Arcadia Biosciences, Inc. (RKDA): History, Ownership, Mission, How It Works & Makes Money

As a financial analyst, you have to ask: what is Arcadia Biosciences, Inc. (RKDA) now, and how does a wellness product marketer with a $1.0 million net loss year-to-date suddenly pivot into an energy play? The company has radically streamlined its operations, exiting its legacy wheat and oil businesses to focus almost entirely on its Zola coconut water brand, which saw revenues jump 26% for the first nine months of 2025, keeping gross margins above 30% for eleven straight quarters. But honestly, the real story is the pending business combination with Roosevelt Resources, which is expected to give Roosevelt partners approximately 90% ownership of the combined entity, fundamentally changing the investment thesis.

That is a defintely a seismic shift, but does the short-term liquidity of $1.12 million in cash at the end of Q3 2025 make the stock a high-risk gamble before that deal closes? You need to understand the new model, the old liabilities-like the $4.7 million credit loss on the Above Food note-and the strategic value of the new energy focus to make an informed decision.

Arcadia Biosciences, Inc. (RKDA) History

You're looking for the origin story of Arcadia Biosciences, Inc. (RKDA), and honestly, it's a tale of two companies: a long-haul agricultural biotech firm that pivoted hard into consumer packaged goods (CPG), and is now pivoting again into energy. The core takeaway is that the company has fully exited its legacy GoodWheat and agricultural IP to focus on its Zola coconut water brand while preparing for a major all-stock merger with Roosevelt Resources.

Given Company's Founding Timeline

Year established

Arcadia Biosciences was founded in 2002, initially focusing on agricultural biotechnology (agri-biotech) to develop crop traits that enhance quality and productivity.

Original location

The company was originally headquartered in Davis, California, the heart of an agricultural innovation ecosystem. The headquarters later relocated to Dallas, Texas, reflecting its shift toward a consumer-focused business model.

Founding team members

The company was founded by John G. Sperling. A key early figure was Steve Brandwein, who served as Vice President of Finance and Administration from the company's founding in September 2002, providing foundational financial stability.

Initial capital/funding

While the initial seed capital is not public, the company's first external funding was a Grant (prize money) round in October 2005. Arcadia Biosciences has since raised a total of $101 million across 21 funding rounds, with its largest being a $33 million Series D in April 2014.

Given Company's Evolution Milestones

Given Company's Transformative Moments

The company's history is defined by two major strategic shifts, essentially transforming its entire business model. The first was the pivot from a long-term agricultural research and development (R&D) model to a quicker-turnaround consumer brand focus.

• The 2021 acquisition of the Zola coconut water assets was the initial, decisive move, making Arcadia a CPG company overnight. This is defintely a big change.
• The 2024-2025 period finalized the exit from the legacy business, selling the GoodWheat brand for $4 million and then monetizing patent portfolios for $750,000 in Q1 2025. [cite: 12, 13, 2 in 1st search] This cleared the deck.

The most recent, and arguably most transformative, moment is the pending business combination with Roosevelt Resources, an exploration and production company. This all-stock transaction, announced in December 2024, is expected to close in 2025, and will result in current Arcadia stockholders owning approximately 10% of the combined entity. This means the public company entity will fundamentally change its core operations from plant-based wellness to an energy play focused on carbon capture utilization and storage (CCUS).

Despite the strategic review and pending merger, the CPG segment remains the current revenue engine. For the first nine months of 2025, Zola coconut water revenues grew 26% year-over-year, driving total revenues up by $128,000, or 3%. The company's gross margins have consistently exceeded 30% for eleven consecutive quarters as of Q3 2025, showing strong unit economics in the CPG business. Still, as of September 30, 2025, the cash and cash equivalents stood at a tight $1.1 million. You can learn more about the strategic direction here: Mission Statement, Vision, & Core Values of Arcadia Biosciences, Inc. (RKDA).

Arcadia Biosciences, Inc. (RKDA) Ownership Structure

Arcadia Biosciences, Inc. (RKDA) is a publicly traded agricultural technology company, and its ownership structure is overwhelmingly dominated by retail and public investors, with institutional holdings representing a relatively small slice of the total outstanding shares.

This structure means the stock's price action and governance are highly sensitive to retail sentiment and trading volume, plus the company is navigating a significant near-term change with a pending business combination.

Arcadia Biosciences, Inc.'s Current Status

Arcadia Biosciences, Inc. is a public company traded on the NASDAQ Capital Market under the ticker symbol RKDA. As of November 2025, the company has a market capitalization of approximately $5.02 million, placing it in the micro-cap range.

The company is currently executing a strategic shift, including a pending business combination with Roosevelt Resources, which is expected to result in a 90% equity share for Roosevelt partners and 10% for existing Arcadia stockholders post-transaction. This transaction, anticipated to close near the end of summer 2025, subject to stockholder approval, is the single most important factor driving the current governance and ownership dynamics.

