• Functional Brands posted a net loss of $6.99 million for quarter ended March 31, 2026, widening from a year earlier on other expense of $6.31 million.
• Net revenue rose 3% to $1.65 million, while operating loss widened to $682,805.
• Sales and marketing expenses climbed 48% to $263,707, while general and administrative expenses jumped 92% to $1.38 million.
• Cash used in operating activities was $424,559, while cash used in financing activities totaled $1.22 million.
• Entered a binding letter of intent May 11, 2026 for acquisition of intellectual property and related assets, with expected consideration of about $142.9 million in convertible preferred stock that would leave current stockholders with about 1.72% of combined company.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Functional Brands Inc. published the original content used to generate this news brief via EDGAR, the Electronic Data Gathering, Analysis, and Retrieval system operated by the U.S. Securities and Exchange Commission (Ref. ID: 0001213900-26-057934), on May 15, 2026, and is solely responsible for the information contained therein.