The sales price was the normal price for over 50% of their product until last summer. That is when they finally raised the prices for the 2 biggest skus at their 2 biggest customers Trader Joe's and Whole food and they were able to show a profit. Over 50% of sales were at 3.99.
The gross margin that the company is showing is based on a wholesale price of approx between .50 and .55 per bottle based on unit sales and revenue last quarter.
The company will need to break the 50 to 55 million mark to break even because of the ne expenses they carry.
The three added expenses that are going to make the break even point higher than it was are the 220,000 in quarterly debt payments.The higher salaries for the new professionals that were brought on board for key positions in the last year or so. Finally the lower margin the company will get as a larger percentage of the product is is being produced outside of the LA factory (even more of the margin is eaten up when someone else is the bottler and the distributor).
All that I am looking for in this quarter is the resumption of revenue growth. At the 1 month mark for the second quarter Chris Reed said that they were running 1 million behind last year for the quarter.It is fun to see that at the beginning of the quarter posters were screaming for 40 million in sales for the year and now the posters are conceding that sales could be flat or slightly up for the quarter. Of course they love to add how Reed must be losing money on each 4pack they sell at 3.99, I am sure that is just what IBC or Stewarts do with their 4packs, they lose money each time they sell them at 3.99.
Oh how sad, I got 2 runs in that gave me a nice return. Thought that there was going to be a pull back before the latest run up, missed out a little on the gain, but I am able to feel happy for those who stayed with the run a little longer.
Only a child like punk would be jealous instead of happy for others success.
If only you had added a few shares of this stock a year ago, the 40% return that you would have gotten on it would have helped lift the low return on 90% of the portfolio.
It is starting to look as though sales will be increasing over last year in the second quarter.
I am basing this on how quickly the product seems to be turning, especially at retailer where the product is priced at 3.99. Not only does the product appear to be moving , but more importantly the restock orders appear to be hitting the shelves in a timely manor.
On a smaller note, after being gone for over a year the bags of ginger crystal started to show up in stores again at the end of May.
Bad mouthing something without knowing any of the facts? what a shock!!!
10th grade business class say's that this might be a bad promotion if Jones soda has to pay for the car at even a discounted price, on the other hand if their partner Fiat is providing a free car to be used in the promotion it appears to be a great deal for Jones as it seems as though they are only required to promote the contest on their websites and not pay for any major external advertising.
Years ago I was involved with a company that gave away an El Camino filled with outdoor gear in one year, a Harley in another and we gave away free items to performers to wear in an attempt to build awareness of a brand. These approaches were much cheaper, had longer impact and had more bang for the buck than traditional adds when handled properly.
Do you know whether the car was provided free of charge by Fiat or not?
Actually the stock is above the price that it was on the day that Lehman filed for bankruptcy and well above the price it was at when the market as a whole bottomed in March of 2009.
Due to the run up so far this year USATs stock performance has outperformed all of the major indexes since the bottom of the economic downturn.
You love to see yourself post.
Why not just post the numbers that you see in the ks and the qs.
You do not seem to be able to back up any of your bs, but are pretty good at attacking people.
If you had been able to produce proof you would have done it and not attacked.
The question was very simple.
It is pretty obvious you have no information on the companies marketing at all.
I do understand, I want any information that I can get about the company and you for some reason want to brag on an anonymous board.
If anyone wants to see your history all they have to do is go back to see you extolling the virtues of lifeway at the high and claiming you were out of celh when sales dropped last quarter, but becoming a cheerleader again when the stock only dropped a little.
Unlike you who loves to claim that you have never lost a penny on a stock (anyone who has invested in full portfolio knows what a crock of s that is,somebody that perfect would have no need to be on this board) I do not mind saying when I am underwater.I currently have a price point in the 3.60 range and that is only because I bought more shares on the way down.As long as the company can refill the orders this summer I feel pretty confident that the stock will be moving up as the quarterly numbers come in.
My issue with you is your bs claims about things that you have no knowledge. You have no knowledge of the companies advertising spend and do you really think you don't seem foolish that you claim to have gotten a WFM store manage to pull year over year comparative sales numbers the Reed's skus.
When the truth does not work, try and baffle with bs. HAHAHA
So they are no longer running out of money, but you claim they will go through all of it before the end of this month, very honest assessment.