To understand the company's strategic direction and core values that drive management decisions, you can read the Mission Statement, Vision, & Core Values of Arcadia Biosciences, Inc. (RKDA).

Arcadia Biosciences, Inc.'s Ownership Breakdown

The company's ownership is heavily concentrated in the hands of the public, which includes individual retail investors and smaller public entities. This high percentage of public ownership, or float, often leads to higher volatility in the stock price.

Here's the quick math: Institutional and Insider holdings total 5.13%, leaving the vast majority to the public market. To be fair, the beneficial ownership held by all current executive officers and directors as a group is higher, at approximately 8.2% of outstanding common stock, which is a key alignment metric.

Arcadia Biosciences, Inc.'s Leadership

The leadership team, as of November 2025, is focused on executing the strategic transition toward a plant-based health and wellness product portfolio and managing the pending business combination.

The core executive and board members steering the company are:

• Thomas J. Schaefer: Chief Executive Officer, President, and Interim Chief Financial Officer. Mr. Schaefer assumed the CEO/President role in July 2024 and the Interim CFO role in September 2025. His total 2024 compensation was $499,477.
• Kevin Comcowich: Independent Chair of the Board.
• Albert D. Bolles: Director (Class I).
• Gregory Waller: Independent Director.
• Lilian Murray: Independent Director.
• Amy Yoder: Independent Director.
• Deborah Carosella: Independent Director.

The board is defintely experienced, with an average tenure of 7.5 years. This continuity is important as the company navigates the complex regulatory and financial steps of its business combination and product line focus.

Arcadia Biosciences, Inc. (RKDA) Mission and Values

Arcadia Biosciences, Inc. stands on a core belief that better food and a healthier planet are not mutually exclusive business goals. Their mission is a clear directive to use agricultural innovation to improve human health and environmental sustainability, moving past just crop yield to focus on nutritional value and ecological impact. It's a science-driven approach to wellness.

Arcadia Biosciences, Inc.'s Core Purpose

The company's cultural DNA is rooted in using plant science to solve real-world problems, which is why their financial performance in 2025 is tied directly to high-value, wellness-focused products like Zola coconut water. For instance, in the first nine months of 2025, Zola revenues increased by a strong 26% year-to-date, showing consumers are defintely buying into the health-and-wellness-first strategy. This focus is what drives their gross profit margins, which exceeded 30% for the eleventh consecutive quarter.

Official Mission Statement

Arcadia Biosciences' formal mission is to improve the health and sustainability of the planet through innovative crop solutions. This isn't just about bigger harvests; it's about a better food system overall.

• Enhance crop productivity and value for farmers.
• Improve the environmental sustainability of agriculture.
• Benefit human health through enhanced nutritional content in staple crops.

Vision Statement

Their vision is simple and powerful: a world where everyone has access to healthy, affordable food that is produced in an environmentally sustainable manner. That's a big goal, but it maps directly to their product development pipeline.

• Deliver healthy, affordable food access globally.
• Ensure production methods are environmentally sustainable.
• Cultivate next-generation wellness products that make every body feel good.

Arcadia Biosciences, Inc. Slogan/Tagline

While they don't have a single, punchy tagline plastered everywhere, their corporate profile captures the essence of their value proposition. They are 'innovating high-value, healthy ingredients to meet consumer demands for healthier choices'.

• Core Values: Innovation, Sustainability, and Health Improvement.
• Financial Tie-in: The strategic shift to high-margin wellness products is working; the company saw a $5.0 million improvement in net income for Q1 2025, reaching $2.6 million, partly due to divestitures and gains like the $750,000 from selling patent portfolios. Here's the quick math: monetizing legacy IP funds the growth of their core wellness business.

If you want to dive deeper into who is betting on this mission and why, you should check out Exploring Arcadia Biosciences, Inc. (RKDA) Investor Profile: Who's Buying and Why?

Arcadia Biosciences, Inc. (RKDA) How It Works

Arcadia Biosciences, Inc. primarily operates as a consumer packaged goods (CPG) company as of late 2025, focusing on its high-growth Zola® coconut water brand after strategically exiting its legacy agricultural biotechnology business.

The company makes money by sourcing, marketing, and distributing innovative wellness products, specifically Zola, while simultaneously managing the financial and regulatory aspects of its pending business combination with Roosevelt Resources, Inc. to pivot its core business model.

Given Company's Product/Service Portfolio

Given Company's Operational Framework

Arcadia's operational framework is centered on maximizing the CPG business's performance while executing a major corporate transition, which is defintely a tight balancing act.

