Business
Eastside Distilling Reports First Quarter 2022 Financial Results
Company to Host Conference Call at 5:00pm ET Today PORTLAND, Ore., May 16, 2022 /PRNewswire/ -- Eastside Distilling, Inc. (NASDAQ: EAST) ("Eastside" or the
About this update from Beeline Holdings, Inc.
[{"type":"text","content":"Company to Host Conference Call at 5:00pm ET Today \nPORTLAND, Ore., May 16, 2022 /PRNewswire/ -- Eastside Distilling, Inc. (NASDAQ: EAST) (\"Eastside\" or the \"Company\"), a consumer-focused beverage company that builds craft inspired experiential brands and high-quality artisan products around premium spirits and ready-to-drink \"RTD\" craft cocktails, reported first quarter 2022 financial results for the period ended March 31, 2022.\n\n \n \n \n \n \n \n\n \nFirst Quarter 2022 Highlights: \nRaised $2.0 million in incremental working capital financing during the quarter and $1.2 million subsequent to quarter-end; the proceeds will primarily be used to fund the 3-year strategic growth initiativesImproved spirits gross profit over $0.8 million for the quarter, partially offset by weak first quarter sales of AzuñiaContinued reduction in operating costs of $0.3 million from prior year first quarterPaid down $0.9 million under the Live Oak Debt Facility\"We made tangible progress on multiple fronts in Q1 with key investments in both Craft C+B and our spirits business,\" said Geoffrey Gwin, Eastside's CEO. \"We expect to build on these results as we progress through the year.\"\nFinancial Results\nGross sales for the three months ending March 31, 2022 increased to $3.8 million from $3.2 million for the three months ending March 31, 2021 with record realized prices from bulk wholesale activities, offset by Craft C+B sales. Sales of spirits during the quarter benefitted from the bulk sale of 798 barrels of 95% rye whiskey ranging in age from three-year-old to eight-year-old for gross proceeds of $1.5 million. This was partially offset by lower Azuñia volume resulting from cycling deep discounting to chains in the prior year. Portland Potato Vodka was soft as velocity per store declined, however, the impact to revenue almost entirely offset by a Q4 2021 price increase. A number of trends affected sales at Craft C+B including the relocation of the business, insourcing by customers and increased competition. \nGross profit for the three months ending March 31, 2022 increased to $0.9 million from $0.5 million for the three months ending March 31, 2021. Gross margin increased to 25% for the three months ending March 31, 2022 from 17% for the three months ending March 31, 2021 primarily due to an improvement in Spirits margins, offset by l...