WINNIPEG, MB – August 12, 2021 – Farmers Edge Inc. (“Farmers Edge” or the “Company”) (TSX: FDGE), a pure- play digital agriculture company reported its financial results for the three months and six months ended June 30, 2021. All amounts are expressed in Canadian dollars. Certain metrics are non-IFRS measures or key performance indicators. See “Non-IFRS Financial Measures and Key Performance Indicators” below.

Business Highlights

New Digital Agronomy Acres with higher revenue quality of 3.4 million were added in the first half of 2021 (1.3 million acres Q2’21), primarily under the Progressive Grower Program which have a one-year free period.

Growers in Canada contractually committed 1.5 million acres to the Company’s Smart Carbon program which will increase revenues substantially starting in the fourth quarter of 2021 and help drive conversion to fertility subscriptions.

Revenue was lower by $2.9 million for the second quarter over the same period in 2020 but relatively flat for the six-month period. The Company’s fertility revenue related to the last fertility season was fully recognized by the end of the first quarter 2021 ($1.6 million recognized in the second quarter of 2020) and there were $1.5 million of commercial contract subsidies in the second quarter of 2020 that did not repeat in the current period.

Reduced EBITDA Loss for the second quarter by $4.5 million (33%) and by $12.8 million (42%) for the six-month period over the comparative periods in 2020 (including a one-time settlement gain of $8.2 million).

Net Loss improved by $9.0 million (47%) for the second quarter and $20.4 million (43%) for the six-month period over the comparative periods in 2020.

Subsequent event – acquisition of CommoditAg and entered into a 14.5-million-acre, multi-year commitment with its current owners.

“The launch of our Smart Carbon program has been a significant event for the company, positioning us as a leader of aggregating agricultural carbon offsets and supporting our digital platform subscriptions,” said Wade Barnes, Chief Executive Officer and founder of Farmers Edge. “The June launch has created a lot of interest which is evident from having 1.5 million acres under contract for Smart Carbon and we expect to sign up over 1 million more Smart Carbon acres in Canada over the next couple of months. Most growers will also have access to multiple years of carbon offsets to serialize, aggregate and sell in the coming months. This program will generate significant revenue while supporting the environment. It is a win-win as growers will get a new carbon revenue stream that may exceed the cost of our top subscription fertility products. An equivalent program for the US customers is being completed and is expected to be operational in 2022.”

The Company has reached an agreement to acquire CommoditAg, LLC (“CommoditAg”), an e-commerce platform developed and owned by nine influential cooperatives in the United States. These owners and existing retail distribution partners of CommoditAg service farmers on over 70 million acres. CommoditAg partners with local retailers to offer farmers a differentiated, comprehensive, and convenient online marketplace with access to various products and technologies. This acquisition will allow the Company to expand and diversify its revenue, expand its product service offering, and promote the Company’s suite of Smart products through CommoditAg’s online marketplace. The purchase price is US $4.6 million of cash on closing, normal closing adjustments and an earn-out to a maximum of US $7.2 million of additional cash based upon the business meeting certain performance targets over the next three years. The Company plans to finalize the acquisition over the next several business days.

The Company and the current owners of CommoditAg are concurrently entering into agreements committing the group of cooperatives, on a best-efforts basis, to provide introductions to farmers with the goal of signing at least 14.5 million new Progressive Grower Program acres to our FarmCommand platform by December 31, 2023. The owners will be paid a commission incentivizing them to identify strategic farmers and for the conversion of such farmers to paid acres after the one-year free period.

David Patrick, Chief Financial Officer, will be leaving the Company in September 2021 to return to his former employer. The board will be overseeing the search process and Lori Robidoux will act as interim Chief Financial Officer. Ms. Robidoux was the Chief Financial Officer of the Company for approximately six years before retiring a year ago. Wade Barnes, Chief Executive Officer of the Company, said “I want to thank David for his work and wish him success in his future endeavors. We also welcome Lori back and look forward to working with her during this transition period.”


