Jewett-Cameron Reports Fiscal 2024 Second Quarter Operational and Financial Results

Jewett-Cameron Trading Company Ltd., a company committed to innovative products that enrich outdoor spaces, announced operational and financial results for the fiscal 2025 second quarter for the period ended February 28, 2025.

Recent Operational Highlights

• Total revenue increased 10% in Q2 2025 compared to Q2 2024 driven by growth of the Company’s metal fence products, including Lifetime Steel Post® (LTP) and Adjust-A-Gate®.
• Increased the number of LTP displayers placed through February 2025 by more than 65% compared to the end of November 2024. Today, over 330 displayers have been installed at The Home Depot and Lowe’s stores allowing the Company’s products to be highly visible and easily accessible for professionals and doit-yourselfers. Barring potential impacts from tariffs, efforts to expand displayers in stores during the winter months is expected to have a positive impact in the second half of fiscal 2025 which aligns with the seasonally strong period for new fence installation commencing in the spring.
• Point-of-sale (POS) data for Adjust-A-Gate® and LTP products in key retailers highlighted strong end market year-over-year growth during Q2 2025 highlighting the success of the Company’s displayer strategy.
• Expanded MyEcoWorld® Pet Waste Bags into 59 Tops Friendly Markets across the Northeast starting late February 2025. This expansion into a major grocery chain represents a significant milestone in the Company’s efforts to support a more sustainable future.
• Continued to innovate new product offerings through the launch of the new Adjust-A-Gate® Unlimited, a low profile complete gate kit. This new fence product redefines adaptability and simplicity for gate construction and is designed with flexibility and customization at its core. This innovative gate kit features a low profile, corner bracket solution that allows for fully adjustable gate designs—empowering professionals and DIYers with greater control to create gates tailored to their unique needs.
• New multi-source, multi-country, strategic sourcing partner effort from the last year and a half is creating less dependence on China sourced products allowing for tariff mitigation opportunities to minimize cost increases and offer competitive pricing where possible.
• Listed for sale or lease the Company’s 11.6-acre property based in Hillsboro, Oregon that was previously a seed processing and storage facility at a current listing price of $9 million (1). The property currently has a book value of $566,022 and is unencumbered by any loans.
• Continued efforts to increase investor awareness of the Company, which have recently included the commencement of quarterly conference calls, the updating of its NASDAQ trading symbol from “JCTCF” to “JCTC” to better highlight its U.S.-based operations, participation in investor conferences, and an overall expansion of its shareholder communications program.

Management Discussion

“We are implementing our clear and focused strategic plan to drive growth and improve efficiencies across the Company highlighted year-over-year growth in our metal fence products in Q2 and sequential improvement in our gross margins and operating expenses from Q1,” commented Chad Summers, CEO of Jewett-Cameron. “Further, we have executed on key activities which we believe set the stage for continued improvement heading into the seasonally strong second half of our fiscal year which commenced in March, excluding potential impacts from the uncertain tariff situation. These actions included 65% sequential growth in the installation of LTP displayers in The Home Depot and Lowe’s stores allowing our products to be highly visible and easily accessible for professionals and do-it-yourselfers; the introduction of new products offerings, including the all-new Adjust-A-Gate® Unlimited which launched in the second quarter; the expansion of our MyEcoWorld® products in new retailers; and the implementation of new multi-source, multi-country, strategic sourcing partners to mitigate to some extent the impact of recently announced tariffs.”

“While the environment surrounding tariffs is rapidly evolving, the potential positive impact from the supply chain initiatives we implemented approximately two years ago may prove to be significant. These initiatives included not only the elimination of our dependence on a single China supplier, but also the relocation of suppliers to countries with potentially lower tariffs. This should bode well for our market positioning in the near to mid-term.”

