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0001386570FALSE00013865702023-05-102023-05-10
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 10, 2023

CHROMADEX CORPORATION
(Exact name of registrant as specified in its charter)

Delaware 001-37752 26-2940963
(State or other jurisdiction of incorporation) (Commission File Number) (IRS Employer Identification No.)

10900 Wilshire Blvd. Suite 600, Los Angeles, California 90024
(Address of principal executive offices, including zip code)

(310) 388-6706
(Registrant's telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class
Trading Symbol(s)
Name of each exchange on which registered
Common Stock, par value $0.001 per share
CDXC
The Nasdaq Capital Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐



Item 2.02. Results of Operations and Financial Condition.

On May 10, 2023, ChromaDex Corporation (the “Company”) issued a press release announcing its earnings for the quarter ended March 31, 2023. A copy of the press release is attached hereto as Exhibit 99.1.

The information in this Item 2.02 and the exhibit hereto are being furnished and shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, (the “Securities Act”) or the Exchange Act, except as expressly set forth by specific reference in such filing.

Item 7.01. Regulation FD Disclosure.

On May 10, 2023, the Company released a corporate presentation which it made available on its website. A copy of the corporate presentation is attached hereto as Exhibit 99.2.

The information in this Item 7.01 and the exhibit hereto are being furnished and shall not be deemed to be “filed” for purposes of Section 18 of the Exchange Act, or otherwise subject to the liability of that section, nor shall they be deemed incorporated by reference in any filing under the Securities Act or the Exchange Act, except as expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit
Number
Description
Press Release dated May 10, 2023
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)





SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

CHROMADEX CORPORATION
Dated: May 10, 2023
By: /s/ BRIANNA L. GERBER
Brianna L. Gerber
Chief Financial Officer
(principal financial officer and duly authorized on behalf of the registrant)

EX-99.1 2 ex991-8kpressreleasexq12023.htm EX-99.1 Document

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ChromaDex Corporation Reports First Quarter 2023 Financial Results
Record net sales of $22.6 million, with a strong gross margin of 59.9%, lower operating expenses, and a net loss and Adjusted EBITDA loss of only $1.9 million and $0.1 million, respectively, for the three months ended March 31, 2023.
 
LOS ANGELES, CA - May 10, 2023 - ChromaDex Corp. (NASDAQ:CDXC) today announced financial results for the first quarter of 2023.
     
First Quarter 2023 and Recent Highlights
•Total net sales were $22.6 million, up 31% from the prior year quarter, with $17.6 million from Tru Niagen®.
•Strong gross margin of 59.9% and a $2.8 million reduction in operating expenses, reflecting financial discipline.
•Selling and marketing expense as a percentage of net sales was 34.9% versus 47.7%, an improvement of 1,280 basis points from the prior year quarter, while investing in a strategic brand building event.
•General and administrative expense decreased $2.5 million from the prior year quarter.
•Net loss was $1.9 million or $(0.03) per share, an improvement of $0.08 per share from the prior year quarter.
•Adjusted EBITDA, a non-GAAP measure, was a loss of only $0.1 million, a $4.4 million improvement from the prior year quarter.

“In the first quarter of fiscal 2023, we achieved $22.6 million in revenue and generated $2.8 million in positive operating cash flows,” said ChromaDex Chief Executive Officer, Rob Fried. “We raised the conservative end of our 2023 revenue outlook to 12.5% growth and, importantly, are seeing significant opportunities for future growth that are not reflected in this outlook." ChromaDex reported a net sales increase of 31%, or $5.3 million, to $22.6 million.

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Results of operations for the three months ended March 31, 2023 compared to the prior year quarter

The increase in net sales was largely driven by growth in sales of Tru Niagen® and growth in Niagen® ingredient sales.

Gross margin percentage declined 110 basis points to 59.9%. The decline in gross margin percentage is largely attributable to a shift in business mix as well as modest cost inflation, partially offset by overall scale.

Operating expense decreased 15%, or $2.8 million, to $15.5 million driven by a $2.5 million reduction in general and administrative expense due to lower legal fees, share-based compensation and severance and restructuring costs.

Net loss was $1.9 million, or $0.03 loss per share, compared to a net loss of $7.7 million or $0.11 loss per share for the first quarter of 2022. Adjusted EBITDA, a non-GAAP measure, approached break-even with a loss of only $0.1 million, a $4.4 million improvement from Q1 2022. See “Reconciliation of Non-GAAP Financial Measures” for a reconciliation of non-GAAP Adjusted EBITDA to net loss, the most directly comparable GAAP measure.

