Vending

Jones Soda lifts Q2 2022 revenue; earnings fall

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August 5, 2022

Jones Soda Co. boosted its Q2 2022 revenue over the prior year period, while earnings fell due in large part to costs associated with the company's entry into the cannabis sector, according to an earnings report.

Revenue increased 35% from $4.5 million in Q2 2021 to $6 million in Q2 2022, primarily attributable to sustained growth in the retail and alternative sales channels for its core bottled business.

Net income fell from $300,000 to a $1.4 million loss, primarily attributable to the $1.2 million of operating expenses and development costs related to the company's strategic entry into the cannabis sector in the current quarter, combined with a one-time $334,500 benefit recorded in the prior year period in connection with the forgiveness of a loan previously granted under the Payment Protection Program.

EPS fell from 2 cents to zero.

Shares traded Thursday at 43 cents against a 52-week range of 18 cents to $1.54.

"Our core bottled soda business was the main driver behind our solid sales results, where we saw continued strength in our retail and alternative channels throughout the quarter," Mark Murray, president and CEO, said in the press release. "While we experienced modest year-over-year margin compression mostly due to a combination of product mix and inflationary pressures, we remained in-line with our internal expectations for this quarter."