Business
Edible Garden Reports 157% Increase in Gross Profit Fueled by Year-over-Year Growth of 61% in Cut Herbs and 30% in Vitamins & Supplements for the Second Quarter of 2024
Gross Margin Increases to 36.7% in Q2 2024, Up from 13.1% in Q2 2023 Strategic Pivot Away from Third-Party Growers Contributes to More than 26% Decline in
About this update from Edible Garden Ag Incorporated
[{"type":"text","content":"Gross Margin Increases to 36.7% in Q2 2024, Up from 13.1% in Q2 2023 Strategic Pivot Away from Third-Party Growers Contributes to More than 26% Decline in Cost of Goods Sold Conference Call to Be Held Today at 8:00 am ET BELVIDERE, N.J., Aug. 14, 2024 (GLOBE NEWSWIRE) -- Edible Garden AG Incorporated (“Edible Garden” or the “Company”) (Nasdaq: EDBL), a leader in controlled environment agriculture (CEA), locally grown, organic and sustainable produce and products, today provided a business update and reported financial results for the three months ended June 30, 2024. Mr. Jim Kras, Chief Executive Officer of Edible Garden, commented, “We are pleased to announce another exceptionally strong quarter, as illustrated by a 157% increase in gross profit, fueled by impressive year-over-year growth of 61% in cut herbs and 30% in vitamins & supplements for the second quarter of 2024. Our shift away from the dependence on third-party growers is driving our gross profit margin improvement. With approximately 95% of our fresh product line now produced in our own facilities, gross margin increased to a record 36.7% in the second quarter of 2024, compared to 13.1% for the same period last year. Additionally, we have reviewed our business operations and made a strategic decision to shift away from less profitable business segments, directing our focus and efforts toward more profitable, higher-margin segments. We believe that this shift in strategic focus, combined with the vertical integration of our operations, positions us well to continue improving our results and achieving our goals of positive cash flow and profitability.” \"In the second quarter, we expanded the distribution of our Pulp line of USDA organic, fermented, and sustainable gourmet sauces and chili-based products, with the addition of UNFI Distributors, a top North American wholesaler of health and specialty foods serving over 30,000 locations. Through KeHE Distributors and UNFI Distributors, as well as our own e-commerce platform, retailers across the continent now have access to our 'Bland to Bold' Pulp products. Our growing roster of major retailers now includes Target, Whole Foods, Meijer, Morton Williams, Dierbergs Markets, Woodman’s and others. According to Research and Markets, the global sauces and condiments product category is expected to grow to $240.7 billion in 20...