Core Insights - Farmer Bros. Coffee Co. reported third quarter fiscal 2025 net sales of $82.1 million, a decrease from $85.4 million in the same period last year [7] - The company achieved a gross margin of 42.1%, an increase of 200 basis points year-over-year [1][7] - A net loss of $5 million was reported, which included a $2.4 million loss related to asset disposals, compared to a net loss of $700,000 in the third quarter of fiscal 2024 [7] - Adjusted EBITDA improved to $1.7 million, up from $271,000 in the prior year [1][7] Financial Performance - Net sales for the third quarter of fiscal 2025 were $82.1 million, down from $85.4 million in the third quarter of fiscal 2024 [7] - Gross profit was $34.5 million, or 42.1%, compared to $34.2 million, or 40.1%, in the prior year [7] - Operating expenses increased to $38.1 million from $34.7 million in the prior year, primarily due to a decrease in net gains related to asset disposals [7] - The company reported a net loss of $5 million, which included a $2.4 million loss from asset disposals [7] Strategic Initiatives - The launch of the Sum>One specialty coffee brand marked the completion of a 12-month brand pyramid and SKU rationalization initiative [3][7] - The company has implemented a tiered go-to-market strategy, allowing customers to navigate the value chain more effectively [3] Balance Sheet and Liquidity - As of March 31, 2025, Farmer Bros. had $4.1 million in unrestricted cash and cash equivalents, $200,000 in restricted cash, and $23.3 million in outstanding borrowings under its credit facility [5] - The company has an additional borrowing capacity of $22.1 million [5] Management Commentary - The CEO highlighted the third quarter as a solid performance, noting the third consecutive quarter of positive adjusted EBITDA and maintained gross margins above 42% [2] - The management emphasized ongoing efforts to streamline operations and improve cost structures in a challenging market environment [2]