Net cash inflow from operating activities was $2.8 million compared to a cash outflow of $7.2 million in the prior year quarter, largely due to improvements in net loss of $5.8 million paired with changes in working capital.

2023 Full Year Outlook

Looking forward, for the full year, the Company expects at least 12.5% revenue growth year-over-year. The conservative end of the Company’s outlook reflects prevailing macroeconomic uncertainty and only considers recurring, steady revenue growth from the e-commerce business and established partnerships, as well as upside from new partnerships realized in the first quarter. However, potential upside lies within new partnerships, channels, and products. The Company projects that gross margin will remain stable year over year as cost savings initiatives are expected to largely offset continued inflationary pressures. Moreover, further optimization, coupled with new and focused customer acquisition strategies are expected to result in reduced selling and marketing expense as a percentage of net sales. The Company plans to increase investments in research and development to drive innovation and expects a reduction in general and administrative expense of $1 to $2 million year over year.

Investor Conference Call
A live webcast will be held Wednesday, May 10, 2023 at 4:30 p.m. Eastern time (1:30 p.m. Pacific time) to discuss ChromaDex’s first-quarter financial results and provide a general business update.
To listen to the webcast, or to view the earnings press release and its accompanying financial exhibits, please visit the Investors Relations section of ChromaDex’s website at http://chromadex.com. The toll-free dial-in information for this call is 1-888-330-2446 with Conference ID: 4126168.
The webcast will be recorded, and will be available for replay via the website from 7:30 p.m. Eastern time on May 10, 2023 through 11:59 p.m. Eastern time on May 17, 2023. The replay of the call can also be accessed by dialing 800-770-2030, using the Replay ID: 4126168.





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Important Note on Forward Looking Statements:
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934. Statements that are not a description of historical facts constitute forward-looking statements and may often, but not always, be identified by the use of such words as “expects,” “anticipates,” “intends” “estimates,” “plans,” “potential,” “possible,” “probable,” “believes” “seeks,” “may,” “will,” “should,” “could,” “predicts,” “projects,” “continue,” “would” or the negative of such terms or other similar expressions. Forward-looking statements include statements regarding our intentions, beliefs, projections, outlook, analyses or current expectations concerning, among other things: the quotation from ChromaDex’s Chief Executive Officer, and statements related to the Company’s 2023 financial outlook including but not limited to revenue growth, gross margin, expenses, and investment plans. Risks that contribute to the uncertain nature of the forward-looking statements include: inflationary conditions and adverse economic conditions; our history of operating losses and need to obtain additional financing; the growth and profitability of our product sales; our ability to maintain sales, marketing and distribution capabilities; changing consumer perceptions of our products; our reliance on a single or limited number of third-party suppliers; risks of conducting business in China; and the risks and uncertainties associated with our business and financial condition in general, described in our filings with the Securities and Exchange Commission (SEC), including, without limitation, our most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q as filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and actual results may differ materially from those suggested by these forward-looking statements. All forward-looking statements are qualified in their entirety by this cautionary statement and ChromaDex undertakes no obligation to revise or update this release to reflect events or circumstances after the date hereof.

About ChromaDex:

ChromaDex Corporation is a global bioscience company dedicated to healthy aging. The ChromaDex team, which includes world-renowned scientists, is pioneering research on nicotinamide adenine dinucleotide (NAD+), an essential coenzyme that is a key regulator of cellular metabolism and is found in every cell of the human body. NAD+ levels in humans have been shown to decline with age, among other factors, and may be increased through supplementation with NAD+ precursors. ChromaDex is the innovator behind the NAD+ precursor nicotinamide riboside (NR), commercialized as the flagship ingredient Niagen®. Nicotinamide riboside and other NAD+ precursors are protected by ChromaDex’s patent portfolio.

The Company delivers Niagen® as the sole active ingredient in its consumer product Tru Niagen® available at www.truniagen.com and through partnerships with global retailers and distributors. The Company also develops and commercializes proprietary-based ingredient technologies and supplies these ingredients as raw materials to the manufacturers of consumer products. The Company further offers natural product fine chemicals, known as phytochemicals, and related research and development services. Follow us on Twitter @ChromaDex and Instagram @TruNiagen and subscribe to our latest news via our website accessible at www.chromadex.com to which ChromaDex regularly posts copies of its press releases as well as additional updates and financial information about the Company.
 
