations.

Speaker #2: If we put the market, the technology platform, and our track record of saying what we do and doing what we say, delivering on commercial sales over the past year.

Speaker #2: This is fundamentally what we believe: there's a tremendous opportunity for Burcon in the future, and an opportunity for our investors to come along on this journey with us.

Speaker #2: We're in phase one right now, leaning more towards the end of that phase as we establish product. In the coming year, we'll move into phase two, which is more about scaling.

Speaker #2: And then phase three, and into the future, is really about advancing the technology further beyond our current footprint. Exciting times ahead for Burcon. We hope, want, and wish for our investors to come along this ride with us.

Kip Underwood: Phase III into the future is really around advancing the technology further beyond our current footprint. Exciting times ahead for Burcon. We hope, want, and wish our investors to come along this ride with us. I started with saying, a little over a year ago, we had a manufacturing facility, a technology platform, and a plan. Over the past 12-plus months, we have laid down consistent markers that demonstrate our ability to turn innovation into commercial reality, into financial performance. Going way back with our partner, ProMan, with the facility commissioning, launching three brand-new products to the market based on our technology platform, achieving our initial revenue guidance for the calendar 2025 back in December, robust pipeline, record production performance, and as we've mentioned, greater than 30 buying customers in less than 12 months.

Speaker #2: I started with saying, a little over a year ago, we had a manufacturing facility, a technology platform, and a plan. And over the past 12-plus months, we have laid down consistent markers that demonstrate our ability to turn innovation into commercial reality, into financial performance—going way back with our partner ProMan, with the facility, facility commissioning.

Speaker #2: Launching three brand-new products to the market based on our technology platform. Achieving our initial revenue guidance for calendar '25, set back in December. Robust pipeline and record production performance.

Speaker #2: And as we've mentioned, greater than 30 buying customers in less than 12 months. This track record, we believe, is a harbinger of things to come.

Kip Underwood: This track record, we believe, is a harbinger of things to come with the market, our technology platform, and our team. Our job now is to actually accelerate the trajectory of the business on to deliver against our commitment to the market of CAD 10 million in sales in calendar 2026 and a position of having positive operating cash flow. Thank you for your time today. With that, operator, I will turn it back to you for questions.

Speaker #2: With the market, our technology platform, and our team, our job now is to actually accelerate the trajectory of the business to deliver against our commitments to the market of $10 million in sales in calendar 2026, and a position of having positive operating cash flow.

Speaker #2: Thank you for your time today. With that, operator, I will turn it back to you for questions.

Speaker #1: Thank you. We will now begin the question-and-answer session. To ask a question, you may press star, then the number one on your telephone keypad.

Operator: Thank you. We will now begin the question and answer session. To ask a question, you may press star then the number 1 on your telephone keypad. If you're using a speakerphone, please pick up your handset before pressing the keys. To withdraw your question, please press star followed by the number 2. One moment please for your first question. Your first question comes from the line of Dave Storms with Stonegate. Please go ahead.

Speaker #1: If you're using a speakerphone, please pick up your handset before pressing the keys. To withdraw your question, please press the star key followed by the number two.

Speaker #1: One moment, please, for your first question. And your first question comes from the line of Dave Storms with Stonegate. Please go ahead.

Dave Storms: Hey, Kevin. Thanks for taking my questions, Kevin Krishnaratne.

Speaker #3: Hey, Captain. Thanks for taking my questions, Captain Alex. Just hi. Maybe I just wanted to get started with what you're seeing in terms of an adoption curve.

Operator: Okay.

Kip Underwood: Hi.

Dave Storms: What you're seeing in terms of an adoption curve. You guys had a really strong quarter, a transformative year. You brought a lot of proteins online. Are you seeing the same adoption curve regardless of the protein type, or do they each have their own nuance that makes one more or less challenging, quicker, faster uptake, et cetera?

Speaker #3: You guys had a really strong quarter, transformative year. You brought a lot of proteins online. Are you kind of seeing the same adoption curve regardless of the protein type?

Speaker #3: Or do they each have their own nuance that makes one more or less challenging—quicker, faster uptake, etc.?

Kip Underwood: Sure. Thank you, Dave. I think in general, if you take our win percentage as an example, that is pretty consistent across product or food application type. The time element does move a minute, and there's a couple of reasons for that. One is if you think about food, part of a customer's decision process or different food type is they go through shelf life testing. Shelf life testing you do for a powder is less time than shelf life testing that is done on a liquid, as an example. The food type impacts the length of time, and then I'll take our FavaPro, which is a little more new to the world ingredient. Because it's new to the world, some of those projects will take a little bit longer because it's even newer and more differentiated than maybe some of other products.