You keep claiming that they have hadto cut back on promotion but are unable to point out where.They still sponsor people, go to events to give out samples, go to trade shows ,do co-op sale promotions when they put the product on sale and have finally started using the internet to market more.
The only pull back in advertising that I see is that they stopped advertising the Kombucha in Veg Times.
Please enlighten us all. Tell us where they have pulled back on marketing , be specific if you actually know anything.If you don't feel free to continue blowing smoke out of your #$%$.
They have no cash?????????
I thought that the stock had dropped because the company raised over 2 million by selling stock and options.
Please clarify how they are out of cash.
Now you are trying to say the numbers are not the numbers and want to put in some exceptions????
There were 10,000 in the quarter ending March 2015 and 6,000 in the quarter ending March 2016, for a significant drop.
Don't try and play bs games, the numbers are what they are.
Then again you are the dbag that tries to keep mentioning "profitable cash flow" as if it is actually a business term. ROFLMAO
The reason you are trying to pretend that it is a real business term is that although the company has reported profits and positive cash flows from operations, they have not done them at the same time yet.Keep using the made up term as long as you feel that you are getting over, no one realizes what a tool you are.
Quarter ending March 2015 24,000 gross new connections. 14,000 net new connections. Looks like there were 10,000 connections lost in the March quarter as opposed to 6,000 lost in the March 2016 quarter for a healthy drop, not an increase.
Does that mean that you are going to be willing to take the gerbil out of the tin foil after removing it from your #$%$ so that it can run the company???????
Other airlines are trying to work to improve RASM and peoples perception of what RASM will be moving forward. They are doing it by announcing that they are cutting back on capacity growth.
It is not very easy to increase growth in capacity faster than market growth and increase RASM, maybe the other airlines will do the work of cutting back on capacity growth for them.
I love your childish comeback. I am not really sure why what I am putting forward upsets you so.
All I have said is that with the stock being down from self inflicted wounds if the soda sales rise and the company can actually fill the orders the stock should rise on top line sales over 12 million.
I am not sure what that has to do with Kombucha as that product has no shelf space at all left in this area( approx the same amount of shelf space as Bucha), it is easier to find the last big thing the anti nausea drink.
Not sure what the "use a condom " line is about and I know it is pretty much a sign that a joke didn't work when someone has to ask about the reference but what was that supposed to be a reference to??
Oh well no one ever accused you of being classy or smart.
Good thing customers do not believe that.
Soda sales as a whole are dropping low single digits while craft beverage sales are rising .
Even target has added one 4 foot multi shelf location for just craft beverages to most of it's stores at the start of the season.
I mention this not to talk up Reeds, as Reeds did not get any of the shelf space at the Target's, but to point out that the craft segment is growing. Not that different than the beer industry trends right now.
I think it is e very good sign that you are not pooh poohing the companies ability to deliver the soda products, but are trying to claim that there will be no demand this year for the companies primary products and even better in Netpros case that it just won't matter at all even if sales rise.
Now you are accusing the company of accounting tricks???
Are sales going to grow or drop, you seem to be talking out of both sides of your mouth as usual. Ginger is a passing fad in drinks and even if you are wrong and sales climb it will not matter.
So there is nothing that can be done what a shame. Chris could never have been Jim Koch as craft soda will never be as big as craft beer an growth in the kombucha market has slowed as shelf space in the cooler has been harder to come.
You seem to have the perspective that a company has to go from a small cap to the biggest player in a category. It very rerely works out like that and people are still able to make money off of the smaller company's.
You think the stock is not going to move if revenue goes to 13 million for the quarter?
You really should not post when you get home late at night stoned.
Ben and Jerry have not owned an ice cream business for well over a decade.The brand is owned by Unilever a billion dollar Dutch conglomerate. Could you of least put the effort in to come up with a small business that was actually owned by the people you were mentioning?
To me it is very funny that no on wants to address the simple question that I have asked.Will the company be able to fill orders that are placed this season and will there be a demand for the 2 major products, Reed's and Virgil's soda that will drive sales?
The reason that I ask , is that if the company gets 12 million in revenue for the second quarter and 13 million for the third the stock should climb, especially if it is based for the most part on the growth of sales in the soda brands.