Contacts:

Investor Relations
 +1(949) 356-1620
InvestorRelations@ChromaDex.com
Media Relations
Kendall Knysch
Director of Media Relations
 +1 (310) 388-6706 Ext. 689
Kendall.Knysch@ChromaDex.com





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ChromaDex Corporation and Subsidiaries
Unaudited Condensed Consolidated Statements of Operations

  Three Months Ended March 31,
2023 2022
(In thousands, except per share data)
Sales, net $ 22,556  $ 17,259 
Cost of sales 9,038 6,727
Gross profit 13,518 10,532
Operating expenses:
Sales and marketing 7,874 8,237
Research and development 1,193 1,078
General and administrative 6,419 8,949
Total operating expenses 15,486 18,264
Operating loss (1,968) (7,732)
Nonoperating income (expenses):
Interest income (expense), net 66 (8)
Net loss $ (1,902) $ (7,740)
Basic and diluted loss per share attributable to common stockholders: $ (0.03) $ (0.11)
Basic and diluted weighted average common shares outstanding 74,796 68,314






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ChromaDex Corporation and Subsidiaries
Unaudited Condensed Consolidated Balance Sheets

 (In thousands except par values, unless otherwise indicated)
March 31, 2023 December 31, 2022
Assets
Current assets:
Cash and cash equivalents, including restricted cash of $152 for both periods presented $ 23,141  $ 20,441 
Trade receivables, net of allowances of $499 and $122, respectively; Including receivables from Related Party of: $3.5 million and $3.1 million, respectively 9,221 8,482
Inventories 11,908 14,677
Prepaid expenses and other assets 2,295 2,967
Total current assets 46,565 46,567
Leasehold improvements and equipment, net 2,689 2,799
Intangible assets, net 630 671
Right-of-use assets 3,352 3,523
Other long-term assets 532 497
Total assets $ 53,768  $ 54,057 
Liabilities and Stockholders' Equity          
Current liabilities:          
Accounts payable $ 8,951  $ 9,679 
Accrued expenses 8,610 7,337
Current maturities of operating lease obligations 697 680
Current maturities of finance lease obligations 17 16
Customer deposits 148 157
Total current liabilities 18,423 17,869
Deferred revenue 3,955 3,955
Operating lease obligations, less current maturities 3,353 3,539
Total stockholders’ equity
28,017 28,672
Total liabilities and stockholders’ equity
$ 53,768  $ 54,057 


ChromaDex Corporation and Subsidiaries
Unaudited Condensed Consolidated Statements of Cash Flows

Three Months Ended March 31,
(In thousands) 2023 2022
Net cash provided by / (used in):
Operating activities $ 2,792  $ (7,198)
Investing activities (91) (25)
Financing activities (1) (3)
Net increase (decrease) in cash and cash equivalents 2,700  (7,226)
Cash and cash equivalents beginning of period 20,441  28,219 
Cash and cash equivalents at end of period $ 23,141  $ 20,993 




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ChromaDex Corporation and Subsidiaries
Unaudited Reconciliation of Non-GAAP Financial Measures

Reconciliation of Net Loss to Adjusted EBITDA
(In thousands)
Q1 2023 Q4 2022 Q3 2022 Q2 2022 Q1 2022
    
Net loss, as reported $ (1,902) $ (1,418) $ (985) $ (6,397) $ (7,740)
Adjustments:
Interest (income) expense, net (66) (26) 5 10 8
Depreciation 228 221 235 212 201
Amortization of intangibles 41 43 44 50 49
Amortization of right of use assets 171 191 170 169 299
Share-based compensation 1,273 1,326 1,229 1,296 1,888
Severance and restructuring 186 13 181 17 821
Other income - Employee Retention Tax Credit —  —  (2,085) —  — 
Adjusted EBITDA $ (69) $ 350  $ (1,206) $ (4,643) $ (4,474)

Non-GAAP Financial Information:
To supplement ChromaDex’s unaudited financial data presented in accordance with generally accepted accounting principles (GAAP), the Company has presented Adjusted EBITDA, a non-GAAP financial measure. ChromaDex believes the presentation of such non-GAAP financial measure provides important supplemental information to management and investors and enhances the overall understanding of the Company’s historical and current financial operating performance. The Company believes disclosure of the non-GAAP financial measure has substance because the excluded expenses are infrequent in nature, are variable in nature or do not represent current cash expenditures. Further, such non-GAAP financial measure is among the indicators the Company uses as a basis for evaluating the Company’s financial performance as well as for planning and forecasting purposes. Accordingly, disclosure of this non-GAAP financial measure provides investors with the same information that management uses to understand the Company’s economic performance year-over-year.

