Jones Soda Co. announced its financial results for the fourth quarter and full year ending December 31, 2023, and the company’s marijuana-infused soda line continues to increase its market share.
According to a press release sent today, Jones Soda made $3.5 million in revenue in the fourth quarter of 2023. Although this was a slight decrease from the $3.7 million sold in Q4, 2022, the company’s Mary Jones line of marijuana sodas significantly increased its revenue, from $239,000 to $438,000. This accounts for 12.5% of the company’s total revenue.
For the full year, Jones Soda made $16.7 million, compared to $19.1 million in 2022. The company’s Mary Jones line made approximately $1.2 million in revenue compared to approximately $353,000 in 2022.
“According to our sources in Washington, Mary Jones brands Mary Jones Berry Lemonade and Mary Jones Root Beer were the top selling cannabis beverages in Washington in the last several months”, states the press release. The release also notes that:
- Mary Jones successfully launched in Canada with Tilray as partner.
- Mary Jones Hemp Derived Delta9 THC beverages launched online through new e-commerce focused website and expanding into key markets.
- Mary Jones Fizzy Tabs launched in California this week, extending our beverage line into edibles.
“During the fourth quarter, we experienced headwinds in our foodservice and grocery channels from a revenue perspective and our gross margins were negatively impacted by a one-time inventory write-off, which led to less-than-ideal top-line financial results to close out the year, however, I believe we continued to make progress towards positioning Jones Soda for exciting long-term growth opportunities,” said David Knight, President and CEO of Jones Soda. Revenues from our Mary Jones cannabis products more than doubled during the fourth quarter on both a sequential and year-over-year basis as we continued to expand our geographies and introduced new products, and we maintained strict cost discipline with our operating expenses, which allowed us to reduce our net loss.”
He continues: “As we move into 2024, I’m highly encouraged by the growth opportunities at hand. We are transitioning the Company from a soda company to a beverage company. We have created a new foodservice division led by a market veteran and announced several partnerships that we believe will significantly improve the sales results for this channel going forward. We recently announced our expansion into the ready-to-drink malt beverage space with Spiked Jones in the Pacific Northwest, and our innovation team is working on developing additional new beverage products. Mary Jones has continued to expand its product offerings with the introduction of Hemp Delta-9 and expanded internationally into the Canadian regulated market.
“I would also like to thank Eric Chastain, our veteran COO, for his 22 years of service and the legacy he has built on Jones Soda. Eric has decided to step aside and take a well-deserved break. We welcome Eric Bittner to the team as our new COO. He is a seasoned beverage operator with time at PepsiCo, Keurig Dr Pepper, Niagara Bottling and Fever Tree. I am excited to have him on board to help drive growth into new categories, gain scale and improve margins.
“Overall, I believe the future remains bright here at Jones Soda. We see ample growth opportunities for our core soda business, our Mary Jones business and extensions into adjacent beverage categories as we transition to a beverage company. We believe we have set the stage for growth in 2024 and are now working hard to capitalize on these opportunities. Overall, we are making progress towards our long-term strategic goals that we believe will unlock significant shareholder value. We believe we are off to a great start so far in 2024, and we look forward to what the year will bring.”
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