Cyanotech Corporation (CYAN): History, Ownership, Mission, How It Works & Makes Money

Ever wondered about the company behind some of the most potent natural antioxidants and health supplements on the market? Let's dive into the story of Cyanotech Corporation, a world leader in microalgae technology, and explore how they've harnessed the power of Hawaiian microalgae for over 40 years. From its humble beginnings in 1983 to becoming a key player in the health and wellness industry with net sales of $23,071,000 for fiscal year 2024, Cyanotech's journey is one of innovation, sustainability, and a commitment to whole health, so keep reading to uncover the secrets behind their success!

Cyanotech Corporation (CYAN) History

Cyanotech Corporation Founding Timeline

Year established

The company was established in 1983.

Original location

The original location was in Woodinville, Washington.

Founding team members

The identities of the original founding team members are not widely publicized in the readily available resources.

Initial capital/funding

Information regarding the initial capital and funding of the company is not available in the provided search results.

Cyanotech Corporation Evolution Milestones

Cyanotech Corporation Transformative Moments

• Relocation to Kona, Hawaii: This move was pivotal due to the favorable climate conditions, which are ideal for the year-round cultivation of microalgae. The consistent sunlight and access to clean seawater significantly boosted production efficiency and product quality.
• Focus on High-Value Products: Shifting focus to high-value products like Spirulina Pacifica and BioAstin Astaxanthin allowed the company to target specific health and wellness markets, leading to increased profitability and brand recognition.
• Emphasis on Sustainable Practices: By adopting sustainable cultivation methods, the company not only minimized its environmental impact but also appealed to environmentally conscious consumers, enhancing its brand image.
• Acquisition of RE Botanicals, Inc: This acquisition allowed the company to expand into consumer packaged goods.

More insights into the company's values can be found here: Mission Statement, Vision, & Core Values of Cyanotech Corporation (CYAN).

Cyanotech Corporation (CYAN) Ownership Structure

The ownership structure of Cyanotech Corporation involves a mix of institutional and individual shareholders, reflecting diverse investment interests. Understanding this structure provides insights into the company's governance and strategic direction. To gain a deeper understanding of Cyanotech's investor base, you might find this resource helpful: Exploring Cyanotech Corporation (CYAN) Investor Profile: Who’s Buying and Why?

Cyanotech Corporation's Current Status

Cyanotech Corporation is a publicly traded company, which means its shares are available for purchase on the open market. This allows a wide range of investors, from individuals to large institutions, to own a part of the company.

Cyanotech Corporation's Ownership Breakdown

The following table provides an overview of the ownership percentages held by different types of shareholders in Cyanotech Corporation as of the most recent data available from fiscal year 2024:

Cyanotech Corporation's Leadership

Key figures leading Cyanotech Corporation include:

• Gerald R. Cysewski, Ph.D.: Chairman of the Board and Chief Science Officer
• Mavrick P. Risk: Chief Executive Officer, Principal Executive Officer
• David L. Watumull: Chief Financial Officer, Principal Financial Officer

These individuals, along with other members of the executive team and board of directors, are responsible for the strategic direction and operational management of Cyanotech Corporation.

Cyanotech Corporation (CYAN) Mission and Values

Cyanotech Corporation is dedicated to producing high-quality nutritional and health products from microalgae. The company focuses on sustainability and contributing to the well-being of consumers.

Cyanotech Corporation's Core Purpose

Official mission statement

To be the world leader in microalgae-based nutrition and health, delivering innovative, high-quality products that enhance well-being and promote a sustainable future.

• Cyanotech aims to lead in the microalgae sector by focusing on nutrition and health.
• The mission emphasizes innovation and high-quality product development.
• Sustainability is a key component, highlighting the company's commitment to environmental responsibility.

Vision statement

To unlock the full potential of microalgae to nourish the world and improve human health.

• The vision is centered on maximizing the benefits of microalgae for global nutrition.
• It highlights the goal of enhancing human health through microalgae-based products.
• The statement reflects a long-term perspective on the impact of microalgae.

Company slogan/tagline

“From the Source, for Life.”

• The tagline suggests a direct and natural sourcing of ingredients.
• It implies a commitment to products that support life and well-being.
• The slogan is concise and memorable, reinforcing the company's core values.

To gain more insights into Cyanotech Corporation's financial stability and performance, check out: Breaking Down Cyanotech Corporation (CYAN) Financial Health: Key Insights for Investors

Cyanotech Corporation (CYAN) How It Works

Cyanotech Corporation operates by producing high-value natural products from microalgae, leveraging advanced biotechnology and sustainable practices to serve the nutritional supplements and animal feed markets.