in thousands, except per share amounts Three Months Ended Six Months ended
2021 2020 2021 2020
for periods ended June 30
Revenues $6,150 $9,053 $16,033 $16,427
Operating expenses (1,2) $15,158 $22,568 $33,394 $46,611
EBITDA (2) $(9,008) $(13,515) $(17,361) $(30,184)
Adjusted Gross Profit (Loss) (2) $3,065 $(2,804) $2,674 $(7,920)
Net loss (2) $(9,993) $(18,965) $(27,257) $(47,698)
Loss per share – basic & diluted (2,3) $(0.24) $(1.93) $(0.86) $(4.84)
Free Cash Flow (2) $(9,266) $(13,681) $(19,531) $(35,922)
June 30,
December 31,
as at date specified
Total assets $163,824 $79,484
Total liabilities $21,749 $370,887
Total equity $142,075 $(291,403)
June 30,
December 31,
as at date
Digital Agronomy Acres (4) 19,173 18,256
Other Acres (4) 3,597 5,101
Total Subscribed Acres (4) 22,770 23,357
Annual Recurring Revenue (ARR) (4) $62,380 $53,421
  1. Operating Expenses include Cost of revenue, Data and technology infrastructure expenses, Selling and marketing expenses, Product research and development expenses, and General and administrative expenses as set out on the Company’s Statements of Operations and Comprehensive Loss in its Financial
  2. The current period results for the three and six-month periods ending June 30, 2021 were positively impacted by and included a one- time settlement gain recorded in the second quarter of $8.2 million on the negotiation of a new satellite imagery contract.
  3. Due to net losses incurred, potentially dilutive securities have been excluded from the calculation of diluted loss per share because including them would be anti-dilutive. The loss per share – basic and diluted for the period ending June 30, 2020 have been retrospectively adjusted to reflect the consolidation of common shares on a 7:1 basis.
  4. Growth year-to-date in Digital Agronomy Acres of 13% has a stronger mix of acres and future revenue generating ARR as at June 30, 2021 excludes the one time benefit of farmers creating carbon offset claims related to prior years over the next several months.
    • The Company’s ARR as at June 30, 2021 was $62.4 million and has increased by $9.0 million over the first six months of 2021. The increase is mainly attributed to the new, higher revenue acres added in North America under the Progressive Grower Program (2.4 million acres) and the addition of carbon offset revenue. This is partially offset by a combination of acres discontinued, which were low revenue generating acres, and the strengthening of the Canadian dollar as at the end of June 2021 that values the foreign ARR lower in Canadian
    • Revenue generated of $6.2 million for the second quarter was lower by $2.9 million (32%) from the same period in 2020, mainly from lower levels of revenue subsidies from channel partners in the current quarter ($1.5 million) and a delay in conversions of 2020 Elite program free period acres with the recent deployment of the Smart Carbon program. In addition, fertility revenues were completed by the end of the first quarter of 2021, whereas $1.6 million were generated in the second quarter of A stronger Canadian dollar in the current period also reduced foreign earned revenues. On a six-month basis, revenue generated was relatively flat with a 2% decrease in the current period.
    • During the second quarter, the Company successfully negotiated and entered into a new contract with a satellite imagery provider for services covering the period to the first quarter of 2024 and settled a liability for 2020 services The current period results were positively impacted by a one-time settlement gain recorded in the second quarter of $8.2 million.
    • EBITDA costs were impacted by the one-time settlement gain for satellite imagery. In addition, cost management strategies have reduced EBITDA costs for a decrease of $13.2 million (28%) for the six- month period of 2021 over the same period in
    • Both Adjusted Gross Profit and EBITDA Loss improved in the current period highlighting the execution of cost management and scalability of the business. These were positively impacted by the settlement Adjusted Gross Profit was $3.1 million, an increase of $5.9 million for the second quarter over the same period in 2020 ($10.6 million increase for the six-month period). EBITDA loss was $9.0 million, an improvement of $4.5 million for the second quarter over the same period in 2020 ($12.8 million increase for the six-month period).
    • Free Cash Flow improved by $4.4 million (32%) and $16.4 million (46%) for the three- and six-month periods in 2021 over the same periods in 2020 coming from improvements in EBITDA loss and lower amounts of capitalized development costs as intangible
    • Net Loss improved by $9.0 million (47%) and $20.4 million (43%) for the three- and six-month periods in 2021 over the same periods in The improvements in EBITDA loss, foreign exchange gains and lower finance costs post the initial public offering have reduced the Net Loss.


