Vending

Alkaline Water Q2 2021 revenues rise 6.2%, earnings fall close to 50%

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November 17, 2020

The Alkaline Water Co. Inc., a producer of bottled alkaline drinking water, flavor-infused waters and CBD infused products sold under the brand name Alkaline88, A88 and A88CBD, reported $10.7 billion in revenue for the three months ending Sept. 30, 2020, a 6.2% gain over the $10.4 billion for the same period for the previous year, according to a press release.

The company lost $4.36 billion in the second quarter of 2021, 49.1% more than the $2.92 billion lost in the prior year's second quarter.

Loss per share, both basic and diluted, was 6 cents in the second quarter of 2021 compared to 7 cents in 2020's second quarter.

Shares traded at $1.33 against a 52-week range of 40 cents-$2.60.

Gross profit in the fiscal 2021 second quarter of $4.4 million declined by 1.3% compared to the prior-year's second quarter.

"During the fiscal second quarter, we made good progress toward our strategic goals, gained market share, launched innovating new products, added leading partners and expanded into new growth markets, all while navigating through a challenging COVID environment," Richard A. Wright, president and CEO, said in the release. "Our quarterly growth was impacted as various distributors reduced deliveries and cleared excess inventory built in the prior quarter."

"Our fiscal third quarter is off to a strong start, and we are seeing a record month of sales for October," he added. "As of early November, inventory at retailers has normalized, driven by our aggressive summer marketing efforts."

The company has refrained from providing guidance this year due to the COVID impact, Wright said.

"With inventory trends normalizing and strong retail demand, we are introducing our fiscal 2021 revenue guidance of $48 million to $52 million, representing full-year growth of 17% to 27%, with an estimated gross profit of approximately $19 million to $21 million," he said.

For an update on how the coronavirus pandemic is affecting convenience services, click here.