With products selling in over ten thousand natural foods outlets, award-winning Reed’s, Inc. is one of the leading producers of specialty sodas. Financial results for the second quarter/first half of 2008 came Tuesday, and contained some impressive numbers.
Growth of both Reed’s and Virgil’s product lines for the quarter ended June 30th, 2008, boosted net sales more than 31 percent, achieving a figure of $4,570,816 and besting second quarter 2007 results by $1,098,456. This increase was driven by improved sales by existing retailers, as well as the addition of several new mainstream distributors. Coupled with positive strides in sales was a decrease in interest expense, affected by significant payments into the company’s long-term debt.
In reference to his company’s exceptional performance thus far in 2008, founder and CEO Chris Reed stated, “We are pleased with our strong start to the first half of 2008 and we expect our positive momentum to carry into the back half of the year. In addition to driving top-line sales growth, we will continue to evaluate methods to improve gross margin and enhance efficiencies in our operations. Specifically, because of the strong growth we have experienced in the last year we are better positioned to negotiate alternative co-pack production agreements, which we expect will result in further gross margin improvement. As a result, we expect to report improved bottom line results in the back half of 2008 compared to the first six-months of 2008.”
The company reports expected sales increases from existing markets in the latter half of this year, and plans to add roughly 3,500 new retail accounts stand to exponentiate those figures. Make no mistake, 2008 is certainly shaping up for Reed’s, Inc.
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