GURU Organic Energy Announces Third Quarter 2024 Financial Results
Focused on Return to Profitability: 18.3% reduction in net loss to $6.8 million in the first nine months of 2024, down from $8.3 million in the same period of 2023; achieved 50.6% improvement over 2022, demonstrating strong commitment to reducing costs.
Strong Financial Position: $37.7 million in cash, cash equivalents and short-term investments, coupled with unused credit facilities, providing ample resources to drive GURU's path to profitability, and selectively investing in growth opportunities.
Revenue Growth and Margin Improvement: Net revenue rose by 6.9% to $23.1 million for the first nine months of 2024, up from $21.6 million in 2023. Gross profit increased by 11.6% for the same period, resulting in year-to-date gross margin of 54.8% (55.4% in Q3), compared to 52.5% a year ago, underscoring continued focus on operational efficiency.
Quebec Market Share Expansion: Increase in market share by more than one percentage point to 18.3% in units over the last nine months compared to the previous year, reinforcing strong presence in Quebec market (based on Nielsen Quebec and untracked channels).
Upcoming US Launches: US launch of Zero Sugar line on Amazon, in select fitness clubs and retailers, featuring Wild Berry, Wild Strawberry Watermelon and Wild Ruby Red and representing a pivotal step in expanding GURU's footprint in the rapidly growing US sugar-free energy drink market.
MONTRÉAL, Sept. 12, 2024 (GLOBE NEWSWIRE) -- GURU Organic Energy Corp. (TSX: GURU) ("GURU" or the "Company"), Canada's leading organic energy drink brand1, today announced its results for the third quarter ended July 31, 2024. All amounts are in Canadian dollars unless otherwise indicated.
Financial Highlights(in thousands of dollars, except per share data)
Three months endedJuly 31
Nine months endedJuly 31
2024
2023
2024
2023
$
$
$
$
Net revenue
7,940
8,878
23,087
21,602
Gross profit
4,402
4,545
12,648
11,331
Net loss
(2,230
)
(3,006
)
(6,760
)
(8,276
)
Basic and diluted loss per share
(0.07
)
(0.09
)
(0.22
)
(0.26
)
Adjusted EBITDA2
(2,221
)
(3,010
)
(6,872
)
(8,062
)
Operational Excellence and Strategic Growth
Robust Quebec Retail Performance: GURU's 2024 product innovations, including Peach Mango Punch and Zero Wild Berry, continued to drive sales growth in Quebec, capturing a combined market share of 3.0% in the last four weeks ended July 13, 2024. Performance in Quebec wholesale club channel remained robust.
US Market Growth Momentum: Sales growth in the US natural food store channel (SPINS excluding Sprouts) remained strong at +7% over the last 52 weeks and +8% over the last 12 weeks, with Whole Foods showing significant acceleration in Q3 at +16% year-over-year. In August, sales at main retailers continued to rise sharply with Bristol Farms (+71%), Erewhon (+35%) and Independent Natural Food Retailers (+32%) leading the way against top brands.
Online Sales Surge: Double-digit online growth, with unit sales up by 37% on Amazon.ca and 45% on Amazon.com for the nine months ended July 31, 2024, compared to the previous year. Record Prime Day performance in July, outperforming last year's Prime Day by 25% on Amazon.ca and 76% on Amazon.com.
Strategic Initiatives and Leadership
Board of Directors Strengthening: The Company has reinforced its board of directors with the addition of three new independent members—Jeff Church, Anne-Marie ...
