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| DAILY BRIEFING | | Today's news & insights for the food industry. |
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| In this issue of Daily Briefing | - 🍄 Meati's Funding Challenge
- 📈 UNFI Raises 2025 Outlook
- 🎯 MAHA Takes Aim At DGA
- 🏛️ Above Food Goes To Court
- 🧑💻 Kroger Turns On Ecommerce
- 🆕 What Else Is New?
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| 💭 Today’s Big Take | | | Our taste buds are still tingling after sampling the latest innovation at Natural Products Expo West last week. On the savory side, we spotted loads of chili lime, a smattering of everything bagel seasoning, and countless combinations of parmesan, truffle and/or garlic. The perennially popular peanut butter popped up in new launches from Honey Stinger and Purely Elizabeth, while nostalgic indulgences like s’mores and brownie batter inspired new offerings from Ellenos, Sunnie, Day Out Snacks, Oat Haus and Whoa Dough. However, three flavor profiles in particular stood out and showed versatility in a variety of product applications. Pickle is a big dill. This briny burger topper was belle of the ball, adding a tangy twist to snacks, condiments and more on display at Expo West. - Caulipower’s latest Dill Pickle Pizza launch features a stone-fired thin and crispy cauliflower crust topped with white bechamel sauce infused with dill pickle brine, mozzarella, roasted garlic and dill.
- Hippeas collaborated with Grillo’s Pickles on co-branded Dill Pickle chickpea puffs sampled at the show.
- Nuts for Cheese debuted its Dill Pickle Creamy Cashew Dip made with cultured cashew cream.
- Sunny showcased new dressings and drizzles that included a Dill Pickle variety made with avocado oil and extra virgin olive oil.
Hot honey is still blazing. The “swicy” duo put a sweet-heat spin on several new products on display, including Bezi Middle Eastern labneh dip and Lil Bucks Clusterbucks buckwheat snacks. - Boulder Canyon partnered with Mike’s Hot Honey on co-branded, kettle-style potato chips.
- Diamond debuted Hot Honey Walnuts made with Nature Nate’s Honey Co. branded hot honey.
- While the brand did not exhibit at the event, NUFS’ Hot Honey almond flour crackers were served alongside dips at several booths.
Oooh, ube. Hailing from the Phillippines, this purple yam appeared in a number of offerings at the show, including Pocket’s Chocolates Ube chocolate coated almonds, Tuk Tuk Go Ube-Taro protein powder and Kuli Kuli’s Ube-Coconut powdered latte mix. Wella Foods presented crispy treats including an Ube Bliss flavor featuring organic whole grain brown rice and quinoa crisps, coconut butter and cacao butter. Insiders can read more insights on product trends spotted at Expo West. |
| | ✨ What You Need to Know ✨ | | | Mycelium alt-meat producer Meati filed a Worker Adjustment and Retraining Notification Act (WARN) notice on Friday, signaling that if it is unable to secure alternative funding within 60 days, it will have to lay off its entire 150-person workforce and shutter its Thorton, Colo., production facility. 💸 How did this happen? Meati’s primary lender pulled nearly two-thirds of the company’s available cash after it missed a revenue target for March, per terms of its contract with the bank. The lack of operating capital has left the company “unclear on the future.” 💰 The company is now working to secure alternative financing. The factory continues to operate and all employees are still currently working for Meati in the meantime. 📣 “Let us be clear: we are not sitting idle. We are actively pursuing multiple funding opportunities with our board and both existing and potential new investors,” CEO Phil Graves said in an email to staff. Go Deeper: Meati CEO Talks Breakfast, Distribution and Being Practical About Alt-Proteins Stay tuned to Nosh for additional updates in the weeks to come. |
| | | UNFI’s net sales rose 4.9% to $8.2 billion during Q2 as it continues to execute a realignment of its wholesale business. Here are some key numbers: - The distributor’s conventional products set was up 2%.