Adjusted EBITDA is defined as net income before (a) interest, (b) depreciation, (c) amortization, (d) non-cash share-based compensation costs, (e) severance and restructuring expense and (f) Other income from the Employee Retention Tax Credit. While ChromaDex believes that this non-GAAP financial measure provides useful supplemental information to investors, there are limitations associated with the use of such measure. This measure is not prepared in accordance with GAAP and may not be directly comparable to similarly titled measures of other companies due to potential differences in the method of calculation. Management compensates for these limitations by relying primarily on the Company’s GAAP results and by using Adjusted EBITDA only supplementally and by reviewing the reconciliation of the non-GAAP financial measure to its most comparable GAAP financial measure.

Non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles in the United States. The Company’s non-GAAP financial measure is not meant to be considered in isolation or as a substitute for comparable GAAP financial measures and should be read only in conjunction with the company’s consolidated financial statements prepared in accordance with GAAP.







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EX-99.2 3 ex992-earningspresentati.htm EX-99.2 ex992-earningspresentati
ChromaDex Earnings Conference Call First Quarter 2023 Rob Fried Chief Executive Officer Brianna Gerber Chief Financial Officer Andrew Shao SVP Scientific & Regulatory Affairs Nasdaq: CDXC | May 10, 2023


 
SAFE HARBOR STATEMENT SAFE HARBOR STATEMENT 2 This presentation and other written or oral statements made from time to time by representatives of ChromaDex contain “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements reflect the current view about future events. Statements that are not historical in nature, such as 2023 financial outlook, and which may be identified by the use of words like “expects,” “anticipates,” “intends,” “estimates,” “plans,” “potential,” “possible,” “probable,” “believes,” “seeks,” “may,” “will,” “should,” “could,” “predicts,” “projects,” “continue,” “would” or the negative of these terms and other words of similar meaning, are forward-looking statements. Such statements include, but are not limited to, statements contained in this presentation relating to our expected sales, cash flows, planned investments, and financial performance, business, business strategy, expansion, growth, key drivers (including cost savings and increased investments), products and services we recently offered and their impact on our performance or products and services we may offer in the future and the timing of their development, sales and marketing strategy and capital outlook. Forward-looking statements are based on management’s current expectations and assumptions regarding our business, the economy and other future conditions and are subject to inherent risks, uncertainties and changes of circumstances that are difficult to predict and may cause actual results to differ materially from those contemplated or expressed. We caution you therefore against relying on any of these forward-looking statements. These risks and uncertainties include those risk factors discussed in Part I, “Item 1A. Risk Factors” of our most recent Annual Report on Form 10-K and Quarterly Report on Form 10-Q filed with the Securities Exchange Commission (the “Commission”), and in subsequent filings with the Commission. Any forward-looking statements are qualified in their entirety by reference to the factors discussed in these filings with the Commission. Should one or more of these risks or uncertainties materialize, or should the underlying assumptions prove incorrect, actual results may differ significantly from those anticipated, believed, estimated, expected, intended or planned. Important factors that could cause actual results to differ materially from those in the forward looking statements include but are not limited to: inflationary conditions and adverse economic conditions; our history of operating losses and need to obtain additional financing; the growth and profitability of our product sales; our ability to maintain sales, marketing and distribution capabilities; changing consumer perceptions of our products; our reliance on a single or limited number of third-party suppliers; risks of conducting business in China; and the risks and uncertainties associated with our business and financial condition in general. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results. About Non-GAAP Financial Measures ChromaDex’s non-GAAP financial measure, Adjusted EBITDA, is defined as net income before interest, depreciation, amortization, non-cash share-based compensation costs, severance and restructuring expense and other income from the Employee Retention Tax Credit. ChromaDex used this non-GAAP measures when evaluating its financial results as well as for internal resource management, planning and forecasting purposes. This non-GAAP measure should not be viewed in isolation from or as a substitute for ChromaDex’s financial results in accordance with GAAP. Reconciliation of this non-GAAP measure to the most directly comparable GAAP measure is attached to this presentation. FDA Disclaimer Statements made in this presentation have not been evaluated by the Food and Drug Administration. ChromaDex products are not intended to diagnose, treat, cure, or prevent any disease. The statements in this presentation are for investor relations and educational purposes only and not intended for consumers or vendors.


