Arcadia Biosciences, Inc. (RKDA): BCG Matrix [Dec-2025 Updated]

Arcadia Biosciences, Inc. is definitely in a state of flux as we hit late 2025, making its BCG map a fascinating study in high-stakes transition; you've got Zola Coconut Water acting as the clear Star, showing 26% year-to-date growth and driving $3.96 million in revenue, which is being bankrolled by harvesting legacy assets like IP sales that brought in $2.8 million. Still, the old GLA Oil line is a Dog with $0 revenue, but the real story is the massive Question Mark: the pending merger with Roosevelt Resources, which will see current Arcadia shareholders owning only about 10% of the new entity. It's a pure-play bet on one consumer product funding a complete pivot, and honestly, the outcome hinges entirely on that merger closing.

Background of Arcadia Biosciences, Inc. (RKDA)

You're looking at Arcadia Biosciences, Inc. (Nasdaq: RKDA) and seeing a company deep into a strategic pivot, moving away from its agricultural roots toward a pure-play consumer wellness focus. Since its start in 2002, Arcadia Biosciences, Inc. has been about innovating high-value, healthy ingredients, but the story as of late 2025 is all about the brands it's keeping. Honestly, the transition has been messy, but the operational efficiency is starting to show.

The primary revenue engine now is unequivocally the Zola® coconut water brand. For the first nine months of 2025, the company's total revenue hit $3.96 million, and every penny of that came from Zola sales. That's a big deal because it represents a 3% increase year-over-year for the nine-month period, even though the prior year included revenue from legacy products like GLA oil. You can see the momentum in the core brand: Zola year-to-date revenues climbed 26% as of the third quarter of 2025.

To be fair, the quarterly picture is a bit more nuanced. While Zola® sales grew 90% in Q1 2025 over Q1 2024, the Q3 2025 results showed flat year-over-year revenue for that quarter. This was because Q3 2024 had the benefit of an incremental $165,000 from the initial sell-in to Zola's largest customer, which didn't repeat in Q3 2025. Still, the underlying operational health is improving; gross profit margins have now exceeded 30% for eleven straight quarters.

Arcadia Biosciences, Inc. has been actively shedding its older assets to streamline operations. For instance, they sold select patents for $750,000 in Q1 2025 and eliminated $1 million in liabilities that quarter, completing the exit from legacy businesses after agreements with Bioseed Research India. Plus, remember the GoodWheat™ assets sold in 2024? Arcadia Biosciences, Inc. received 2.7 million shares of Above Food Ingredients Inc. stock as a partial repayment on that note receivable.

The balance sheet remains tight, which is a near-term risk you need to watch. As of the Q3 2025 report, the cash balance stood at just $1.1 million, though the cash burn was managed well, declining by only $257K in the quarter. Furthermore, the future hinges on the pending business combination with Roosevelt Resources, Inc., which is still in progress but facing timing uncertainty due to external factors like the ongoing federal government shutdown. This transaction is structured as an all-stock deal, which is how Arcadia Biosciences, Inc. is financing its continued focus on the consumer wellness space.

Arcadia Biosciences, Inc. (RKDA) - BCG Matrix: Stars

The Star quadrant in the Boston Consulting Group Matrix represents business units or products with a high market share in a high-growth market. For Arcadia Biosciences, Inc. (RKDA), the Zola Coconut Water brand clearly occupies this position as of 2025.

Zola Coconut Water is the sole revenue driver for Arcadia Biosciences, Inc. (RKDA), accounting for $3.96 million in total revenue for the first nine months of 2025. This revenue stream posted a strong 26% year-to-date revenue growth for the first nine months of 2025 compared to the same period in 2024, driven by an increase of $820,000 in sales volume through expanded distribution. The company has not implemented any price increases during 2024 or 2025. This growth is indicative of a high-growth product in a market where Arcadia Biosciences, Inc. (RKDA) is successfully gaining share.

The product's market leadership and growth momentum are further evidenced by its velocity metrics in the first quarter of 2025. Sell-through, or scan data sales, increased by 76% during the 13 weeks ended March 29, 2025. This rate of sales growth significantly outperformed the overall coconut water category, which grew by only 24% during the same period. Furthermore, distribution for the brand saw a 70% expansion year-over-year in Q1 2025, showing the necessary investment in placement is occurring.

