Business
Willamette Valley Vineyards Posts Results for 2022
SALEM, Ore., March 28, 2023 /PRNewswire/ -- Willamette Valley Vineyards, Inc. (NASDAQ:WVVI) (the "Company"), a leading Oregon producer of Pinot Noir,
About this update from Willamette Valley Vineyards, Inc.
[{"type":"text","content":"SALEM, Ore., March 28, 2023 /PRNewswire/ -- Willamette Valley Vineyards, Inc. (NASDAQ:WVVI) (the \"Company\"), a leading Oregon producer of Pinot Noir, generated a loss per common share after preferred dividends of $0.51 and an earnings per common share of $0.20 for the years ended December 31, 2022 and 2021 respectively, a decrease of $0.71, for the year ended December 31, 2022 over the prior year period. \nThe Company had net sales revenues of $33,934,081 and $31,786,864 for the years December 31, 2022 and 2021, respectively, an increase of $2,147,217, or 6.8%, for the year ended December 31, 2022 over the prior year period primarily as a result of an increase in revenue from direct sales of $2,459,483, or 18.5% in 2022 compared to 2021, which more than offset a decrease in revenue from sales to distributors of $312,266 or 1.7% in 2022 compared to 2021.\nGross profit was $18,814,096 and $18,665,673 for the years ended December 31, 2022 and 2021, respectively, an increase of $148,423, or 0.8%, for the year ended December 31, 2022 over the prior year period. This increase was generally driven by an increase in sales revenues partially offset by a higher cost of sales.\nSelling, general and administrative expenses were $19,360,514 and $14,975,654 for the years ended December 31, 2022 and 2021, respectively, an increase of $4,384,860, or 29.3%, for the year ended December 31, 2022 over the prior year period. This increase was primarily as a result of more sales coming from tasting rooms which have higher selling costs and from costs related to the opening and development of four new tasting room and restaurant locations.\nNet income(loss) was $(646,492) and $2,445,463, for the years ended December 31, 2022 and 2021, respectively, a decrease of $3,091,955, or 126.4%, for the year ended December 31, 2022 over the prior year period.\nJim Bernau, Founder and CEO of the Company said, \"In 2022, we incurred additional product costs and inventory delays at the start of the year that negatively impacted our sales through distributors in the year. We have also incurred additional expenses in the year in connection with the opening of four new tasting room and restaurant locations in 2022 as we significantly grew our footprint in the direct to consumer segment. We expect higher costs and reduced margins and earnings in the near term as we b...