 
3 Q1 2023 & Recent Highlights • Total company and Tru Niagen® net sales up 31% and 18% YoY, respectively, with 12% growth in E-Commerce. • Delivered strong gross margins of 59.9% and a $2.8 million reduction in operating expenses, reflecting financial discipline. • Selling and marketing expense was lower as a percentage of net sales YoY (34.9% vs 47.7%), due to focus on the most efficient channels and marketing campaigns, partially offset by a strategic e-commerce brand building investment in March. • General and administrative expense decreased $2.5 million driven by lower legal, severance and restructuring and equity compensation expenses. • Net loss was $1.9 million or, $0.03 loss per share, an improvement of $5.8 million or, $0.08 per share, YoY. • Underlying business, as measured by Adjusted EBITDA, approached break-even with a loss of only $(0.1) million, an improvement of $4.4 million YoY. (1) • Achieved positive cash flows from operating activities of $2.8 million, ending the quarter with $23.1 million in cash. • Continued emphasis on efficiency as we pursue growth opportunities in 2023, while making strategic investments in brand building and R&D to drive long-term revenue growth and remain a leader in the NAD+ market. • Revised full year 2023 financial outlook, with modest adjustment to G&A expense and increased revenue projections, targeting at least 12.5% growth YoY. Conservative end does not include potential benefits from NMN ban in the U.S. and other opportunities. Exceeded business and financial objectives, with an emphasis on bottom line. For the remainder of 2023, expect to make measured investments in brand building initiatives and R&D to drive innovation, while continuing to optimize our operations. (1) See slide 10 for the non-GAAP reconciliation


 
Management Team 4 Rob Fried Chief Executive Officer E-commerce & entertainment industry executive Savoy Pictures, Columbia Pictures, Fried Films, FeeIn, WHN, Healthspan Research Fadi Karam Chief Marketing Officer Former Nestlé executive Deep brand building experience, across traditional retail as well as E-commerce platforms Brianna Gerber Chief Financial Officer Over 20 years of diverse experience in investment management and finance at the Capital Group, Mattel, and ChromaDex Heather Van Blarcom SVP, Legal & Corporate Secretary Over two decades of industry experience with extensive knowledge of FDA and FTC regulations Andrew Shao SVP, Global Regulatory & Scientific Affairs Over two decades of global nutrition industry experience at Amway, Herbalife Nutrition, and the Council for Responsible Nutrition


 
The information contained in this documents is confidential, privileged and only for the information of the intended recipient and may not be used, published or redistributed without the prior written consent (2019) 5 Financial Highlights


 
6 Q1 2023 Net Sales Mix E-Commerce 63% Watson's & Other B2B 24% Niagen® Ingredient 7% Analytical Reference Standards & Services 5% Other Ingredients 2% Q1 2022 $17.3 MM E-Commerce 54% Watson's & Other B2B 24% Niagen® Ingredient 17% Analytical Reference Standards & Services 4% Other Ingredients 1% $22.6 MM Q1 2023 • Tru Niagen® net sales decreased to 78% of net sales for Q1 2023 compared to 87% in Q1 2022(1) • Niagen®-related net sales increased to 95% of net sales in Q1 2023 compared to 93% in Q1 2022(2) Higher mix of Niagen® ingredient sales compared to prior year as Q1 2023 sales were boosted by increased demand from existing partners and development of a new partnership. Tru Niagen® sales remained strong. (1) Tru Niagen® net sales include E-Commerce, Watson’s/Other B2B (2) Niagen®-related sales include Tru Niagen® and Niagen® ingredient