To maintain its Star status and transition into a Cash Cow, Zola Coconut Water requires continued investment to expand its market presence. The operational discipline supporting this growth is visible in the margin performance; gross profit margins have exceeded 30% for eleven consecutive quarters as of the third quarter of 2025. This product is consuming cash through necessary investment but is generating substantial revenue growth to support that consumption.

Here are the key performance indicators supporting the Star categorization for Zola Coconut Water:

The high-growth nature of this segment demands ongoing support for promotion and placement, which is the strategic action required for this quadrant:

• Continued investment to expand distribution footprint.
• Funding promotional activities to capture further market share.
• Maintaining gross margins above 30%.
• Focusing capital deployment on Zola to secure its market leadership.

The revenue generated by Zola in the first nine months of 2025 was $3.96 million, which is the entirety of Arcadia Biosciences, Inc. (RKDA)'s top line for that period. This concentration highlights the critical nature of this single asset.

Arcadia Biosciences, Inc. (RKDA) - BCG Matrix: Cash Cows

You're looking at the core stability of Arcadia Biosciences, Inc. (RKDA) portfolio, the units that fund the rest of the strategy. These are the established players in mature segments, demanding less investment for high returns. For Arcadia Biosciences, Inc., this quadrant is heavily influenced by the monetization of its legacy assets and the consistent performance of its established consumer brand.

The Legacy Intellectual Property (IP) Portfolio is defintely being actively monetized to generate non-dilutive capital, which is crucial for funding operations without issuing more stock. This harvesting of older assets is a classic Cash Cow move, letting you milk the existing value to fuel the pivot toward Question Marks or Stars. You're seeing the final stages of extracting value from past research and development efforts.

The financial evidence of this harvesting is clear in the 2025 results. Specifically, patent sales and transfers generated a \$2.8 million gain in 2025 from agreements with Bioceres and Bioseed. To be fair, this follows a \$4.0 million gain from RS durum wheat patent sales in 2024, showing a pattern of realizing value from this portfolio. A more discrete transaction in the first quarter of 2025 involved selling select patents for \$750,000.

The primary engine generating stable cash flow, however, is Zola coconut water. Its consistent gross profit margins, exceeding 30% for eleven straight quarters as of the third quarter of 2025, provide that reliable, high-margin return characteristic of a Cash Cow. This stability is what you want from a mature asset; it's predictable and profitable. The company is defintely harvesting mature assets to fund operations and the strategic pivot, and Zola's margins are the proof.

Here's a quick look at how Zola's performance and the IP monetization stack up through the first three quarters of 2025:

The strategy here is clear: maintain the infrastructure supporting Zola to keep those margins high while aggressively seeking one-time cash injections from the IP portfolio. You don't want to overspend on promotion for a mature brand, so keeping SG&A expenses at what the company described as an all-time low makes sense.

The key takeaways regarding these cash-generating units are:

• Zola coconut water revenues grew 26% year-to-date through Q3 2025.
• Gross margins have been above 30% for eleven straight quarters as of Q3 2025.
• The company realized a \$2.8 million gain from specific 2025 IP agreements.
• Legacy asset exits resulted in \$2.0 million in liability elimination year-to-date as of Q2 2025.

Finance: draft 13-week cash view by Friday.

Arcadia Biosciences, Inc. (RKDA) - BCG Matrix: Dogs

Dogs are business units or products characterized by a low market share in a low-growth market. For Arcadia Biosciences, Inc. (RKDA), these represent areas where the company has systematically reduced investment or completely exited to focus on core growth drivers like Zola® coconut water. These units frequently break even or consume minimal cash, but tying up capital in them is generally avoided.

The GLA Oil (gamma-linolenic acid) product line clearly falls into this category, as revenues for this product were $0 in the first nine months of 2025. This contrasts sharply with the first nine months of 2024, when GLA oil sales generated $701,000 in revenue. The cost of revenues for the first nine months of 2024 also included $64,000 in costs associated with GLA oil.

The GoodHemp business has been largely exited, aligning with the strategy to minimize Dogs. Evidence of this exit includes a write-down of $154,000 related to hemp and GoodWheat seed in the cost of revenues for the first nine months of 2024. The company has signaled a complete exit from legacy businesses, completing the process following an agreement with Bioseed Research India, which resulted in the elimination of the remaining $1 million in contingent liabilities, bringing the total eliminated year-to-date to $2 million (as of the second quarter of 2025 report).

