- Happy Belly Food Group (CSE:HBFG) posted unaudited financial results for Q3 2025 further substantiating the company’s path to long-term growth
- Happy Belly Food Group acquires and scales emerging food brands across Canada
- The restaurant stock has added 96.59 per cent year-over-year and more than 1,300 per cent since adopting the Happy Belly name in August 2022
Happy Belly Food Group (CSE:HBFG), an emerging food brand acquirer, posted unaudited financial results for Q3 2025 further substantiating the company’s path to long-term growth. Here’s a breakdown:
- System wide sales across quick service restaurants of C$19.2 million, up 125 per cent year-over-year (YoY), thanks to organic baseline restaurant growth and the addition of 12 units under the Heal Wellness, Rosie’s Burgers, Salus Fresh Foods and iQ foods brands, reaching 75 operating restaurants at quarter end, up 109 per cent YoY.
- Operating revenue, vendor rebates and interest income of C$7.2 million, up 194 per cent YoY.
- Product sales of C$6 million, up 224 per cent YoY, with royalties and franchise fee revenues of C$1.1 million, up 297 per cent YoY, collected from 55 franchise restaurants.
- Adjusted EBITDA of C$700,000, up from C$100,000 YoY.
- Net income from operations of C$100,000, up from a net loss of C$100,000 YoY, marking the company’s third consecutive quarter in the black under the metric.
- Cash flow from operating activities of C$800,000, up from a C$200,000 loss YoY.
- Net working capital of C$2.8 million at quarter end, with cash and cash equivalents of C$3.3 million.
The quarter continues Happy Belly’s vertiginous growth story, increasing revenue by more than 90 times from C$100,000 in 2020 to C$9.074 million in 2024 – with the company having already collected more than C$16 million through three quarters in 2025 – all while ushering operations into positive operating income over the past three quarters, including C$110,000 in Q2 and C$10,000 in Q1.
This impressive trajectory speaks highly about the long-term viabillity of leadership’s approach, which is described on Happy Belly’s investor relations page as “a dedicated playbook to improve business processes, increase revenue, reduce costs and deliver operational improvements,” in conjunction with helping to “shape the management team’s goals by supplying resources, strategic support, experience, relationships and capital to deliver on those goals.”
Should Happy Belly’s profitability continue to track exponential revenue growth, look for share price momentum to carry on unabated.
Management commentary
“In Q3 2025, Happy Belly Food Group achieved its 14th consecutive record quarter and third consecutive quarter of positive net income from operations. These milestones – including segmented EBITDA for the QSR division surpassing C$1 million and royalties & fees for the QSR division also surpassing C$1 million, both marking firsts for the company – reinforce our reputation as a disciplined, high-growth multi-brand restaurant operator with a predictable growth model. They highlight our ongoing mission to become Canada’s leading acquirer and scaler of emerging food brands while driving long-term shareholder value,” Sean Black, chief executive officer of Happy Belly Food Group, said in Wednesday’s news release.
“Our core principles have been the 3P’s: People, Product and Process, while staying operationally and financially disciplined throughout our execution plan,” Black added. “These strong results are a testament to the team-oriented culture we have built at Happy Belly. Our management team and brand partners are working together to support our franchisees in national and US expansion as we anticipate to deliver significant organic growth beyond our original expectations in 2026. With a clear focus on growth, we believe our best chapters are still to come.”
About Happy Belly Food Group
Happy Belly Food Group acquires and scales emerging food brands across Canada.
The restaurant stock (CSE:HBFG) last traded at C$1.73 and has added 96.59 per cent year-over-year and more than 1,300 per cent since adopting the Happy Belly name in August 2022.
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