Speaker #2: Thank you, Dave. I think, in general, if you take your R1 percentage as an example, that is pretty consistent across product or food or food application type.

Speaker #2: Right? Now, the time element does move a minute, and there are a couple reasons for that. So, one is that, if you think about food, part of a customer's decision process for a different food type is they go through shelf life testing.

Speaker #2: Well, shelf life testing you do for a powder is less time than shelf life testing that is done on a liquid, as an example.

Speaker #2: So the food type impacts the length of time. And then I'll take our FiberPro, which is a little more new-to-the-world ingredient.

Speaker #2: Because it's new to the world, some of those projects will take a little bit longer, because it's even newer and more differentiated than maybe some other products.

Speaker #2: So, when percentage is pretty consistent, length of time could be impacted by a variety of factors. One example, again, is the length of time for shelf life was driven by food type, by our customer, or the newness of the technology. The newer it is, maybe the more time it might take for a customer to become familiar with it and really take advantage of its strengths.

Kip Underwood: Win percentage, pretty consistent. Length of time can be impacted by a variety of factors. One example, again, is length of time for shelf life, which is driven by food type, by our customer, or the newness of the technology. The newer it is, maybe the more time it might take for a customer to become familiar with it and really take advantage of its strengths.

Dave Storms: Understood. That's very helpful. Thank you. As we're looking into the future, you mentioned phase II is going to be more about scale. I guess, how should we be thinking about the drivers here? Is that going to be more use cases for current proteins? Is it going to be increasing capacity at the ProMan? I know you mentioned repeat orders are important. Is that going to be expanding order size? Hopefully all of the above. I guess, what do you see as some of the keys going into phase II?

Speaker #3: Understood. That's very helpful, thank you. As we're looking into the future, you mentioned phase two is going to be more about scale. I guess, how should we be thinking about the drivers here?

Speaker #3: Is that going to be more use cases for current proteins? Is it going to be increasing capacity at the ProMan? I know you mentioned repeat orders are important.

Speaker #3: Is that going to be expanding order size, or hopefully all of the above? I guess, what do you see as some of the keys going into this phase?

Speaker #2: Well, first and foremost, we want to make sure we take care of our existing customers. As they grow, we grow with them. Also, we saw that the protein market is exploding.

Kip Underwood: Well, the first and foremost is to be sure we take care of the existing customers. As they grow, we grow with them. We saw the protein market exploding. More and more consumers are seeking protein position products. The consumer products are growing, therefore we grow with our existing customer base. First and foremost is take care of them. Second is driving new customer adoption, which in general is new customer launches or change of existing products. We got to drive on those. Third really is, I think you mentioned on the capacity side, we have to be sure that we can ramp with our partner production capability in line to stay ahead of the demand.

Speaker #2: More and more consumers are seeking protein-positioned products, so the consumer products segment is growing. Therefore, we grow with our existing customer base. So, first and foremost is to take care of them.

Speaker #2: Second is driving new customer adoption, which in general is new customer launches or changes to existing products. We've got to drive those.

Speaker #2: And then third, really, is—I think you mentioned—the capacity side. We have to be sure that we can ramp with our partner production capability in line to stay ahead of the demand.

Speaker #2: There are certain capacity expansions that we had inside the footprint plan with our partner, and we're continuing to execute against those. We're always evaluating what other potential investments we might make to stay ahead of the customer demand growth that we are seeing now and expect in the future as well.

Kip Underwood: There are certain capacity expansions that we had inside the footprint plan with our partner that we're continuing executing against those. We're always evaluating what other potential investments might we do to stay ahead of the customer demand growth that we are seeing now and expect in the future as well.

Dave Storms: That's fair. Maybe if I could hold on that production capacity for just a second. I know you mentioned, I believe, in your prepared remarks and in the releases that as the quarter went on, capacity, or excuse me, utilization continued to increase. I guess, what does it take to get to 100% utilization? Is that even possible? Is that a goal? Is it just a matter of increasing orders? Is it a financing constraint? I guess, how should we think about capacity and utilization there?

Speaker #3: That's perfect. And maybe if I could hold on that production capacity for just a second. I know you mentioned, I believe, in your prepared remarks and the releases that as the quarter went on, capacity—or, excuse me, utilization—continued to increase.

Speaker #3: I guess, what does it take to get to 100% utilization? Is that even possible? Is that a goal? Is it just a matter of increasing orders?