The core value creation process is a lean, brand-focused model that relies on outsourced production and strong distribution partnerships to drive sales volume, as evidenced by Zola's growth being primarily driven by increased distribution and higher sales volume in 2025.

• CPG Focus: Drive distribution and sales velocity for the Zola® brand, which saw its revenues increase by $820,000 during the first nine months of 2025.
• Cost Control: Maintain tight control over selling, general, and administrative (SG&A) expenses, which decreased by $884,000 during the first half of 2025 compared to the same period in 2024.
• Legacy Asset Management: Monetize remaining legacy assets and eliminate liabilities, such as the $2 million in contingent liabilities eliminated year-to-date in 2025.
• Strategic Pivot: Advance the pending all-stock business combination with Roosevelt Resources, Inc., which, if completed, will see Roosevelt partners own approximately 90% of the combined company.

Given Company's Strategic Advantages

The company's advantage in late 2025 comes from its financial discipline and the strength of its sole remaining consumer brand.

• Exceptional Gross Margins: The CPG operation consistently delivers high profitability, with gross margins exceeding 30% for eleven consecutive quarters as of Q3 2025.
• Brand Momentum: Zola® coconut water is a category outperformer; its year-to-date revenue growth of 26% significantly outpaced the overall coconut water category's performance.
• Clean Capital Structure: Active management has resulted in a streamlined balance sheet, including a low cash burn-the cash balance only declined by $257,000 to $1.1 million during the first nine months of 2025.
• IP Value Extraction: The ability to sell non-core patents and IP for non-dilutive capital, such as the $750,000 patent sale in Q1 2025, shows a pragmatic approach to maximizing shareholder value from past ventures.

You can see the full strategic context in the Mission Statement, Vision, & Core Values of Arcadia Biosciences, Inc. (RKDA).

Arcadia Biosciences, Inc. (RKDA) How It Makes Money

Arcadia Biosciences, Inc. primarily makes money through the sale of its branded consumer wellness products, specifically Zola coconut water, which now represents virtually all of its continuing revenue following the divestiture of its legacy agricultural biotechnology assets.

The company's financial engine has shifted entirely from a development-stage, intellectual property-licensing model to a consumer packaged goods (CPG) model, with revenue growth driven by increased distribution and sales volume of its core product line.

Arcadia Biosciences' Revenue Breakdown

As of the first nine months of the 2025 fiscal year, the company's continuing operations revenue is singularly focused. Total revenue for the first nine months of 2025 was $3.96 million, a 3% increase over the same period in 2024. This revenue is entirely attributable to the Zola brand.

The Zola brand's year-to-date revenue growth was actually much stronger, increasing by 26% during the first nine months of 2025, but this was offset by the absence of approximately $700,000 in sales from the now-divested GLA oil product line from the prior year. That's the quick math on why the total revenue growth looks modest despite the core brand's strength.

Business Economics

The company's economic fundamentals are centered on a high-velocity, low-margin CPG model, which is a significant departure from its biotech roots. The focus is on driving volume through wider retail distribution rather than relying on price hikes.

• Pricing Strategy: Arcadia Biosciences has not implemented any price increases on its Zola products during 2024 or the first half of 2025, indicating a strategy focused on market penetration and volume growth over margin expansion via price.
• Gross Margin Stability: A key indicator of operational efficiency is the gross profit margin, which has remained above 30% for 11 consecutive quarters through Q3 2025. This stability suggests effective cost management in the supply chain (cost of goods sold).
• Growth Driver: The 26% year-to-date growth in Zola sales is primarily driven by an increase in distribution, which translates directly to higher sales volume in stores. This is a good sign for a CPG business, but it requires constant capital for inventory and marketing.
• Near-Term Risk: A major financial risk is the collectability of the $6 million note receivable from Above Food Ingredients Inc. related to the 2024 sale of the GoodWheat assets. Arcadia Biosciences recognized a substantial credit loss of $4.7 million on this note in the first nine months of 2025, which defintely impacts the balance sheet.

You can read more about the company's investor base and strategic positioning here: Exploring Arcadia Biosciences, Inc. (RKDA) Investor Profile: Who's Buying and Why?

Arcadia Biosciences' Financial Performance

The company is still in a transitional phase, so you see a mixed financial picture-strong operational metrics but a balance sheet under pressure from legacy issues and strategic shifts. The pending business combination with Roosevelt Resources, Inc. also adds a layer of uncertainty to the future financial structure.