Cyanotech Corporation's Product/Service Portfolio

Cyanotech Corporation's Operational Framework

Cyanotech's operational framework is built around the cultivation, harvesting, and processing of microalgae. The company utilizes a unique, patented Ocean Chill Drying™ technology. Key aspects of their operations include:

• Cultivation: Microalgae are grown in open-pond systems located in Kona, Hawaii, utilizing sunlight, fresh water, and nutrients.
• Harvesting: The microalgae biomass is carefully harvested to maintain its integrity and nutritional profile.
• Processing: Cyanotech employs advanced extraction and purification techniques to isolate and concentrate the desired compounds, such as astaxanthin and spirulina.
• Quality Control: Stringent quality control measures are implemented throughout the production process to ensure product purity, potency, and safety.
• Sustainability: Cyanotech emphasizes sustainable practices, including water conservation, waste reduction, and renewable energy usage.

These operational activities drive value creation by transforming natural resources into high-value products that meet the growing demand for natural and sustainable ingredients. For more insights, check out: Exploring Cyanotech Corporation (CYAN) Investor Profile: Who’s Buying and Why?

Cyanotech Corporation's Strategic Advantages

Cyanotech's strategic advantages stem from its unique location, proprietary technology, and established brand reputation.

• Geographic Advantage: Located in Kona, Hawaii, Cyanotech benefits from year-round sunlight, clean water, and a favorable regulatory environment for microalgae cultivation.
• Proprietary Technology: The company's patented Ocean Chill Drying™ technology preserves the nutritional integrity of its products, setting it apart from competitors.
• Brand Reputation: Cyanotech has built a strong brand reputation for producing high-quality, natural, and sustainable products, earning the trust of consumers and customers.
• Vertical Integration: Cyanotech's vertically integrated operations, from cultivation to finished products, allow for greater control over quality, costs, and supply chain.

These advantages enable Cyanotech to maintain a competitive edge in the nutritional supplement and animal feed markets, delivering superior value to its customers and stakeholders.

Cyanotech Corporation (CYAN) How It Makes Money

Cyanotech Corporation primarily makes money by cultivating and selling high-value nutritional products derived from microalgae. These products include ingredients like spirulina and astaxanthin, which are sold to the dietary supplement, food, and cosmetic markets.

Cyanotech Corporation's Revenue Breakdown

While precise revenue breakdowns for the 2024 fiscal year are not available in the provided search results, a general understanding of revenue streams can be inferred from historical data and company descriptions. Please note that the percentages provided below are estimates based on available information and may not reflect the exact figures for 2024.

Cyanotech Corporation's Business Economics

Cyanotech's business economics are influenced by several key factors:

• Production Costs: The cost of cultivating microalgae, including energy, nutrients, and labor, significantly impacts profitability.
• Pricing Strategy: The company employs a premium pricing strategy, reflecting the high quality and purity of its products.
• Market Demand: Demand for natural health products and dietary supplements drives revenue.
• Distribution Channels: Sales through direct channels, distributors, and online platforms affect overall profitability.
• Research & Development: Investments in R&D to improve algae strains and extraction processes are crucial for maintaining a competitive edge.

Cyanotech Corporation's Financial Performance

Analyzing Cyanotech's financial performance involves looking at key metrics that reflect the company's efficiency and profitability. Here are some important considerations:

• Gross Margins: These indicate the profitability of Cyanotech's production process. They are calculated by subtracting the cost of goods sold from revenue and dividing by revenue.
• Operating Expenses: Monitoring operating expenses, including R&D, sales, and administrative costs, is essential for assessing the company's overall efficiency.
• Net Income: Net income, or the 'bottom line,' shows the company's overall profitability after all expenses are paid.
• Cash Flow: Analyzing cash flow from operations, investing, and financing activities provides insights into the company's financial health and ability to fund future growth.
• Inventory Management: Efficiently managing inventory levels of spirulina and astaxanthin is crucial to meeting demand without incurring excessive storage costs.

To gain more insight into the company's values, read: Mission Statement, Vision, & Core Values of Cyanotech Corporation (CYAN).

Cyanotech Corporation (CYAN) Market Position & Future Outlook

Cyanotech Corporation is strategically positioned to capitalize on the growing demand for natural, health-focused products, particularly within the nutraceutical and cosmeceutical sectors. The company's future outlook is bolstered by increasing consumer awareness of the health benefits associated with its key products, Spirulina and Astaxanthin.

Competitive Landscape

Opportunities & Challenges

Industry Position

Cyanotech holds a unique position in the microalgae industry, differentiated by its:

• Hawaiian origin: Production facility on the Kona coast of Hawaii provides ideal growing conditions and a pristine environment.
• Focus on quality: Emphasizing high-quality, natural production processes.
• Established Brand: Recognized brand with a loyal customer base.

To delve deeper into the company's core values, explore: Mission Statement, Vision, & Core Values of Cyanotech Corporation (CYAN).