CV Sciences, Inc. (CVSI)

A. Company Overview

CV Sciences, Inc. is a consumer wellness company that focuses on the production and distribution of nutraceuticals and plant-based food products. Renowned for its hemp extracts, the company operates under multiple brand names, including +PlusCBD™, +PlusHLTH™, Cultured Foods™, and Lunar Fox™. Its products integrate science-backed, natural ingredients, aimed at enhancing health and wellness through various sales channels, ranging from business-to-business (B2B) to business-to-consumer (B2C) models. The company has established itself as a leader in the natural products market in the United States and has seen significant growth in the hemp-derived CBD sector.

B. Current Operations

CV Sciences manufactures and distributes over 50 products across its four main brands. The product lines encompass herbal supplements, CBD-infused products, and plant-based food items, catering to diverse market segments that include nutraceuticals, beauty care, specialty foods, and pet products.

Brands and Product Offerings

• +PlusCBD™: Launched in 2014, this brand is recognized as a top seller in the hemp-derived CBD market. It includes a wide range of products such as softgels, tinctures, topicals, and gummies, all rigorously tested and supported by clinical research. Additionally, +PlusCBD™ has a specialized line for pets that offers formulations tailored for dogs and cats.
• +PlusHLTH™: Introduced in 2024, this brand focuses on cannabinoid-free supplements designed to optimize health and enhance performance and vitality, currently available at select retailers across the U.S.
• Cultured Foods™: Following the acquisition of Cultured Foods Sp. z o.o. in December 2023, this brand distributes entirely plant-based, natural, gluten-free products across Europe. The offerings include a variety of protein products designed to meet the rising demand for vegan alternatives.
• Lunar Fox™: Launched in January 2025, this brand further expands the company's portfolio of plant-based products, providing consumers in the U.S. with gluten-free and natural food options.

C. Acquisition Strategy

CV Sciences actively pursues strategic acquisitions to enhance its market presence and capabilities. The acquisition of Cultured Foods has positioned the company as a notable player in the European market for plant-based protein products. Additionally, the acquisition of Elevated Softgels, LLC in May 2024 has strengthened its manufacturing capabilities in encapsulated softgels and tinctures, thereby allowing for a broader range of product offerings.

D. Research and Development

The company's research and development efforts focus on creating innovative consumer products and advancing its drug development program. CV Sciences has made significant investments in scientific research to establish the safety and efficacy of its products. This includes achieving self-affirmed Generally Recognized as Safe (GRAS) status for its +PlusCBD™ line. The company conducts rigorous testing and adheres to Good Manufacturing Practices (GMP) to ensure product quality and safety.

E. Manufacturing and Supply Chain

CV Sciences has developed a robust supply chain through partnerships with reputable hemp growers globally. Its manufacturing facilities, located in the U.S. and Poland, emphasize quality and transparency, ensuring products are made with high-quality raw materials. Rigorous testing protocols are in place, requiring independent verification of raw materials and final products to maintain compliance with regulatory standards.

F. Regulatory Compliance

The company operates in a highly regulated environment, navigating federal and state laws related to hemp-derived CBD products. The passing of the 2018 Farm Bill significantly impacted the regulatory landscape by legalizing industrial hemp cultivation under specific conditions. CV Sciences closely monitors evolving regulations to ensure compliance and adapt to changes that may affect its product lines.

G. Market Position and Competition

CV Sciences operates in a competitive landscape characterized by fragmentation and a multitude of players, including both emerging brands and established companies. It faces competition from other prominent companies in the CBD market such as Charlotte's Web Holdings Inc., cbdMD, and Medterra CBD, among others. In the plant-based food sector, the company differentiates itself with a unique product portfolio that targets health-conscious consumers.

H. Sales and Distribution Channels

The company's products are sold through multiple channels, including brick-and-mortar retailers, online platforms, distributors, and e-tailers. CV Sciences has established partnerships with wholesalers and retailers to ensure product availability across diverse market segments. For the fiscal year ending December 31, 2025, approximately 39% of net revenue derived from new products introduced since January 1, 2023, indicating a strong focus on innovation and responsiveness to market trends.

I. Intellectual Property

CV Sciences safeguards its proprietary technologies and brands through a combination of patent applications and trademark registrations. Notably, the company holds a patent for its CVSI-007 product candidate, which aims to utilize CBD in therapeutic applications for smokeless tobacco addiction. This patent has been granted in multiple countries, underscoring the company's commitment to advancing cannabinoid science and its therapeutic potential.