- Total retails sales were down 3% due to five store closures over the past 12 months.
- Net loss was $3 million compared to $15 million in Q2 2024.
- Adjusted EBITDA grew 13.3% to $145 million.
💭 “We are laser-focused on improving processes and removing waste so we are better able to bring value and improve service levels to our customers and suppliers,” said CFO Matteo Tarditi during the call on Tuesday, noting the efforts have already delivered low single-digit productivity gains. ⏩ UNFI again raised its outlook for fiscal 2025 across all metrics except capital spend, forecasting sales of $31.3 billion to $31.7 billion (previously $30.6 billion to $31 billion). Insiders can read the full earnings recap on Nosh. |
| | | The Make America Healthy Again (MAHA) Commission – led by U.S. Secretary of Agriculture Brooke Rollins and U.S. Secretary of Health and Human Services (HHS) Robert F. Kennedy, Jr. – said it is conducting a “line-by-line” review of the updated dietary guidelines proposed under the Biden administration. - The commission claims that the HHS and USDA aim to create “holistic process improvements” while putting a focus on transparency and minimizing conflicts of interest.
- Kennedy said in a statement he wants to ensure the federal nutrition guidance reflects “public interest” rather than “special interests.”
Go Deeper: What’s Next After RFK Jr. Takes The Helm on Health? |
| | | Regenerative ingredient company Above Food has been sued by VEG House Holdings, an ecommerce platform specializing in plant-based and wellness products, for fraud and breach of contract. The ecommerce company alleges that Above misrepresented itself in financial documents, SEC filings and omitted necessary information in order to coerce VEG House into a “fraudulent acquisition process.” ❌ VEG House is seeking at least $10 million in damages plus interest, legal fees, and additional statutory costs, for the “deceptive business practices and failure to uphold contractual obligations.” 👎 In December, Loma Linda’s parent company Atlantic Natural Foods withdrew a three-year-old agreement to enter the public market with Above Food. 🤔 Above Food initially tried to go public in 2023 via a SPAC merger with Bite Acquisition Corp. Although that plan didn’t go through, Above acquired the GoodWheat brand last year and was briefly listed on the public markets. Go Deeper: Above Food Outlines Path Ahead In First Public Co. Update |
| | | Fresh off its failed mega-merger with Albertsons, Kroger, the largest conventional grocery chain, is going deeper online. - Kroger is putting resources behind the opportunity in online grocery as competition has stiffened over the years from mass giants Walmart and Target and the omnipresence of Amazon.
- The grocer’s ecommerce business reached $13 billion in 2024. Walmart tallied over $65 billion in ecommerce sales in 2024, according to Statista.
- Yael Cosset, Kroger's SVP and chief information officer, will lead the new ecommerce arm as EVP and chief digital officer, effective immediately.
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| | | | It’s Hump Day! Here’s a taste of the new drops and activations from the first half of the week. |
| | | It’s Hump Day! Here’s a look at the new drops and activations from the first half of the week. 🌱 Flash-frozen herb and spices brand Dorot Gardens partnered with culinary platform HOMEMADE to be featured in a series of HOMEMADE livestreams and on-demand cooking classes led by Joel Gamoran and guest chefs. 🥚 Just Egg has launched the “Bird Flu Bailout” at over 50 independent bodegas across New York City where its plant-based takes on a classic bodega breakfast, like a bacon, egg and cheese sandwich – will be made with Just Egg as it seeks to capitalize on the egg shortage and pricing surge. 🧑🍳 Protein snack maker Genius Gourmet teamed up with Skippy Peanut Butter to launch The Genius Gourmet Inspired Protein Nut Roll. Each serving contains 11 grams of protein, 6 grams of fiber and 2 grams of sugar. 💪 Sports nutrition brand REDCON1 has announced a multi-year partnership with Hostess it believes will “redefine protein with innovative product collaborations.” |
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That's all for today's Daily Briefing. We'll be back in your inbox tomorrow. |
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