Hydrofarm is an excellent way to take advantage of the accelerating growth of the Controlled Environmental Agriculture industry.

 
Massive Market Opportunity
Unprecedented tailwinds for our large and rapidly-growing end-markets as cannabis legalization expands
 
 
 
 
Unique Position
Truly unique ability to invest pure-play in the long-term growth of CEA and cannabis without ever touching the plant
Differentiated branded product offering
Majority of sales are from products that are only or primarily sold by Hydrofarm and allow for advantaged margins
 
 
 
 
High proportion of consumables
~2/3 of sales come from consumables, which create a large source of recurring revenue
Winning platform
Supply chain excellence with just-in-time coverage of North America and disruptive DMI technology
 
 
 
 
Impressive growth algorithm
15-year track record of double-digit revenue growth with a clear path to mid-teens+ organic topline growth over the long-term
Driving Profitability
Significant EBITDA and margin growth in 2020, with material and sustainable margin upside ahead
 
 
 
 
Consolidator of choice
Differentiated positioning expands opportunity set to broaden industry footprint and strengthen portfolio

Hydrofarm is a leading independent CEA solutions and pure-play hydroponics solution provider in North America

~309mm
LTM Q3 2020 Net Sales
~60%
Sales from margin-advantaged proprietary and preferred brands
+17%
Sales CAGR since 2005
+16%
'19 - '23 CAGR Global CEA Market
40+
Years of operating experience
~2/3
Sales from consumables with recurring revenue streams
 
Reduced food waste
 
Lower fertilizer & pesticides usage
 
CEA can grow plants with up to 98% less water than soil based agriculture
 
The yield of vertical farming, a form of CEA, is 20x more than that of outdoor farming per acre
 
Reduced carbon emissions
 
Zero chemical runoff