The Company continues to add Digital Agronomy acre subscriptions, mostly with the Progressive Grower Program, which does not add revenue until the one-year free period expires. Over the first six months of 2021 we have added 2.4 million new Digital Agronomy acres in North America, 0.5 million new Digital Agronomy acres in Brazil and 0.2 million in Australia. The Company has contractual commitments from several new channel partners that are expected to result in new growers starting their Progressive Grower Program subscriptions in the back half of 2021. The Smart Carbon program is also helping move digital subscriptions up the product ladder to include fertility subscriptions in Canada.

The Company is still confident in meeting our medium-term goals from the initial public offering in March.

See the Company’s management discussion and analysis and interim consolidated financial statements for the three- and six-months ending June 30, 2021, and more information on the results are available on the Company’s website ( and on SEDAR (

Conference Call Notice
Farmers Edge will hold a live audio webcast at 8:30 a.m. Eastern Time on Friday, August 13, 2021 to discuss the Company’s financial results and business highlights. All interested parties are invited to listen to the live audio webcast at Following the event, a replay of the webcast will be available on the Farmers Edge Investor Relations website.

Non-IFRS Financial Measures and Key Performance Indicators
This press release makes reference to certain non-IFRS measures and key performance indicators (“KPIs”). These measures are not recognized measures under IFRS and do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management’s perspective. Accordingly, these measures should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. We make reference to the following non-IFRS measures: “Adjusted Gross Profit”, “EBITDA” and “Free Cash Flow”. This press release also makes reference to “Annual Recurring Revenue” or “ARR” and “Digital Agronomy Acres”, “Other Acres” and “Subscribed Acres”, which are operating metrics used in our industry. These non-IFRS measures and KPIs are used to provide investors with supplemental measures of our operating performance and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS measures. We also believe that securities analysts, investors and other interested parties frequently use non- IFRS measures in the evaluation of issuers. Our management also uses non-IFRS measures and KPIs in order to facilitate operating performance comparisons from period to period, to prepare annual operating budgets and forecasts and to determine components of management compensation. Definitions of these non-IFRS measures and KPIs, as well as a reconciliation of the non-IFRS measures to their most directly comparable measures calculated in accordance with IFRS, can be found under the heading “Key Performance Indicators and Non IFRS measures” in the Company’s management discussion and analysis filed today, August 12, 2021, which is available on the Company’s website ( and on SEDAR (

About Farmers Edge
Farmers Edge is leading the next agricultural revolution with the industry’s broadest portfolio of proprietary technological innovations, spanning hardware, software, and services. Powered by a unique combination of connected field sensors, artificial intelligence, big data analytics, and agronomic expertise, the Company’s digital platform turns data into actions and intelligent insights, delivering value to all stakeholders of the agricultural ecosystem. Farmers Edge disruptive technologies accelerate digital transformation on the farm and beyond, protecting our global resources and ensuring sustainable food production for a rapidly growing population.

For more information, please visit and SEDAR (

Forward-Looking Information
This press release may contain forward-looking information within the meaning of applicable securities legislation. Such information includes, but is not limited to, statements related to the Company’s anticipated results and future cost savings and its future business prospects, partnerships and opportunities, including the planned further expansion into the carbon credit market, and the anticipated benefits therefrom. Words such as “expect,”, “anticipate”, “intend,”, “may,”, “will”, “estimate” and variations of such words and similar expressions are intended to identify such forward-looking information. This information is based on the Company’s reasonable assumptions and beliefs in light of the information currently available to it and the statements are made as of the date of this press release. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company’s control, that could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such assumptions, risks and uncertainties include, but are not limited to, the factors discussed under “Forward-Looking Information” and “Risk Factors” in the Company’s Annual Information Form dated March 29, 2021 and under the “Risk Factors” section in the Company’s management discussion and analysis filed today, August 12, 2021, each of which are available on the Company’s website ( and on SEDAR ( The Company cautions that the list of risk factors and uncertainties is not exhaustive and other factors could also adversely affect the Company’s results. Readers are urged to consider the risks, uncertainties and assumptions associated with these statements carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such information. The Company does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.

For further information:
Farmers Edge Investor Relations:
(204) 992-7019

Farmers Edge Media Relations:
Richard Berman
(647) 294-8372