Business
Barfresh Provides First Quarter 2023 Results and Business Update
Revenue Increased 46% Sequentially to $2.1 Million and Gross Margins Improved Sequentially and Year-Over-Year to 41% in First Quarter of 2023 Capacity
About this update from Barfresh Food Group Inc.
[{"type":"text","content":"Revenue Increased 46% Sequentially to $2.1 Million and Gross Margins Improved Sequentially and Year-Over-Year to 41% in First Quarter of 2023 Capacity Expansion Plans for Smoothie Carton Product on Track; Company Expects to Increase Production to 25 Million to 30 Million Units Per Year in Second Half of 2023 Company Continues to Expect Record Revenue in Fiscal 2023 and Year-over-Year Margin Improvement LOS ANGELES, April 27, 2023 (GLOBE NEWSWIRE) -- Barfresh Food Group Inc. (the “Company” or “Barfresh”) (Nasdaq: BRFH), a provider of frozen, ready-to-blend and ready-to-drink beverages, is providing a business update in conjunction with the filing of its form 10-Q for the first quarter ended March 31, 2023. Management Comments Riccardo Delle Coste, the Company’s Chief Executive Officer, stated, “We achieved sequential revenue improvement in the first quarter of 2023 with revenue increasing 46% over the fourth quarter of 2022, as our new smoothie carton format continued to drive consumer adoption in the education channel. We also saw a nice lift sequentially and year-over-year in gross margins due to increased demand of our higher-margin carton format, with margins at the highest level in the past seven quarters at 41%.” Mr. Delle Coste continued, “We expect continued revenue and margin expansion throughout 2023 as capacity ramps for our smoothie carton format and expect carton capacity to increase to 25-30 million units per year in the second half of this year. We are very pleased with the initial success this new format has had and once again have found the education channel responds well to new product introductions from our Company. We now have an even larger base to sell into once we are back to full capacity in our bottle format and fully ramped in our carton format, setting our Company up for record revenue in fiscal year 2023 and longer-term growth.” First Quarter of 2023 Financial Results Revenue for the first quarter of 2023 was $2.1 million, compared to $2.5 million in the first quarter of 2022 and compared to $1.4 million in the fourth quarter of 2022. The decline in revenue year-over-year is the result of the loss of the Company’s largest bottle manufacturer of Twist & Go™, partially offset by increased sales of the new smoothie carton format. Gross margins for the first quarter of 2023 were 41%, compared to 30% for th...