 
7 Q1 2023 Net Sales Q1 2023 Net Sales ($ in millions) 12.2 5.4 3.9 0.8 0.2 E-Commerce Watson's & Other B2B Niagen® Ingredient Analytical Reference Standards & Services Other Ingredients $17.6 YoY % (vs Q1 2022) +12% +36% +245% (11)% (24)% +31% Tru Niagen® business up 18% year-over-year and 9% sequentially driven by growth in E-Commerce and Watson’s sales, paired with growth in Niagen ingredient sales of 245% year-over-year. Total Growth Rates


 
8 2021 – 2023 YTD Net Sales Summary ($ in millions) 2021 2022 2023 Description Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 E-Commerce 9.6 10.6 10.5 11.1 41.8 10.9 12.0 11.3 11.1 45.3 12.2 Watsons 1.6 2.9 2.6 2.2 9.3 2.6 1.5 2.6 3.3 10.0 3.7 Other B2B 1.3 1.8 1.6 0.8 5.6 1.4 1.0 0.7 1.7 4.8 1.7 Total TRU NIAGEN 12.4 15.4 14.8 14.1 56.7 14.9 14.5 14.6 16.1 60.1 17.6 NIAGEN Ingredient 1.2 1.3 1.7 2.5 6.7 1.1 1.5 1.8 3.9 8.3 3.9 NIAGEN Related Revenues 13.6 16.7 16.4 16.6 63.4 16.0 16.0 16.4 20.0 68.4 21.5 Other Ingredients 0.1 0.2 0.1 0.2 0.7 0.3 0.0 0.0 0.1 0.4 0.2 Analytical Reference Standards & Services 0.9 0.8 0.8 0.9 3.4 0.9 0.7 0.7 0.9 3.2 0.8 Total Net Sales 14.7 17.7 17.3 17.8 67.4 17.2 16.7 17.1 21.0 72.0 22.5 TRU NIAGEN as % of Total Net Sales 85 % 87 % 85 % 80 % 84 % 87 % 87 % 85 % 77 % 84 % 78 % NIAGEN Related Revenues as % of Total Net Sales 93 % 94 % 95 % 94 % 94 % 93 % 95 % 96 % 96 % 95 % 95 % YOY Growth Rate - Net Sales Total Company 2 % 16 % 22 % 15 % 14 % 18 % (5) % (1) % 19 % 7 % 31 % NIAGEN Related 4 % 22 % 29 % 14 % 17 % 18 % (4) % (1) % 20 % 8 % 34 % Total TRU NIAGEN 12 % 31 % 24 % 14 % 20 % 20 % (6) % (1) % 14 % 6 % 18 %


 
9 Q1 2023 vs Q1 2022 Key P&L Metrics (in thousands) Q1 2023 Q1 2022 Notes Net Sales $22,556 $17,259 Tru Niagen® business up 18% driven by growth in E-Commerce (up +12%) and higher B2B sales. Niagen® ingredient sales up 245% driven by increased demand from new and existing partners. Gross Profit % of Net Sales 13,518 59.9% 10,532 61.0% Down (110)bps largely driven by business mix and modest cost inflation, partially offset by overall scale Selling and Marketing % of Net Sales 7,874 34.9% 8,237 47.7% Improvements reflect focus on most efficient distribution channels and marketing campaigns, partially offset by a strategic brand building event on Amazon in the quarter Research and Development 1,193 1,078 Up slightly due to increased investments to accelerate R&D pipeline General and Administrative 6,419 8,949 Driven by lower legal, severance and restructuring and equity compensation expense Total Operating Expense 15,486 18,264 Lower G&A and selling & marketing expense, partially offset by higher R&D expense Operating Loss $(1,968) $(7,732) Reflects higher net sales and lower operating expense, slightly offset by lower gross margin


 
10 Adjusted EBITDA Summary ChromaDex Corporation and Subsidiaries Reconciliation of Non-GAAP Finanical Measures (In thousands) Three months ended Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Net loss, as reported $ (7,381) $ (5,566) $ (8,856) $ (5,325) $ (7,740) $ (6,397) $ (985) $ (1,418) $ (1,902) Adjustments Interest (income) expense 19 12 15 9 8 10 5 (26) (66) Depreciation 221 226 232 211 201 212 235 221 228 Amortization of intangibles 60 61 53 51 49 50 44 43 41 Amortization of right of use assets 126 128 131 126 299 169 170 191 171 Share-based compensation 1,284 1,616 1,822 1,473 1,888 1,296 1,229 1,326 1,273 Severance and restructuring (10) 13 342 6 821 17 181 13 186 Other income - Employee Retention Tax Credit — — — — — — (2,085) — — Adjusted EBITDA $ (5,681) $ (3,510) $ (6,261) $ (3,449) $ (4,474) $ (4,643) $ (1,206) $ 350 $ (69) Q1 2023 Adjusted EBITDA was a loss of roughly $(0.1) million, a $4.4 million improvement year-over-year, compared to a loss of $(4.5) million in the prior year quarter, driven by higher net sales and lower operating expense.


