Zevia(ZVIA) - 2024 Q3 - Quarterly Results

Financial Performance - Net sales for Q3 2024 were $36.4 million, a decrease of 15.6% from $43.1 million in Q3 2023[2] - Net loss for Q3 2024 was $2.8 million, an improvement of $8.4 million compared to a net loss of $11.3 million in Q3 2023[4] - Adjusted EBITDA loss was $1.5 million in Q3 2024, improving by $7.6 million from a loss of $9.1 million in Q3 2023[4] - Loss per share improved to $0.04 for Q3 2024, compared to $0.16 in Q3 2023[4] - Net loss for the nine months ended September 30, 2024, was $17,002,000, compared to a net loss of $19,171,000 for the same period in 2023, showing an improvement of approximately 11.3%[16] - Adjusted EBITDA for the nine months ended September 30, 2024, was $(11,348,000), compared to $(12,200,000) for the same period in 2023, indicating a reduction in losses of about 7%[19] Cost Management - Selling and marketing expenses decreased to $12.0 million, or 32.9% of net sales, down from $20.5 million, or 47.5% of net sales in Q3 2023[4] - The company anticipates achieving $15 million in annual cost savings through its Productivity Initiative[1] Sales Projections - The company expects full-year 2024 net sales to be in the range of $154 million to $156 million[6] - For Q4 2024, net sales are projected to be between $38 million and $40 million[6] Distribution and Expansion - Zevia expanded distribution to over 4,300 Walmart stores, up from 800 previously served[1] Asset and Liability Management - Total assets decreased from $90,857,000 on December 31, 2023, to $72,859,000 on September 30, 2024, representing a decline of approximately 19.8%[15] - Current assets fell from $82,687,000 to $66,062,000, a decrease of about 20.2%[15] - Total liabilities decreased from $29,090,000 to $24,144,000, a reduction of approximately 17%[15] - Stockholders' equity decreased from $89,878,000 to $72,508,000, a decline of about 19.4%[15] Cash Flow and Receivables - Cash and cash equivalents increased from $31,955,000 at the beginning of the period to $32,688,000 at the end, reflecting a net change of $733,000[16] - Accounts receivable decreased from $11,119,000 to $10,008,000, a decline of approximately 10%[15] - Inventories significantly dropped from $34,550,000 to $20,690,000, a decrease of about 40%[15] Non-Cash Expenses - The company reported a non-cash lease expense of $450,000 for the nine months ended September 30, 2024, compared to $423,000 for the same period in 2023[16]