Business
Eastside Distilling Reports Fourth Quarter 2021 Financial Results
Company to Host Conference Call at 5:00pm ET Today PORTLAND, Ore., March 30, 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., March 30, 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 fourth quarter and year end 2021 financial results for the period ended December 31, 2021.\n\n \n \n \n \n \n \n\n \nYear End 2021 Highlights: Raised $4.0 million of cash during the quarter and $3.5 million subsequent to year-end; the proceeds will primarily be used to fund the 3-year strategic growth initiativesImproved spirits gross profit over 50% for the year despite challenging business environmentSignificant reduction in operating costs and improved EBITDA performance year over yearReduced $13 million of debt and increased working capital by $22 million year over year\"2021 was a difficult year for Eastside. Our businesses were impacted by the pandemic and supply chain challenges, yet we exited the year with a stronger balance sheet,\" said Geoffrey Gwin, Eastside's CEO. \"Despite these challenges, we made substantial investments in 2021 to drive growth in 2022.\"\nFinancial ResultsGross sales for the year ending December 31, 2021 decreased to $12.9 million from $14.8 million for the year ending December 31, 2020 primarily driven by a decrease in mobile canning revenue. During 2021, craft brewers have begun to shift sales back to on-premise locations that utilize higher margin kegs. Increased competition in aluminum canning and higher supply chain costs impacted the Company's ability to achieve its sales and margins targets in its Craft C+B business. \nThe Company's spirits division reported lower sales from the prior year due to Azuñia supply chain constraints and a lack of attention from distribution partners resulting in a slower than planned expansion of distribution outside Oregon. In addition, the Company reduced deep discounting, which resulted in lost chain account placements in California and other markets.\nGross profit for the year ending December 31, 2021 decreased to $2.9 million from $3.6 million for the year ending December 31, 2020. Gross margin decreased to 23% for the year ending December 31, 2021 from 26% for the year ending December 31, 2020...