Speaker #3: Is it a financing constraint? I guess, how should we think about capacity and utilization there?

Speaker #2: So, the existing footprint—we have a few capital expenditures to go through, funded by our partner, ProMan. It was part of our original agreement.

Kip Underwood: The existing footprint, we have a few capital expenditures to go through funded by our partner, ProMan. It was part of our original agreement. We're finishing those up here in the coming months. At that point in time, we have the facility capability to deliver against any financial commitment we've made to the marketplace. We are always evaluating how might we invest beyond that, how might we stay further ahead of that growth curve. We're evaluating those things, and as things come to fruition, we'll bring those forward to market.

Speaker #2: So we're finishing those up here in the coming months. At that point in time, we have the facility capability to deliver against any financial commitment we've made to the marketplace.

Speaker #2: And then, we are always evaluating: how might we invest beyond that? How might we stay further ahead of that growth curve? And we're evaluating those things.

Speaker #2: And as things come to fruition, we'll bring those forward to the market.

Speaker #3: That's all great. I really appreciate you taking the time to answer my questions. And good luck in fiscal '27.

Dave Storms: That's all great, Colin. I really appreciate you taking the time to answer my questions, and good luck in fiscal 2027.

Speaker #2: Thanks, Dave. Appreciate it.

Kip Underwood: Thanks, Dave. Appreciate it.

Speaker #1: I'm showing no further questions at this time. I would like to pass it over to Alex Marty, Interim CFO, for questions from the webcast.

Operator: I'm showing no further questions at this time. I would like to pass it over to Alex Varty, Interim CFO for questions from the webcast.

Speaker #4: Thank you. We have a question from a private investor: given the current cash position and growth trajectory, can you scale to your target using existing capital, or will additional financing be required?

Alex Varty: Thank you. We have a question from a private investor. Given the current cash position and growth trajectory, can you scale to your target using existing capital, or will additional financing be required? Would we be looking at a dilution or institutional investors?

Speaker #4: Would we be looking at a dilution or institutional investors?

Speaker #2: So I think there are two answers to that question. One is, when we complete the investment with our partner ProMan that we just mentioned, the facility has the capability to get where we need to get.

Kip Underwood: I think there's two answers to that question. One is, when we complete the investment with our partner, ProMan, that we just mentioned, the facility has the capability to get what we need to get. The second piece of the puzzle is, we see tremendous growth potential out there. How do we lean in and stay ahead of that curve? Those are things we're evaluating right now. Anything in the near term would most likely be debt in the near term. We'll evaluate those. Our commitment is we're not going to seek additional investment unless we see growth potential in front of us and it clearly makes sense.

Speaker #2: The second piece of the puzzle, then, is we see tremendous growth potential out there. How do we lean in and stay ahead of that curve?

Speaker #2: And those are things we're evaluating right now. Anything in the near term would most likely be debt. We'll evaluate those.

Speaker #2: Our commitment is that we're not going to seek additional investment unless we see growth potential in front of us and it clearly makes sense.

Speaker #4: Okay. We have one additional question from a private investor. Given the company's low trading volume, how do we see that changing over time to increase share price and trading volume, and to get market recognition for the company's achievements?

Alex Varty: Okay. We have one additional question also from a private investor, given the company's low trading volume, how do we see that changing over time to increase share price and increase trading volume to get the market recognition for the company's achievements.

Speaker #2: Thank you for the question. Certainly something that is top of our mind as well. There are a couple of phases to this. So, one, we made a conscious choice over the last six months to really take all of our efforts, our time, our money, and our attention to driving on production and sales.

Kip Underwood: Thank you for the question. Certainly something that is top of our mind as well. There's a couple phases to this. One, we made a conscious choice over the last six months to really take all of our efforts, our time, our money, our attention to driving on production sales. That's the lifeboat of the company, and we have to get that right first. We think we've, as we've talked, tremendous progress at FY2026. We're now at a place where we believe it does make sense to be more proactive with capital markets. We are working on plans to do so. You'll see more from us in the coming months.

Speaker #2: That's the lifeblood of the company. We have to get that right first. And we think, as we've talked about, tremendous progress in FY26. We're now at a place where we believe it does make sense to be more proactive with capital markets.

Speaker #2: We are working on plans to do so, and you'll see more from us in the coming months. Certainly, trading volume and liquidity are things we know all investors desire, and they are areas where we want to be more proactive.

Kip Underwood: Certainly, trading volume and liquidity is something that we know all investors desire and something that we want to be more proactive in, frankly, to get more awareness and the credit for the achievements that the company has made over the past year.

