Else Nutrition Reports 2024 Second Quarter Financial Results and Provides Business Update
Rhea-AI Summary
Else Nutrition Holdings Inc. (TSX: BABY) (OTCQX: BABYF) reported Q2 2024 financial results, showing a 23% revenue increase to $2.6 million compared to Q1 2024. The company experienced significant retail sales growth, with 88% increase in the U.S. and 111% in Canada over Q1 2024. Else Nutrition expanded its market presence by adding major retailers like Wegmans, HEB, Meijer, and 600 new Walmart U.S. stores. The company also launched its Kids RTD line at Loblaws, Giant, and Metro, and added Walmart's Canadian website. Gross profit improved to $263 thousand (10% of revenue) in Q2 2024, compared to a gross loss in Q2 2023. The company moved its U.S. powder production to a new plant, reducing production costs by almost half, and plans to add another facility in Europe for further cost savings.
Positive
- Q2 2024 revenue increased 23% to $2.6 million compared to Q1 2024
- Retail sales grew 88% in the U.S. and 111% in Canada over Q1 2024
- Expanded market presence by adding major retailers like Wegmans, HEB, Meijer, and 600 new Walmart U.S. stores
- Gross profit improved to $263 thousand (10% of revenue) in Q2 2024, compared to a gross loss in Q2 2023
- Reduced production costs by almost half by moving U.S. powder production to a new plant
- Secured listing with Navy Exchange Service Command (NEXCOM) for full product line
Negative
- Cash balance decreased to $1.4 million as of June 30, 2024
- Company raised additional US$2 million after the quarter end, indicating potential cash flow concerns
News Market Reaction – BABYF
On the day this news was published, BABYF declined 17.94%, reflecting a significant negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
Q2 2024 revenue increased
Q2 2024 retail sales increased
Conference call to be held today at 10:00 AM Eastern Time
"We are rapidly expanding our market presence," commented, Hamutal Yitzhak, CEO of Else Nutrition. "Most notably, our toddler and kids products continue to gain traction as we add major retailers across
"We are also gaining traction in the market with our kids ready-to-drink (RTD) products, demonstrating its broad appeal. Since the launch, we have observed a rapid increase in sales, reflecting strong consumer demand and positive reception. The positive reviews and testimonials further attest to its quality and taste, enhancing our brand's reputation. In fact, our RTD products earned the prestigious Mom's Choice Award. The impressive market performance we are witnessing positions us for future growth and expansion."
"In addition, we recently announced that the Navy Exchange Service Command, or NEXCOM, has listed our full product line. The Navy Exchange offers a variety of goods and services to active military personnel, retirees, and certain civilians on Navy installations in
"Furthermore, during the first half of 2024, we moved our
"Overall, we are committed to growing our revenue and capturing a significant share of this multi-billion market, while progressing towards profitability and driving value for our shareholders," concluded Ms. Yitzhak.
2024 Second Quarter Financial Results
All figures are in CAD unless otherwise indicated.
- Revenue for Q2 2024 increased approximately
10% to$2.60 million $2.37 million 23% sequentially to$2.6 million - Operating expenses for Q2 2024 decreased
19% to$3.4 million $4.2 million - Gross profit in Q2 2024 increased to
$263 thousand 10% of revenue, compared to a gross loss of$50 thousand 2% ) of revenue in Q2 2023. - Cash balance as of June 30, 2024, was
$1.4 million US .$2 million
Conference Call
Else Nutrition management plans to host a business update conference call at 10:00 a.m. Eastern Time today to discuss the Company's financial results for the 2024 second quarter ended June 30, 2024, as well as the Company's corporate progress and other developments.
The conference call will be available via telephone by dialing toll free 1-877-704-4453 for
A webcast replay will be available on the Investor Relations section of the Company's website (https://investors.elsenutrition.com/), through August 14, 2025. A telephone replay of the call will be available approximately three hours following the call, through August 21, 2024, and can be accessed by dialing 1-844-512-2921 for
To delve deeper into Else Nutrition's offerings and its revolutionary approach to kids' nutrition, visit www.elsenutrition.com
About Else Nutrition Holdings Inc.
Else Nutrition Holdings Inc. (TSX: BABY, OTCQX: BABYF, FSE: 0YL) is a food and nutrition company in the international expansion stage focused on developing innovative, clean, and plant-based food and nutrition products for infants, toddlers, children, and adults. Its revolutionary, plant-based, non-soy formula is a clean-ingredient alternative to dairy-based formulas. Since launching its Plant-Based Complete Nutrition for Toddlers, made of whole foods, almonds, buckwheat, and tapioca, the brand has received thousands of powerful testimonials and reviews from parents, gained national retailer support, and achieved rapid sales growth.
Awards and Recognition:
- "2017 Best Health and Diet Solutions" award at
Milan 's Global Food Innovation Summit - #1 Best Seller on Amazon in the Fall of 2020 in the New Baby & Toddler Formula Category
- "Best Dairy Alternative" Award 2021 at World Plant-Based Expo
- Nexty Award Finalist at Expo West 2022 in the Plant-Based lifestyle category
- During September 2022, Else Super Cereal reached the #1 Best Seller in Baby Cereal across all brands on Amazon
- In May 2024 Else Nutrition's Ready-to-Drink Kids Vanilla Shake Named Among the Best in Family-Friendly Products by the Prestigious Mom's Choice Awards®
TSX
Neither the TSX nor its regulation services provider (as that term is defined in the policies of the TSX) accept responsibility for the adequacy or accuracy of this release.
Caution Regarding Forward-Looking Statements
This press release contains statements that may constitute "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements are typically identified by words such as "will" or similar expressions. Forward-looking statements in this press release include statements with respect to the anticipated dates for filing the company's financial disclosure documents. Such forward-looking statements reflect current estimates, beliefs, and assumptions, which are based on management's perception of current conditions and expected future developments, as well as other factors management believes are appropriate in the circumstances. No assurance can be given that the foregoing will prove to be correct. Forward-looking statements made in this press release assume, among others, the expectation that there will be no interruptions or supply chain failures as a result of COVID-19 and that the manufacturing, broker, and supply logistic agreement with the company does not terminate. Actual results may differ from the estimates, beliefs, and assumptions expressed or implied in the forward-looking statements. Readers are cautioned not to place undue reliance on any forward-looking statements, which reflect management's expectations only as of the date of this press release. The company disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
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SOURCE Else Nutrition Holdings Inc.
FAQ
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