MicroSalt has started 2025 on a strong footing. A business update released on Thursday revealed a material uptick in the volume of low-sodium salt delivered to one of the world’s largest snack food companies. The company also signalled it was gearing up for a further increase in demand as the year progressed.
MicroSalt manufactures and supplies low-sodium salt, which has 50% less sodium than traditional table salt. Increasingly, food producers are taking the overconsumption of sodium and its associated cardiovascular diseases seriously, as evident in MicroSalt’s update.
MicroSalt has shattered previous performance metrics with total bulk sales reaching an impressive 98 metric tonnes (216,190 lbs) in Q1. The company said low-sodium salt bulk revenue generated in the first quarter alone equates to 142% of the revenue generated in the whole of 2024.
“We are very excited about the growth of our MicroSalt products and its ever-widening acceptance within the food manufacturing community,” said Rick Guiney, CEO of MicroSalt.
“Our growth story is now evidenced by growing sales volume, number of topical applications, and countries served. Continued regulatory support for lower sodium food products acts as a catalyst to our growth both in the US and across the globe in short and long term.”
The company’s expansion spans existing markets in Canada, Mexico and the United States, whilst simultaneously breaking ground in newly opened markets across Great Britain and Belgium.
The driving force behind MicroSalt’s Q1 bulk sales has been various divisions of a global powerhouse—identified as ‘Customer 3’—one of the world’s largest food, soft drink and snack manufacturers. MicroSalt has yet to name any of its biggest partners, presumably because their customers want to keep secret how they will achieve low sodium in their foods.
MicroSalt’s Premium product line
January saw the launch of MicroSalt’s Premium product line, specifically targeting the quick service and fast service restaurant (QSR/FSR) market, with particular emphasis on French fries.
MicroSalt has the response ‘has been very well received and is already in final consideration for rollout with a top international brand Q3 of this year’.
The company said the development demonstrates the expanding versatility of MicroSalt, which is no longer limited to topical applications and is now penetrating diverse markets, including cheese, peanut butter, chicken breading, and coatings.
The strong start to 2025 resulted in MicroSalt guiding for revenue generation of at least $2.5m for 2025. However, this guidance came with the suggestion that revenue could be significantly higher than the $2.5m level.
MicroSalt’s revenue guidance doesn’t include any sales from MicroSalt’s Premium product line, which is expected to be rolled out with a major player in the second half of 2025. MicroSalt also believes revenue generation is likely to accelerate through 2026.
It’s too early to make any firm assumptions to inform forward earnings multiples, but a very rough trajectory of revenue growth going into next year could put MicroSalt’s current market cap at around 4x to 8x 2026 sales. We are yet to gain a clear insight into the margins MicroSalt can achieve when operating at scale.
The next significant catalyst for the stock could be the unveiling of its partners and the products in which MicroSalt is being used later this year.