WFCF · Where Food Comes From, Inc.

Where Food Comes From, Inc. achieved modest revenue growth in Q1 2026, with total revenues reaching $5.4 million, up nearly 2% from $5.3 million in the prior year, driven primarily by a 6% increase in verification and certification services to $4.4 million amid new customer wins in beef and non-beef programs like RaiseWell Certified adopted by Whole Foods Market. Product sales edged up slightly to $713,000, reflecting demand for premium tags despite lower cattle volumes, while professional services declined sharply to $228,000 from $389,000. Gross margins contracted to 39% from 42% due to elevated insurance and personnel costs, but SG&A expenses dropped 15% to $1.7 million after management skipped 2025 bonuses, boosting operating income to $298,000 from $142,000 and enabling a return to profitability with net income of $92,000 or $0.02 per diluted share. CEO John Saunders highlighted progress against headwinds like smaller herd sizes and tariffs, noting growth in Upcycled Certified and expansions into poultry, eggs, dairy, and pork. The company continued its share repurchase program, buying back 24,469 shares for $293,000, bringing cumulative repurchases to 1.4 million shares for $15.5 million, signaling confidence in long-term prospects amid rising consumer demand for food transparency.