NORWALK, Conn., June 18, 2025 (GLOBE NEWSWIRE) -- Reed’s, Inc. (OTCQX: REED) (“Reed’s” or the “Company”), owner of the nation’s leading portfolio of handcrafted, natural ginger beverages, today announced its participation in the upcoming OTC Markets Virtual Investor Conference on Thursday, June 26, 2025. Reed’s management team will hold virtual 1x1 meetings throughout the day and host a presentation at 2:00pm ET. This will be a live, interactive event where investors are invited to ask the Company questions ...

Core Insights - Reed's, Inc. reported a 4.5% increase in net sales for Q1 2025, reaching $10.0 million compared to $9.6 million in Q1 2024, driven by higher volumes with national customers [6][10] - The company is focused on improving operational efficiency, having reduced short shipments from approximately 20% to roughly 2% in April 2025, and is now producing in line with demand [4][5] - The new CEO, Cyril Wallace, emphasizes a commitment to quality and operational excellence, aiming for sustainable growth across existing and new product lines [3][5] Financial Performance - Gross profit for Q1 2025 remained flat at $3.4 million, with a gross margin of 33.9%, down from 35.6% in the previous year, primarily due to increased costs of goods sold [7][10] - Delivery and handling costs increased to $1.6 million, representing 16.2% of net sales, compared to 15.7% in Q1 2024 [8][10] - Selling, general, and administrative expenses rose to $3.5 million from $2.6 million, reflecting investments in personnel and marketing [9][10] Loss and Cash Flow - The operating loss for Q1 2025 was $1.7 million, compared to a loss of $0.7 million in Q1 2024, with a modified EBITDA loss of $1.6 million versus a loss of $0.4 million in the prior year [9][11][30] - The company used approximately $5.4 million in cash from operating activities in Q1 2025, compared to $2.4 million in the same period of 2024 [12][30] - As of March 31, 2025, Reed's had approximately $4.9 million in cash and $9.6 million in total debt, down from $10.4 million in cash at the end of 2024 [12][30] Strategic Outlook - The management is in the early stages of refining a long-term strategic plan, focusing on building scale, improving margins, and returning to profitability [5] - The company is expanding its distribution of core products and launching new functional beverages, which are expected to contribute to meaningful results in 2025 [4][5]