• Net Income/Loss: For the first nine months of 2025, the company reported a net loss of $1.0 million. However, the third quarter of 2025 saw a net income of $856,000, a significant improvement from a net loss of $1.6 million in Q3 2024. This Q3 profit was largely due to a non-cash unrealized gain of $1.7 million on Above Food Ingredients Inc. stock, not core operations.
• Liquidity and Debt: The company shows strong short-term liquidity, with a current ratio of 4.12 and a quick ratio of 3.31 as of Q3 2025. Even better, the debt-to-equity ratio is 0, meaning the company carries essentially no debt, which enhances its financial stability.
• Cash Position: Cash and cash equivalents stood at only $1.1 million as of September 30, 2025. This low cash balance, despite the low debt, highlights the urgency for the company to complete its strategic combination or secure new funding to maintain operations and marketing efforts.
• Operating Efficiency: Selling, General, and Administrative (SG&A) expenses are at an all-time low, demonstrating tight cost controls as the company focuses entirely on the Zola brand.

Arcadia Biosciences, Inc. (RKDA) Market Position & Future Outlook

Arcadia Biosciences, Inc. is in a pivotal transition phase as of late 2025, having strategically divested its legacy agricultural biotechnology (ag-bio) assets to focus almost entirely on its consumer packaged goods (CPG) brand, Zola® coconut water. This shift positions the company as a niche player in the rapidly growing functional beverage market, but its future hinges on the successful completion of a pending business combination with Roosevelt Resources, which is expected to fundamentally change its business profile.

You're watching a company that is shedding its past to bet on a single, high-growth product line while simultaneously pursuing a major corporate restructuring. For the first nine months of 2025, the company reported total revenue of $3.96 million, with Zola® year-to-date revenues growing 26% year-over-year, showcasing clear momentum in its core brand.

Competitive Landscape

The company operates in two distinct, highly competitive markets: the dominant coconut water segment and the specialized, high-tech ag-bio space. In the coconut water market, Arcadia's Zola® brand is a small challenger against massive incumbents, while its legacy ag-bio rivals focus on proprietary seed traits.

Here's the quick math: The U.S. coconut water market is estimated at roughly $1.3 billion in 2025, so even the market leader, The Vita Coco Company, holds a commanding position with a market share around 44.5% as of Q2 2025. Arcadia's total revenue is in the millions, meaning Zola® is a tiny, high-growth challenger in this massive, concentrated beverage category. The other competitor, Yield10 Bioscience, represents the pure-play, high-tech agricultural genetics niche that Arcadia has largely exited.

Opportunities & Challenges

The company's near-term outlook is a high-wire act balancing brand-driven growth against major corporate and financial risks.

• Zola® Brand-Driven Growth: Zola® year-to-date revenues grew 26% in the first nine months of 2025, significantly outpacing the overall category, which is a strong signal for the brand's potential.
• Streamlined Operating Model: The sale of legacy assets like GoodWheat™ for $3.7 million and the elimination of $2 million in contingent liabilities year-to-date have dramatically reduced operating expenses and sharpened the focus on the CPG business.
• Coconut Water Market Expansion: The global coconut water market is projected to grow to over $7.1 billion in 2025, providing a massive tailwind for successful niche brands.
• Business Combination Uncertainty: The pending all-stock transaction with Roosevelt Resources, which would result in Roosevelt partners owning 90% of the combined company, is facing timing uncertainty due to factors like the ongoing federal government shutdown. A delay or failure to close could disrupt the entire long-term strategy.
• Critical Liquidity and Capital Needs: As of September 30, 2025, the company's cash and equivalents stood at just $1.1 million, with a net cash decrease of $256,000 in Q3 2025, highlighting urgent liquidity concerns.
• Uncertainty of Receivable Collection: The company recognized a significant credit loss of $4.7 million in the first nine months of 2025 related to the note receivable from Above Food Corp., which casts doubt on near-term financial stability.

Industry Position

Arcadia Biosciences, Inc. is transitioning from a small-cap ag-bio firm to a micro-cap CPG company focused on a single product, a move that fundamentally changes its industry standing.

• Niche CPG Player: The company's core asset is Zola® coconut water, which maintains gross profit margins above 30% for 11 consecutive quarters, demonstrating operational efficiency in its new focus area.
• Post-Biotech Divestiture: The sale of its non-GMO Resistant Starch durum wheat trait to Corteva Agriscience for $4.0 million and the GoodWheat™ brand marks a near-complete exit from the capital-intensive agricultural research sector.
• Valuation Driver: The primary near-term value driver is the successful execution of the business combination with Roosevelt Resources, which is expected to provide a new business focus and capital structure, though the 90%/10% exchange ratio heavily favors the Roosevelt partners.
• Cash Burn Reality: Despite cost-cutting, the company's low cash balance of $1.1 million as of Q3 2025 and continued negative cash flow from operations mean it is defintely in a precarious financial position, requiring external funding or the Roosevelt deal to sustain operations.

For a deeper dive into the capital structure and who is betting on this turnaround, you should read Exploring Arcadia Biosciences, Inc. (RKDA) Investor Profile: Who's Buying and Why?