Speaker #2: Frankly, to get more awareness and credit for the achievements that the company has made over the past year.

Speaker #4: Great. Thank you, Kip. We have no more questions from the webcast.

Alex Varty: Great. Thank you, Kip. We have no more questions from the webcast.

Speaker #1: All right. Thank you, everyone. That's all the time we have for questions today. This concludes our question and answer session. I would like to turn the call back to Mr. Underwood for closing remarks.

Operator: All right. Thank you, everyone. That's all the time we have for questions today. At this time, this concludes our question-and-answer session. I would like to turn the call back to Mr. Underwood for closing remarks. Sir, please go ahead.

Speaker #1: Sir, please go ahead.

Speaker #2: Thanks, operator. And really, thank you to everyone here on the phone with us today. We really appreciate your time, your interest, and most of all, your investment in Burcon.

Kip Underwood: Thanks, operator. Really thank you to all here on the phone with us today. Really appreciate your time, your interest, and probably your investment in Burcon. We do not take that responsibility lightly. I would also like to take a moment to thank the team. We have a team of individuals that wake up every day, put two feet on the ground, and are dedicated to building the most innovative plant protein company in the world. That is what we are here to do. That is what we are going to do. Thank you all. Have a great day.

Speaker #2: We do not take that responsibility lightly. I would also like to take a moment to thank the team. We have a team of individuals that wake up every day, put two feet on the ground, and are dedicated to building the most innovative plant protein company in the world.

Speaker #2: And that is what we are here to do. That's what we are going to do. Thank you all. Have a great day.

Speaker #1: Before we conclude today's call, I would like to take a moment to read the company's Safe Harbor statement. This call contains forward-looking statements or forward-looking information.

Operator: Before we conclude today's call, I would like to take a moment to read the company's safe harbor statement. This call contains forward-looking statements or forward-looking information within the meaning of the US Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Forward-looking statements or forward-looking information involve risks, uncertainties, and other factors that could cause actual results, performances, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements or forward-looking information can be identified by words such as "anticipate," "intend," "plan," "goal," "project," "estimate," "expect," "believe," "future," "likely," "can," "may," "should," "could," "will," "potentially," and similar references to future periods. All statements other than statements of historical fact included during this call are forward-looking statements.

Speaker #1: But in the meaning of the US Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation, forward-looking statements or forward-looking information involve risks and uncertainties and other factors that could cause actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements.

Speaker #1: Forward-looking statements or forward-looking information can be identified by words such as anticipate, intend, plan, goal, project, estimate, expect, believe, future, likely, can, may, should, could, will, potentially, and similar references to future periods.

Speaker #1: All statements, other than statements of historical fact, included during this call are forward-looking statements. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements or information.

Operator: There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements or information. Important factors that could cause actual results to differ materially from Burcon's plans and expectations include the actual results of business negotiations, marketing activities, adverse general economic, market, or business conditions, regulatory changes, and other risks and factors detailed herein and from time to time in the filings made by Burcon with securities regulators and stock exchanges, including in the section entitled "Risk Factors" in Burcon's annual information form filed with the Canadian securities administrators on www.sedarplus.ca.

Speaker #1: Important factors that could cause actual results to differ materially from Birkin's plans and expectations include the actual results of business negotiations, marketing activities, adverse general economic, market, or business conditions, regulatory changes, and other risks and factors detailed herein, and from time to time in the filings made by Birkin with securities.

Speaker #1: Regulators and stock exchanges, including in the section entitled 'Risk Factors' in Burcon's Annual Information Form filed with the Canadian Securities Administrators on www.sedarplus.ca. Any forward-looking statements or information only speak as of the date on which they were made, except as may be required by applicable securities laws.

Operator: Any forward-looking statements or information only speaks as of the date on which it was made, and except as may be required by applicable securities laws, Burcon disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise. Although Burcon believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance, and accordingly, investors should not rely on such statements. Finally, I would like to remind everyone that this call is being recorded, and the webcast will be available for replay on the company's website starting later this evening. Thank you, ladies and gentlemen, for joining us today for our presentation. You may now disconnect.

Speaker #1: Birkin disclaims any intent or obligation to update any forward-looking information, future events, or otherwise. Although Birkin believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance, and, accordingly, investors should not rely on such statements.

Speaker #1: Finally, I would like to remind everyone that this call is being recorded, and the webcast will be available for replay on the company's website starting later this evening.

Q4 2026 Burcon NutraScience Corp Earnings Call

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Burcon NutraScience

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