 
11 Q1 2023 Operating Loss vs Q1 2022 (in millions) (7.7) 3.2 1.5 0.7 0.6 0.3 (0.3) (0.2) (0.1) (2.0) Q1 2022 Operating Loss Volume Legal Equity Comp (G+A) Severance and Restructuring Sales & Marketing Other G+A Gross Margin Decline Research and Development Q1 2023 Operating Loss (9.0) (8.0) (7.0) (6.0) (5.0) (4.0) (3.0) (2.0) (1.0) — -$0.6 MM+$6.3 MM


 
12 Quarterly Balance Sheet Highlights (in thousands) 12/31/20 12/31/21 3/31/22 6/30/22 9/30/22 12/31/22 3/31/23 Key Drivers (YoY for 2023 YTD) Cash $16,697 $28,219 $20,993 $17,072 $13,262 $20,441 $23,141 Driven by cash provided by operations Inventory 11,683 13,601 15,307 15,753 15,636 14,677 11,908 Driven by higher total net sales and improvements in inventory management Trade Receivables 2,694 5,226 6,310 4,228 4,744 8,482 9,221 Driven by higher total net sales and timing of purchases and collections Accrued Liabilities 6,133 6,481 8,126 6,696 6,756 7,337 8,610 Driven by changes in expenses and accrual for employee bonuses Accounts Payable 9,445 10,423 9,780 10,197 9,119 9,679 8,951 Driven by improvements in expense management and timing of disbursements Equity $16,424 $31,727 $25,877 $20,778 $21,023 $28,672 $28,017 Driven by net loss, partially offset by share-based compensation Improved working capital management and expense management, while balancing investments to drive net sales growth.


 
13 Quarterly Cash Flow Highlights Achieved positive net cash flows driven by diligent expense management while balancing investments to grow the business. (in thousands) FY 2020 FY 2021 3/31/22 6/30/22 9/30/22 12/31/2022 FY 2022 3/31/23 Net Loss $ (19,925) $(27,128) $(7,740) $(6,397) $(985) (4) $(1,418) $(16,540) (4) $(1,902) Working Capital 383 (1) (4,915) (1,923) 923 (4,461) (4) (466) (5,927) (4) 2,644 Cash From / (Used for) Operations (10,600) (24,163) (7,198) (3,832) (3,740) (328) (15,098) 2,792 Cash From / (Used for) Investing (165) (409) (25) (85) (52) (172) (334) (91) Cash From / (Used for) Financing 8,650 (2) 36,094 (3) (3) (4) (18) 7,679 (5) 7,654 (5) (1) Net Increase / (Decrease) in Cash $ (2,115) $11,522 $(7,226) $(3,921) $(3,810) $7,179 $(7,778) $2,700 Ending Cash Balance $ 16,697 $28,219 $20,993 $17,072 $13,262 $20,441 $20,441 $23,141 1. Includes $1 million deferred revenue related to the product launch fee received from Nestlé. 2. Includes $5 million issuance of common stock, net of $144,000 issuance costs and includes $4.1 million proceeds from exercise of stock options. 3. Includes $27.2 million issuance of common stock, net of $428,000 issuance costs and includes $9.5 million in proceeds from exercise of stock options. 4. Includes $2.1 million related to the Employee Retention Tax Credit (no net cash flow impact). 5. Includes $7.7 million issuance of common stock, net of $353,000 issuance costs.


