Hydrofarm IPO Presentation Deck

Our various productivity initiatives are driving significant margin expansion SKU optimization Number of active U.S. SKUs 31% decrease 5,400 3,700 2019 2020 Strategic reduction of SKUS has allowed us to decrease supply chain costs while improving both our top and bottom lines Elimination of redundancies has created a more cost- effective supply chain Customer Investment program % gross-to-net spend Significant improvement Q3 YTD 2019 Q3 YTD 2020 Designed effective customer investment program to improve gross-to-net spend Targeted trade spending to drive proprietary and preferred brand growth Favorable sales mix Proprietary and exclusive brand sales as Freight costs % of sales a % of sales Source: Company information, management estimates HYDROFARM Note: 198A excludes depreciation and stock based compensation Significant improvement -60% Q3 YTD 2019 Q3 YTD 2020 Focused effort to drive growth in our margin advantaged proprietary and preferred brands ☐Multi-faceted effort includes sales, marketing and product development teams Supply chain, logistics optimization Significant improvement Q3 YTD 2019 Q3 YTD 2020 Optimized freight via improved sourcing and reduced intra- warehouse shipments Enhanced forecasting and inventory planning resources Targeting double digit EBITDA margin in the medium term CONFIDENTIAL Operating leverage through scale SG&A¹ as % of net sales Significant improvement 14.0% 12.4% Q3 YTD 2019 Q3 YTD 2020 Strong profitability growth driven by improved COGS and SG&A efficiencies Significant margin opportunity as fixed costs are leveraged and operations are optimized 20

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