Revenue growth has stalled, with 2026Q1 top-line performance contracting to $5.4 million alongside a gross margin compression to 38.1% from the 44.7% peak observed in 2023Q4.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 |
|---|
| Sales/Revenue | 24.98M | 24.89M | 25.75M | 25.14M | 24.84M | 21.93M | 20.08M | 20.77M | 17.8M | 15.45M | 11.62M | 10.4M | 8.76M | 5.53M | 5.26M | 4.23M | 3.27M | 2.66M | 2.4M | 2.31M | 1.54M | 957.89K | 451.31K | 32.26M | 57.11M | 62.98M | 71.3M | 63.8M |
| Revenue Growth % | -1.78% | -3.32% | 2.43% | 1.17% | 13.28% | 9.24% | -3.36% | 16.68% | 15.24% | 33% | 11.73% | 18.6% | 58.4% | 5.17% | 24.3% | 29.26% | 23.08% | 10.72% | 4.12% | 49.86% | 60.76% | 112.25% | -98.6% | -43.51% | -9.32% | -11.66% | 11.76% | - |
| Cost of Goods Sold | 15.63M | 15.38M | 15.18M | 14.61M | 14.38M | 12.2M | 11.15M | 11.7M | 10.06M | 8.63M | 6.2M | 5.54M | 5M | 2.83M | 2.43M | 1.88M | 1.47M | 1.31M | 1.07M | 968.48K | 781.49K | 534.16K | 160.83K | 26.87M | 41.9M | 44.43M | 45.5M | 38.7M |
| COGS % of Revenue | - | 61.8% | 58.98% | 58.14% | 57.87% | 55.6% | 55.53% | 56.3% | 56.5% | 55.85% | 53.4% | 53.3% | 57.06% | 51.09% | 46.21% | 44.52% | 45.04% | 49.41% | 44.67% | 41.97% | 50.75% | 55.76% | 35.64% | 83.27% | 73.37% | 70.54% | 63.81% | 60.66% |
| Gross Profit | 9.36M | 9.51M | 10.56M | 10.52M | 10.47M | 9.74M | 8.93M | 9.08M | 7.74M | 6.82M | 5.41M | 4.85M | 3.76M | 2.71M | 2.83M | 2.35M | 1.8M | 1.35M | 1.33M | 1.34M | 758.44K | 423.74K | 290.47K | 5.4M | 15.21M | 18.55M | 25.8M | 25.1M |
| Gross Margin % | 37.45% | 38.2% | 41.02% | 41.86% | 42.13% | 44.4% | 44.47% | 43.7% | 43.5% | 44.15% | 46.6% | 46.7% | 42.94% | 48.91% | 53.79% | 55.48% | 54.96% | 50.59% | 55.33% | 58.03% | 49.25% | 44.24% | 64.36% | 16.73% | 26.63% | 29.46% | 36.19% | 39.34% |
| Gross Profit Growth % | - | -9.98% | 0.38% | 0.52% | 7.51% | 9.06% | -1.66% | 17.24% | 13.53% | 26.01% | 11.5% | 29% | 39.05% | -4.37% | 20.51% | 30.49% | 33.72% | 1.23% | -0.73% | 76.59% | 78.99% | 45.88% | -94.62% | -64.51% | -18.01% | -28.09% | 2.79% | - |
| Operating Expenses | 7.99M | 8.3M | 8.36M | 7.83M | 7.82M | 7.43M | 7.24M | 7.53M | 6.87M | 6.74M | 4.78M | 4.06M | 3.42M | 2.68M | 2.34M | 1.67M | 1.44M | 1.46M | 1.08M | 2.07M | 2.3M | 1.41M | 238.06K | 10.7M | 11.25M | 18.43M | 19.7M | 16M |
| OpEx % of Revenue | - | 33.35% | 32.45% | 31.13% | 31.46% | 33.9% | 36.07% | 36.23% | 38.58% | 43.62% | 41.14% | 39.05% | 39% | 48.42% | 44.51% | 39.5% | 43.98% | 55.05% | 45.06% | 89.69% | 149.5% | 147.62% | 52.75% | 33.18% | 19.69% | 29.27% | 27.63% | 25.08% |
| Selling, General & Admin | 7.99M | 8.3M | 8.36M | 7.83M | 7.82M | 7.43M | 7.24M | 7.53M | 6.87M | 6.74M | 4.78M | 4.06M | 3.42M | 2.68M | 2.34M | 1.67M | 1.44M | 1.47M | 1.44M | 2.07M | 2.3M | 1.41M | 238.06K | 7.87M | 8.27M | 13.09M | 14.2M | 12.4M |
| SG&A % of Revenue | - | 33.35% | 32.45% | 31.13% | 31.46% | 33.9% | 36.07% | 36.23% | 38.58% | 43.62% | 41.14% | 39.05% | 39% | 48.42% | 44.51% | 39.5% | 43.98% | 55.2% | 59.95% | 89.69% | 149.5% | 147.62% | 52.75% | 24.39% | 14.48% | 20.78% | 19.92% | 19.44% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 70K | 0 | 222K | 186K | 43K | 43K | 43K | 12.8K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | 0.35% | - | 1.25% | 1.2% | 0.37% | 0.41% | 0.49% | 0.23% | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | -70K | 0 | 14.27K | 14.58K | 4.13K | 770 | 3.2K | 1.47K | 4.24K | 0 | 0 | -4K | -357.8K | 0 | 0 | 0 | 0 | 2.84M | 2.97M | 5.34M | 5.5M | 3.6M |
