Highlights include:
“We’re pleased with our overall performance in Q2,” said Chris Reed, founder, chairman and CEO of Reed Inc. “Although our revenues and gross profits were down slightly, we feel fortunate that our solid brand identity and loyal customer base carried us through.
“Some of our peers experienced significant erosion in sales, with many high-end brands declining 30% or more during one of the worst economic times of our generation. Meanwhile, our core product line sales and volume increased by over 15%, representing expansion of our sales channels. We believe that our targeted promotional activities are producing good results, and we plan to continue with these over the next year.
“The results for Q2 reflect a continued reduction in our costs of goods sold, along with a decrease in our operating costs, as compared to the prior year period. Price discounting eroded our gross margins a bit this quarter, but our year-to-date gross margins are ahead of the prior year period.
“We feel that Reed’s has reached a critical size where larger players look for strategic relationships, and we’re receiving a pretty healthy turnout of national and international players looking at us. It’s too soon to tell what this will produce, but we are encouraged by the early feedback.”
Source: Reed’s Inc
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