Organto Foods Inc. provided sales guidance for the full year 2023. Year to date operating results have been less than initially expected due to a combination of delays or changes in account development plans and a number of supply chain challenges. Initial projections for 2023 were for an increase in sales of approximately 135% versus 2022, to approximately $50 million, and an approximate 200% increase in gross profit in dollar terms. While sales and gross profit have increased, including record quarterly sales and gross profit dollars in both the first and second quarters of 2023, the Company has encountered several challenges with sales growth being approximately 25% to date in 2023 and growth in gross profit dollars being approximately 60% so far in 2023.

While growth has been slower than expected, the Company expects upward sales trends to continue and believes that it will exit 2023 at sales run rates in excess of $50 million with gross profit as a percentage of sales showing improvement.