| Operating Income | 1.36M | 1.21M | 2.21M | 2.7M | 2.65M | 2.3M | 1.69M | 1.55M | 874.55K | 82.18K | 634.5K | 795.23K | 344.73K | 27.31K | 488.28K | 676.52K | 359.46K | -118.69K | 246.76K | -730.44K | -1.54M | -990.27K | 52.41K | -5.31M | 3.97M | 121.55K | 6.1M | 9.1M |
| Operating Margin % | 5.45% | 4.84% | 8.57% | 10.73% | 10.67% | 10.5% | 8.4% | 7.47% | 4.91% | 0.53% | 5.46% | 7.65% | 3.93% | 0.49% | 9.28% | 15.98% | 10.98% | -4.46% | 10.27% | -31.65% | -100.25% | -103.38% | 11.61% | -16.44% | 6.94% | 0.19% | 8.56% | 14.26% |
| Operating Income Growth % | - | -45.36% | -18.17% | 1.7% | 15.15% | 36.51% | 8.7% | 77.46% | 964.17% | -87.05% | -20.21% | 130.69% | 1162.36% | -94.41% | -27.83% | 88.21% | 402.85% | -148.1% | 133.78% | 52.69% | -55.9% | -1989.4% | 100.99% | -233.8% | 3162.33% | -98.01% | -32.97% | - |
| EBITDA | 1.84M | 1.86M | 2.85M | 3.33M | 3.36M | 3.1M | 2.68M | 2.65M | 1.82M | 936.36K | 902.14K | 1.05M | 570.36K | 147K | 582.39K | 751.4K | 441.22K | -62.3K | 291.38K | -700.33K | -1.5M | -952.82K | 65.64K | -8.14M | 980.32K | -5.22M | 600K | 5.5M |
| EBITDA Margin % | 7.36% | 7.46% | 11.09% | 13.25% | 13.53% | 14.14% | 13.37% | 12.75% | 10.21% | 6.06% | 7.77% | 10.12% | 6.51% | 2.66% | 11.07% | 17.75% | 13.47% | -2.34% | 12.13% | -30.35% | -97.72% | -99.47% | 14.55% | -25.23% | 1.72% | -8.29% | 0.84% | 8.62% |
| EBITDA Growth % | -33.2% | -34.97% | -14.32% | -0.92% | 8.38% | 15.57% | 1.32% | 45.79% | 94.05% | 3.79% | -14.2% | 84.36% | 287.99% | -74.76% | -22.49% | 70.3% | 808.21% | -121.38% | 141.61% | 53.46% | -57.93% | -1551.48% | 100.81% | -930.45% | 118.78% | -970.09% | -89.09% | - |
| D&A (Non-Cash Add-back) | 477K | 650K | 647K | 634K | 710K | 799K | 997K | 1.1M | 942.42K | 854.18K | 267.64K | 256.27K | 225.64K | 119.7K | 94.11K | 74.88K | 81.77K | 56.39K | 44.62K | 30.11K | 38.98K | 37.45K | 13.23K | -2.84M | -2.98M | -5.34M | -5.5M | -3.6M |
| EBIT | 1.36M | 1.21M | 2.98M | 2.7M | 2.82M | 3.63M | 1.86M | 1.49M | 874.55K | 82.18K | 634.5K | 795.23K | 347.93K | 28.78K | 507.62K | 669.64K | 361.14K | -117.68K | 250.49K | -730.44K | -1.54M | -990.27K | 52.41K | -5.31M | 3.97M | -3.16M | 1.87M | 9.1M |
| Net Interest Income | 17K | 21K | 31K | -5K | -3K | -6K | -13K | -10K | -4.84K | -1.59K | -1.52K | -1.58K | -9.82K | -33.59K | -25.93K | -29.54K | -33.39K | -35.51K | -33.1K | 0 | 9.07K | 3.17K | 168 | 955.34K | 282.6K | 288.71K | 0 | 0 |
| Interest Income | 20K | 24K | 35K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 9.07K | 3.17K | 168 | 955.34K | 282.6K | 288.71K | 0 | 0 |
| Interest Expense | 3K | 3K | 4K | 5K | 3K | 6K | 13K | 10K | 4.84K | 1.59K | 1.52K | 1.58K | 9.82K | 33.59K | 25.93K | 29.54K | 33.39K | 35.51K | 33.1K | 36.44K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 983K | 1.02M | 772K | 368K | 164K | 1.32M | 160K | -69K | 109.43K | 12.99K | 2.61K | -815 | -6.61K | -32.12K | -6.59K | -36.42K | -31.7K | -34.5K | -29.37K | -29.12K | -15.23K | -37.7K | -11.91K | 951.9K | 276.87K | -3.04M | -400K | -2.2M |
| Pretax Income | 2.35M | 2.23M | 2.98M | 3.06M | 2.82M | 3.62M | 1.85M | 1.48M | 983.99K | 95.17K | 637.11K | 794.42K | 338.11K | -4.81K | 481.69K | 640.1K | 327.76K | -153.19K | 217.39K | -759.56K | -1.56M | -1.03M | 40.5K | -4.35M | 4.24M | 340.02K | 5.7M | 6.9M |