 
14 2023 Financial Outlook (in thousands) 2021 Actual 2022 Actual 2023 Full Year Outlook Key Drivers Net Sales $67,449 $72,050 At least 12.5% growth, with realistic possibility of significantly greater growth (previously at least 10% growth, with realistic possibility of significantly greater growth) • Conservative end includes steady growth from E-commerce business & recurring revenues from established partnerships as well as some realized upside in Q1 2023 • Upside includes additional opportunities with new partnerships, channels, and products, as well as potential with NMN ban in the U.S. Gross Margin % (as a % of net sales) 61.5% 59.4% Stable YoY (unchanged from last quarter's outlook) • Cost savings initiatives and scale offsetting continued inflationary pressures Selling, Marketing & Advertising (as a % of net sales) 42.0% 39.3% Down as a % of net sales (unchanged from last quarter's outlook) • Focused and optimized investments to drive Tru Niagen® brand awareness; • Larger brand campaign in Q1 2023 Research & Development $3,832 $4,826 Up in absolute dollars YoY (unchanged from last quarter's outlook) • Increased investment in future innovation, including new NAD precursor development General & Administrative $36,379 $28,286 Down $1 to $2 million (previously down $2 to $3 million) • Reduction in severance, share-based compensation, and other general expenses Continued solid revenue growth in 2023, and further optimization of cost structure, with selective investments in larger brand building initiatives and R&D to drive future innovation.


 
The information contained in this documents is confidential, privileged and only for the information of the intended recipient and may not be used, published or redistributed without the prior written consent (2019) The Science 15


 
16 Scientific Advisory Board Charles Brenner, Ph.D. Alfred E Mann Family Foundation Chair, Department of Diabetes & Cancer Metabolism City of Hope World's Foremost Authority on NAD Metabolism Roger Kornberg, Ph.D. Chairman Professor of Structural Biology Stanford University Nobel Prize Winner, Chemistry, 2006 Rudolph Tanzi, Ph.D. Kennedy Professor of Neurology Harvard University Leading Alzheimer's Researcher, TIME 100 Most Influential 2015 Dr. Bruce German Chairman of Food, Nutrition, & Health University of California, Davis Leader in Food, Nutrition, & Wellness Innovation Professor Sir John Walker, Ph.D. Emeritus Director, MRC Mitochondrial Biology University of Cambridge Nobel Prize Winner, Chemistry, 1997 Brunie H. Felding, Ph.D. Associate Professor of Molecular Medicine Scripps Research Institute Renowned Breast Cancer Researcher focused on NAD+ supplementation Dr. David Katz President of True Health Initiative CEO of Diet ID World renowned physician & preventive medicine expert Dr. Vilhelm (Will) Bohr, M.D., Ph.D., D.Sc. Professor in Genome Instability and Neurodegeneration, Department of Cellular and Molecular Medicine, University of Copenhagen. One of the world’s most published researchers on aging and neurodegenerative disease NOBEL PRIZE WINNERS | CHEMISTRY


 
17 Basic Physiological Functions are NAD+ Dependent INTRINSIC CAPACITY DOMAIN Based on World Health Organization’s definition VITALITY Energy metabolism Hormonal function Cardio-respiratory function Number of clinical trials (active)* 14 Number of clinical trials (complete)* 10 % of all registered Niagen® clinical trials** 46% Type II Diabetes (Insulin Sensitivity) Altered Glucose and Lipid Metabolism Non-Alcoholic Fatty Liver Heart Failure Hypertension Arterial Stiffness Vascular Function Immunity/Inflammation Chronic Kidney Disease Conditions Studied LOCOMOTION Muscle strength Balance Gait 9 6 Parkinson’s Disease Ataxia Telangiectasia Exercise Capacity/ Performance Muscle Function/Strength Sarcopenia COGNITION Memory Intelligence Problem-solving 2 5 13% Mild Concussion Mild Cognitive Impairment Alzheimer’s Disease SENSORY Vision Hearing 4 0 8% Neuropathies (e.g. Diabetic Neuropathy, Peripheral Neuropathy) Small Nerve Fiber Degeneration PSYCHOLOGICAL Mood Emotional vitality 1 0 2%31% *Source: Based on Niagen® NR trials registered on clinicaltrials.gov. Used ChromaDex classification into intrinsic capacity domains. As of April 18, 2023. Chart includes suspended trials but does not include pharmacokinetic or terminated trials. **Based on Niagen® nicotinamide riboside (NR) clinical trials listed on clinicaltrials.gov Anxiety Depression


 
The information contained in this documents is confidential, privileged and only for the information of the intended recipient and may not be used, published or redistributed without the prior written consent (2019) Contact Info: T: +1(949) 356-1620 InvestorRelations@ChromaDex.com www.chromadex.com Where to buy TRU NIAGEN® TruNiagen.com Amazon.com 18