The complete divestiture from a former core business is exemplified by the sale of GoodWheat™ assets in 2024. Arcadia Biosciences, Inc. (RKDA) sold the GoodWheat brand to Above Food Corp. for $4 million in net payments over three years. This strategic move involved over $2.0 million in transaction costs during 2024. As partial repayment of the $6 million principal amount of the related note receivable, Arcadia received 2.7 million shares of stock in Above Food Ingredients Inc. as of the second quarter of 2025.

The systematic elimination of these lower-performing assets and liabilities has provided financial benefits, such as a $1.0 million gain related to the change in fair value of contingent consideration liability recognized in the first quarter of 2025.

Here's a quick look at the financial impact associated with these legacy/exited segments:

Arcadia Biosciences, Inc. (RKDA) has taken clear actions to minimize exposure to these low-growth, low-share segments:

• Completed the sale of the GoodWheat™ brand in May 2024.
• Sold Resistant Starch Durum trait to Corteva Agriscience in May 2024.
• Eliminated the remaining $1 million in contingent liabilities related to legacy businesses by Q2 2025.
• GLA oil sales were absent in the first nine months of 2025.

Arcadia Biosciences, Inc. (RKDA) - BCG Matrix: Question Marks

You're looking at the future of Arcadia Biosciences, Inc. (RKDA) through the lens of the Question Marks quadrant, which is dominated by the pending business combination with Roosevelt Resources LP. This proposed entity sits squarely in a high-growth market-Carbon Capture, Utilization, and Storage (CCUS)-but currently holds a low relative market share, consuming cash while awaiting critical validation.

The core of this Question Mark is Roosevelt's primary asset: a CCUS oil and natural gas project. This asset spans 16,208 contiguous acres on the Northwest Shelf of the Texas Permian Basin. The development plan is aggressive, projecting an anticipated peak production capacity in 2051 of 55,000 gross barrels of oil equivalent per day (boepd). To get there, Roosevelt estimated development costs to complete the initial CO2 distribution system, drill injection wells, and complete initial injections through 2025 would be in the range of $125 million.

The structure of the deal itself highlights the low relative market positioning of the existing Arcadia entity within this new paradigm. Following the closing of the all-stock transaction, the current Arcadia shareholders are expected to own only approximately 10% of the combined company. Conversely, the current equity owners of Roosevelt are expected to own approximately 90% of the outstanding shares, subject to adjustments.

The path to realizing this potential is fraught with execution risk, a classic Question Mark dilemma. The transaction is subject to customary closing conditions and regulatory approvals, most notably the filing and effectiveness of the Registration Statement on Form S-4 with the Securities and Exchange Commission (SEC). The preliminary proxy statement/prospectus was filed on February 14, 2025, and was later amended on July 31, 2025. As of the third quarter 2025 earnings release on November 7, 2025, the CEO noted that uncertainty exists regarding the timing, citing factors outside of the company's control, specifically mentioning the ongoing federal government shutdown that went into effect over a month prior.

To understand the cash dynamics leading up to this potential shift, you should look at the pre-merger entity's recent performance, which shows the cash drain typical of a Question Mark. For the first nine months of 2025, Arcadia's cash balance declined by only $257K to $1.1M. This cash management was aided by prior monetization efforts, such as the sale of select patents in Q1 2025 for $750,000 and the elimination of $1 million in liabilities. Furthermore, in May 2024, the sale of the Resistant Starch (RS) Durum trait to Corteva Agriscience generated $4.0 million in cash.

Here is a snapshot of the key figures related to the proposed entity's scale and the ownership structure:

The current operational focus of the legacy Arcadia business, which is being streamlined ahead of the combination, centers on Zola® coconut water. You can see the growth in that segment:

• Zola® year-to-date revenues increased 26% for the first nine months of 2025 versus the same period in 2024.
• Zola® revenues increased 90% year-over-year in the first quarter of 2025.
• Arcadia gross profit margins exceeded 30% for the 11th straight quarter as of Q3 2025.
• SG&A expenses for the legacy business were at an all-time low as of Q3 2025.

The success of this Question Mark hinges entirely on the SEC declaring the Form S-4 effective and the resolution of external factors like the government shutdown. If the transaction closes, the combined entity will be renamed Roosevelt Resources, Inc., and is expected to trade under a new symbol, assuming Nasdaq approval.