| Pretax Margin % | 9.39% | 8.95% | 11.57% | 12.19% | 11.33% | 16.51% | 9.2% | 7.14% | 5.53% | 0.62% | 5.49% | 7.64% | 3.86% | -0.09% | 9.16% | 15.12% | 10.01% | -5.76% | 9.05% | -32.91% | -101.24% | -107.32% | 8.97% | -13.49% | 7.43% | 0.54% | 7.99% | 10.81% |
| Income Tax | 748K | 693K | 859K | 913K | 822K | 659K | 462K | 460K | 309.01K | 266.23K | 235.55K | 298.15K | 140.88K | -1.78K | -391.48K | -224.35K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -1.33M | 1.38M | 849.38K | 2.5M | 3M |
| Effective Tax Rate % | 31.9% | 31.09% | 28.84% | 29.79% | 29.19% | 18.2% | 25.01% | 31.02% | 31.4% | 279.74% | 36.97% | 37.53% | 41.67% | 36.96% | -81.27% | -35.05% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 30.58% | 32.44% | 249.81% | 43.86% | 43.48% |
| Net Income | 1.6M | 1.54M | 2.12M | 2.15M | 1.99M | 2.96M | 1.39M | 1.34M | 800.74K | 142.31K | 433.17K | 533.92K | 229.09K | -33.56K | 870.36K | 864.45K | 327.76K | -153.19K | 149.66K | -759.56K | -1.56M | -1.03M | 40.5K | -3.02M | 2.45M | -509.37K | 3.2M | 3.9M |
| Net Margin % | 6.39% | 6.17% | 8.23% | 8.56% | 8.03% | 13.5% | 6.9% | 6.47% | 4.5% | 0.92% | 3.73% | 5.14% | 2.61% | -0.61% | 16.54% | 20.42% | 10.01% | -5.76% | 6.23% | -32.91% | -101.24% | -107.32% | 8.97% | -9.37% | 4.3% | -0.81% | 4.49% | 6.11% |
| Net Income Growth % | -19.06% | -27.55% | -1.49% | 7.92% | -32.66% | 113.79% | 2.97% | 67.97% | 462.65% | -67.15% | -18.87% | 133.05% | 782.64% | -103.86% | 0.68% | 163.75% | 313.95% | -202.36% | 119.7% | 51.28% | -51.66% | -2638.27% | 101.34% | -223.18% | 581.72% | -115.92% | -17.95% | - |
| Net Income (Continuing) | 1.6M | 1.54M | 2.12M | 2.15M | 1.99M | 2.96M | 1.39M | 1.02M | 674.98K | -171.06K | 401.57K | 496.27K | 197.24K | -3.03K | 873.17K | 864.45K | 327.76K | -153.19K | 217.39K | -759.56K | -1.56M | -1.03M | 40.5K | -3.02M | 2.87M | -2.19M | 1.12M | 3.9M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.45M | 1.57M | 1.89M | 936.37K | 974.02K | 300.43K | 288K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.32 | 0.30 | 0.40 | 0.39 | 0.33 | 0.48 | 0.22 | 0.16 | 0.13 | 0.04 | 0.08 | 0.08 | 0.04 | -0.01 | 0.16 | 0.16 | 0.08 | -0.03 | 0.04 | -0.16 | -0.33 | -0.18 | 0.01 | -0.99 | 0.76 | -0.16 | 1.00 | 1.52 |
| EPS Growth % | -15.82% | -25% | 2.56% | 18.18% | -31.25% | 118.18% | 37.5% | 23.08% | 225% | -50% | 0% | 100% | - | -103.81% | 0% | 100% | 372.11% | -173.5% | 125% | 51.52% | -83.33% | - | 100.99% | -230.26% | 575% | -116% | -34.21% | - |
| EPS (Basic) | - | 0.30 | 0.40 | 0.39 | 0.33 | 0.49 | 0.22 | 0.16 | 0.13 | 0.04 | 0.08 | 0.08 | 0.04 | -0.01 | 0.16 | 0.16 | 0.08 | -0.03 | 0.04 | -0.16 | -0.33 | -0.18 | 0.01 | -0.99 | 0.76 | -0.16 | 1.00 | 1.52 |
| Diluted Shares Outstanding | 5.07M | 5.17M | 5.33M | 5.55M | 6.04M | 6.18M | 6.22M | 6.26M | 6.25M | 6.21M | 5.99M | 5.99M | 5.85M | 5.47M | 5.42M | 5.25M | 5.22M | 5.22M | 5.17M | 4.88M | 4.72M | 5.83M | 4.12M | 3.07M | 3.2M | 3.2M | 3.19M | 2.57M |
| Basic Shares Outstanding | 5.06M | 5.15M | 5.32M | 5.49M | 5.96M | 6.1M | 6.16M | 6.21M | 6.21M | 6.17M | 5.95M | 5.95M | 5.79M | 5.47M | 5.24M | 5.17M | 5.21M | 5.22M | 5.16M | 4.88M | 4.72M | 5.83M | 4.12M | 3.07M | 3.2M | 3.2M | 3.19M | 2.57M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | 28.21% |
