# Farmmi, Inc. > Clarifo company profile — qualitative business description generated from > the company's filings. Financial statements, charts and ratios are > available on Clarifo (https://www.clarifo.com/fi/companies/Farmmi, Inc.). ## Overview Farmmi, Inc. is a U.S.-listed agricultural products company focused on edible mushrooms, including shiitake and mu er, as well as other farm and processed food products. The company also provides logistics and supply chain services in the United States through its operating activities and distribution channels. ## Products & services • Edible mushrooms, including shiitake and mu er • Other agricultural products • Processed agricultural food products • Retail distribution of agricultural products • Logistics and supply chain services in the United States - **Edible mushrooms** (55%) — Fresh, processed, and marketed mushroom products such as shiitake and mu er. - **Other agricultural products** (30%) — Additional farm and food products sold through the company’s distribution channels. - **Retail and distribution** (10%) — Sale of agricultural products through established retail and distribution networks. - **Logistics and supply chain services** (5%) — Support services related to moving and managing products in the United States. - Edible mushrooms, including shiitake and mu er - Other agricultural products - Processed agricultural food products - Retail distribution of agricultural products - Logistics and supply chain services in the United States ## Customers Farmmi sells to customers reached through established distribution channels, which suggests a mix of wholesalers, distributors, retailers, and other food buyers. The company’s product mix is tied to demand for edible mushrooms and other agricultural foods, while its logistics services support customers that need handling and supply chain execution in the U.S. - **Distributors and wholesalers** (primary) — Buy edible mushrooms and other agricultural products for onward sale through food channels. - **Retail and food channel customers** (secondary) — Purchase Farmmi products through established channels for consumer-facing resale or use. - **Logistics customers** (secondary) — Use the company’s U.S. logistics and supply chain services to move products efficiently. - Food distributors buying mushrooms and agricultural products - Retail channels sourcing packaged or resold food products - Wholesale buyers seeking edible mushrooms like shiitake - Customers needing U.S. logistics and supply chain support - Concentrated customer relationships can drive shipment volumes ## Geography Farmmi is a U.S.-listed company with operations tied to the United States and broader agricultural sourcing and distribution activity. Its report disclosures highlight U.S. logistics and supply chain services, while the edible mushroom business and distribution model imply a supply chain that can span production, processing, and sales locations. - United States is important for logistics and supply chain services - U.S. listing increases access to American capital markets - Product distribution depends on established channels - Operations are exposed to agricultural and transport disruptions - Geographic concentration can amplify customer and supply risk ## Strategy Farmmi’s business model centers on selling agricultural products through established distribution channels while supporting those flows with logistics services. Its strategic position depends on maintaining product supply, customer concentration management, and the ability to move edible mushrooms and other agricultural goods efficiently. - **Broaden the customer base** (short-term) — A small number of customers drives a large share of sales and receivables, so diversification reduces volatility. - **Strengthen distribution and logistics execution** (medium-term) — Efficient handling and delivery are important for agricultural products and can support customer retention. - **Protect supply continuity** (medium-term) — Agricultural products are exposed to weather, disaster, and operational disruptions that can interrupt inventory flow. - Expand sales beyond a small set of major customers - Use established distribution channels to reach buyers - Support product flow with U.S. logistics services - Maintain supply reliability for perishable agricultural goods - Reduce dependence on concentrated accounts receivable ## Risks Farmmi faces meaningful customer concentration risk because a small number of buyers account for a large share of sales and receivables. Its agricultural and logistics activities are also exposed to supply disruptions, perishability, weather events, and uninsured losses, all of which can affect operations and cash collection. - **Customer concentration** [critical] — A single major customer represented 57.9% of sales and 98.7% of receivables in the latest interim period. - **Supply chain and operational disruption** [high] — Agricultural products can be affected by transportation issues, perishability, and disruptions in sourcing or distribution. - **Weather and catastrophe exposure** [high] — The company disclosed risks from natural disasters, extreme weather, health epidemics, and other catastrophic incidents. - **Uninsured losses** [high] — Operating entities reportedly lack broad business interruption or product liability insurance. - Heavy dependence on a few customers for sales and receivables - Agricultural supply and demand can shift quickly - Natural disasters and extreme weather can interrupt operations - Limited insurance coverage may leave losses uninsured - Asset impairment risk exists for machinery and equipment ## Accounting Farmmi’s accounting is shaped by revenue recognition, concentration of receivables, fixed-asset depreciation, and impairment testing. Investors should also watch fair value measurements for financial instruments and the company’s warrant-related equity accounting, since these can affect reported liabilities, equity, and earnings volatility. - **Revenue recognition** — Reported sales and quarterly comparability - **Accounts receivable collectability** — Bad debt expense and working capital - **Long-lived asset impairment** — Potential impairment charges - **Fair value of warrants and financial instruments** — Balance sheet and earnings volatility - Revenue recognition affects timing of sales from distributed products - Customer concentration raises collectability and credit risk concerns - Depreciation on machinery, transport, and office equipment affects expense timing - Impairment testing may reduce asset values if cash flows weaken - Fair value estimates affect financial instruments and warrant accounting --- *Last updated: 2026-09-28T12:03:37.196181+00:00*