INTEGRATED BIOPHARMA INC

Integrated BioPharma, Inc.

Purpose and primary business

Integrated BioPharma manufactures, distributes, markets, and sells vitamins, nutritional supplements, and herbal products. Customers are located primarily in the United States and Luxembourg.

Corporate structure and segments

• Contract Manufacturing (operated by MDC, Manhattan Drug Company, Inc.): manufactures vitamins and nutritional supplements for distributors, multilevel marketers, and specialized health-care providers.
• Other Business Lines:
  • MDC Warehousing and Distribution, Inc.: warehousing and fulfillment services.
  • Chem International, Inc.: distributor of raw materials for DSM Nutritional Products LLC and the Company’s holding entity.
  • Other inactive subsidiaries.

Major customers and revenue concentration

• In the fiscal years ended June 30, 2026 and 2025, approximately 90% and 84% of consolidated net sales were from two customers in the Contract Manufacturing segment.
• Contract Manufacturing customers:
  • Life Extension Quality Supplements and Vitamins, Inc. (“Life Extension”): about 68% of Contract Manufacturing net sales in 2026 and about 62% in 2025.
  • Herbalife Nutrition LTD (“Herbalife”): about 25% of Contract Manufacturing net sales in 2026 and about 26% in 2025.
• Other Business Lines customers (important to the segment):
  • Life Tech and four customers (Trusted Influencers Inc., Thermosource Tooling and Manufacturing, Life Tech, Eastern Drayage): represented 29% and 32%, 25%, 11% and 10%, respectively, of Other Business Lines net sales in 2026 and 2025, respectively.

Development and supply agreements

Effective January 1, 2026, MDC entered into development and supply agreements with Herbalife International of America, Inc. and Herbalife International of Luxembourg S.à.R.L. to develop, manufacture, and supply certain products. These agreements terminate on December 31, 2028. The agreements do not obligate MDC to supply any particular amount of goods to Herbalife, nor require Herbalife to commit to minimum orders.

Seasonality

The nutraceutical business can be seasonal. Currently there is no material seasonality in Contract Manufacturing sales, though December quarters have shown seasonality in the past based on customer demand.

Regulation and compliance

The company is subject to regulation by the FDA (manufacturing, labeling, and sale), FTC (advertising), USPS, CPSC, USDA, and various state and local regulators. It complies with DSHEA (dietary supplements), FDA dietary supplement GMPs, and NLEA labeling requirements. Potential regulatory changes and enforcement actions could affect labeling, claims, ingredient safety, and product approvals.

Competition, development, and R&D

The manufacturing and marketing environment is highly competitive, with emphasis on product quality, service, pricing, and niche international markets. The company reports no significant in-house research and development activities.

Suppliers and raw materials

Raw materials include natural and synthetic vitamins, minerals, herbs, capsules, coatings, fruit extracts, and packaging components. Materials are sourced from multiple suppliers. MDC’s Other Business Lines has a principal supplier (DSM Nutritional Products LLC) and additional suppliers serve the Contract Manufacturing segment. Purchases are generally on a purchase-order basis with no long-term commitments.

Cybersecurity and IT

The company maintains ongoing IT and cybersecurity efforts to protect data and operations and relies on cloud providers and third-party vendors.

Environmental and climate risks

Integrated BioPharma is subject to environmental laws and may incur capital expenditures to maintain compliance. Climate-change-related risks include potential supply chain disruptions, changing costs for energy, transportation, and raw materials, and physical risks from extreme weather.

Employees

As of September 23, 2026, the company had approximately 134 full-time employees. Ninety-nine employees are in a local Teamsters union collective bargaining unit (agreement expired September 30, 2026). Thirty-five employees are non-union: approximately 17 administrative/professional, 13 laboratory/quality assurance, 1 sales/marketing, and 4 production/shipping.

Real estate and facilities

• Hillside, New Jersey: MDC office/warehouse space. A Fourth Lease Amendment effective around 2026 sets 110,095 rentable square feet and minimum annual rent of $1,101 (plus real estate taxes and operating expenses); lease expires January 31, 2029.
• MDC Manufacturing Facility: 40,000 square feet owned by the Company in Hillside, NJ, used for tablet and capsule manufacturing.
• Elizabeth, New Jersey: MDC Warehousing and Distribution, Inc. lease for 12,500 square feet; minimum annual rent starting at $134 and increasing to $150 by year five; lease expires November 30, 2027. The Fourth Lease Amendment reduced prior leased space from 116,175 to 110,095 rentable square feet.

Financial detail

Material revenue detail centers on the concentration of net sales among major customers, as described above.

Shareholding and market status

The company’s stock has traded on various markets and is described as being quoted on OTC markets (OTCQX Best Market), with associated considerations about liquidity and listing status.