Cattle herd size volatility
According to the provided quarterly income statements, WFCF has experienced inconsistent revenue performance, with recent periods showing a contraction to $5.4 million in 2026Q1, reflecting the inherent sensitivity of the business to U.S. cattle herd cycles and the resulting volatility in demand for verification services.
The revenue trajectory appears to be stalling as the company struggles to maintain growth against a backdrop of shrinking domestic livestock populations. Investors should monitor whether this trend represents a temporary cyclical trough or a more permanent saturation of the company's core verification market.
As reported in financial statements, WFCF's gross margin has compressed from a peak of 44.7% in 2023Q4 to 38.1% in 2026Q1, suggesting that the company's service-heavy model is increasingly vulnerable to rising labor and travel costs associated with on-site ranch inspections and audit delivery.
The decline in gross profitability indicates that the company lacks the pricing power to fully offset inflationary pressures within its field operations. This margin compression warrants further investigation into whether the firm can successfully pivot toward higher-margin software solutions to stabilize its overall profitability profile.
Based on the company's reported figures, operating margins have fluctuated significantly, dropping to 5.6% in 2026Q1 from a high of 13.7% in 2023Q4, which highlights the difficulty of scaling corporate overhead when revenue growth is inconsistent and the cost base remains largely fixed.
The lack of consistent operating leverage suggests that the company's profitability is highly sensitive to even minor fluctuations in top-line performance. Without a clear path to decoupling SG&A growth from revenue, the firm may continue to experience significant earnings volatility during periods of industry-wide contraction.
While the company maintains a niche position in livestock verification, the recent trend of negative operating income in 2025Q4 suggests that the business model may be reaching a point of diminishing returns, potentially inviting competitive pressure from larger packers developing internal, lower-cost verification protocols.
Short-term investors should be wary of the potential for large-scale industry participants to bypass third-party auditors, which would fundamentally undermine WFCF's value proposition. The current reliance on a shrinking addressable market makes the company's long-term growth narrative appear increasingly speculative without a clear diversification strategy.
Quick answers to the most common questions about buying WFCF stock.
For fiscal year 2025, Where Food Comes From, Inc. (WFCF) reported total revenue of $24.9M. This represents a 61.0% decline compared to $63.8M in 1998.
Where Food Comes From, Inc. (WFCF) is profitable, generating $1.5M in net income for the fiscal year ending 2025 with a net profit margin of 6.2%.
Where Food Comes From, Inc. (WFCF) reported an operating income of $1.2M, resulting in an operating profit margin of 4.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Where Food Comes From, Inc. (WFCF) generated $9.5M in gross profit for the year, representing a gross profit margin of 38.2%. This demonstrates the company's core pricing power and production efficiency.