“While there remain certain macro factors that are largely outside our control, as a Company with a rich, 70 year history, we have successfully adapted multiple times over the decades. Through it all, the basic DNA of designing quality, affordable, functional solutions that enrich outdoor spaces has been a constant. In the coming years, I expect us to begin to dominate the fence aisle in both big box and down market retailers with an expanded suite of quality branded products that improve the lives of professionals and DIYers. By developing innovative products, owning more shelf space, growing our distribution footprint and operating through margin strength with a lean structure and diversified sourcing model that our customers can continue to depend on regardless of what economic challenges develop in the future, I believe we are in a great position to continue to drive value for customers, partners and shareholders alike,” Summers concluded.

Financial Results

Revenue for Q2 2025 was $9.1 million compared to $8.2 million in Q2 2024. Q2 2025 sales of metal fencing products increased compared to Q2 2024 driven by new Lifetime Steel Post® in-store displayers. Sales of MyEcoWorld® compostable products continued to grow compared to the year ago period and sequentially due to stocking orders from new customers. Sales at Greenwood increased 31% for the current quarter to $1.1 million compared to $0.9 million in Q2 2024. The aforementioned growth by product lines was offset by wood fencing product sales which decreased compared to the same period due to material constraints, and demand for pet products continues to be weak, as sales in the current quarter declined compared to Q2 2024.

While margins decreased year over year, we have seen an increase in Q2 over Q1. Gross profit margins for Q2 2025 were 20.1% compared to 25.1% in Q2 2024, and compared to 18.3% in Q1 2025. The decrease from the prior year period was due to a less favorable mix of products sold during the quarter. The Company’s gross margin for the current quarter was also negatively affected by higher logistics and ocean shipping costs and our investment in the new in-store fencing product display units. The improvement from the sequential quarter reflects the positive impacts from new supply chain partners and enhanced pricing strategies.

Operating expenses during Q2 2025 were $2.6 million compared to $2.8 million in Q2 2024. The decrease in operating expenses is due to initiatives taken by the Company to implement operational efficiencies and realign headcount to new business processes.

Loss from operations for Q2 2025 was $(0.8) million compared to $(0.7) million in Q2 2024. Net loss for Q2 2025 was $(0.6) million or $(0.16) per basic and diluted share compared to net loss of $(0.5) million or $(0.15) per basic and diluted share in Q2 2024.

As part of the Company’s initiatives to improve working capital, inventory balances decreased 15% to $14.9 million at February 28, 2025 from $17.6 at February 29, 2024. Cash balance at February 28, 2024 was $0.4 million and the Company had not drawn on its seasonal credit availability of $6.0 million. The Company had no long-term debt as of February 28, 2025, but has since begun to draw down on its line of credit as the high impact spring and summer seasons commence. Total stockholders’ equity at February 28, 2025 was $23.7 million, or $6.73 per share. The Company listed for sale or lease the Company’s 11.6-acre property based in Hillsboro, Oregon that was previously a seed processing and storage facility at a current listing price of $9 million (1). The property currently has a book value of $566,022 and is unencumbered by any loans.

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About Jewett-Cameron Trading Company Ltd.

Jewett-Cameron Trading Company is a holding company operating out of facilities in North Plains, Oregon, through its subsidiaries. Jewett-Cameron’s business includes the manufacturing and distribution of patented and patent-pending specialty metal and sustainable bag products, and the wholesale distribution of wood products. The company’s brands include Lucky Dog® for pet products; Jewett Cameron Fence for Adjust-A-Gate®, Fit-Right®, Perimeter Patrol®, EuroFence, and Lifetime Steel Post® for gates and fencing; MyEcoWorld® for sustainable bag products; and Early Start, Spring Gardener™, Greenline®, and Weatherguard™ for greenhouses. Additional information about the company and its products can be found on the company’s website at www.jewettcameron.com.

Contact:

Chad Summers – President & CEO – Chads@jewettcameron.com – (503) 647-0110

Source: Jewett-Cameron Trading Company Ltd.