Edible Garden Reports Significant 27.6% Year-Over-Year Revenue Growth for First Quarter of 2024

Core Insights - Edible Garden AG Incorporated reported a significant 27.6% year-over-year revenue increase for Q1 2024, reaching $3.1 million, attributed to higher customer demand and product expansion [3][5] - The company achieved a gross profit increase of 195.8%, with gross margin rising by 171 basis points compared to the same period in 2023, reflecting the benefits of vertical integration and reduced reliance on third-party growers [1][3] - Approximately 95% of Edible Garden's fresh product line is now produced in company-owned facilities, marking a strategic shift towards higher expected profits [1][3] Financial Performance - Revenue for the three months ended March 31, 2024, totaled $3.1 million, up from $2.5 million in the same period of 2023 [5] - Cost of goods sold also increased to $3.1 million, consistent with revenue growth [6] - Selling, general and administrative expenses rose to $3.9 million, primarily due to a one-time severance charge and increased audit and legal fees [7] - The net loss for the quarter was $4.0 million, or ($13.65) per share, compared to a net loss of $2.9 million, or ($44.19) per share, in Q1 2023 [8] Strategic Developments - The company has entered a three-year contract with a leading U.S. food retailer, expected to generate $18 to $20 million in revenue, enhancing product visibility and assortment in stores [3] - Edible Garden launched its Pulp line of sustainable gourmet sauces, which has gained distribution in major retailers and is part of a growing market projected to reach $240.7 billion by 2028 [3] - A product development agreement with Hermann Pickle Company aims to create new fermented plant-based products, leveraging both companies' strengths [4]