Q2 2024 revenue increased 23% to $2.6 million over Q1 2024
Q2 2024 retail sales increased 88% and 111% over Q1 2024 in the U.S. and Canada, respectively
Conference call to be held today at 10:00 AM Eastern Time
VANCOUVER, BC, Aug. 14, 2024 /PRNewswire/ - ELSE NUTRITION HOLDINGS INC. (TSX: BABY) (OTCQX: BABYF) (FSE: 0YL.F) ("Else" or the "Company"), today reported financial results for the second quarter ended June 30, 2024. The financial statements and MD&A are available on SEDAR under the Company's profile.
Else Logo (CNW Group/Else Nutrition Holdings Inc.)
"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 North America. Specifically, we added several key accounts in the last few months, including Wegmans, HEB, Meijer, and 600 new Walmart U.S. stores, started selling our new Kids RTD line at Loblaws, Giant and Metro, and added Walmart's Canadian website, Walmart.ca. As a result, our revenue increased 23% to $2.6 million in the second quarter of 2024 and we achieved 88% and 111% sequential retail sales growth in the U.S. and Canada, respectively. We believe these results are a strong validation of the market demand for nutritious and healthy alternatives."
"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 the United States, overseas Navy bases, and aboard Navy ships. We are pleased to report that we have delivered the first shipment of our full range of products to NEXCOM's retail stores. We believe this agreement will serve as a foothold into broader military channels, providing those who serve and their families access to high-quality, nutritious options."
"Furthermore, during the first half of 2024, we moved our U.S. powder production to a new plant, cutting production cost by almost half, and moved to a new packaging partner that reduced our packaging costs and improved our product shelf-life. Over the next several months we plan to add another powder production and packaging facility in Europe that will offer additional cost savings and quality improvements. "
"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 compared to $2.37 million for the same period last year. Revenue for Q2 2024 increased 23% sequentially to $2.6 million compared to Q1 2024.
Operating expenses for Q2 2024 decreased 19% to $3.4 million compared to $4.2 million in Q2 2023.
Gross profit in Q2 2024 increased to $263 thousand, or 10% of revenue, compared to a gross loss of $50 thousand or (-2%) of revenue in Q2 2023.
Cash balance as of June 30, 2024, was $1.4 million (including restricted cash). Subsequent to the quarter, the Company raised 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.
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 U.S. callers or +1-412-317-6671 for international callers and entering conference ID: 13748206.
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?
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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.