SEATTLE — A newly implemented turnaround strategy was not enough to get Jones Soda Co. back in the black in fiscal 2020 as the maker of craft sodas sustained a loss of nearly $3 million in the year ended Dec. 31, 2020. The loss compared with a loss of $2.78 million in fiscal 2019.
Net revenues, meanwhile, moved up slightly in the year, climbing to $11.9 million from $11.51 million.
In the fourth quarter, Jones Soda trimmed its loss to $918,000 from $930,000, while sales increased to $2.46 million from $2.16 million.
“We made solid progress in 2020 with our newly implemented turnaround strategy, even in the face of unique challenges brought on by the pandemic," said Mark F. Murray, president and chief executive officer of Jones Soda. “Thanks to the continued dedication of our employees, we saw year-over-year revenue growth of 14% and bottom-line improvements in the fourth quarter, and we are continuing to build our brand's presence across all of our markets through the unique digital marketing initiatives we’ve introduced.”
In a March 10 conference call with analysts, Mr. Murray said Jones Soda has been hard at work ensuring it closes all distribution gaps while also working with its partners to ensure they are promoting and displaying its products effectively. He said the company is especially proud of its core product offerings.
“In January, we announced two new variety packs, the Fan Faves Variety Pack and the Mixer Variety Pack, both of which highlight our offerings in a new and unique way for our consumers,” he said. “The Fan Faves Variety Pack bundles Jones top-selling Cream Soda, Berry Lemonade, Orange & Cream and Green Apple flavors, while the Mixer Variety Pack contains Jones Cola, Lemon Line and Ginger Beer in an effort to target today's craft cocktail and at-home DIY trends. Both packs offer our sodas in a new format that allows us to capitalize on the pantry stocking behavior we're seeing from consumers.”
In February, Jones Soda began shipping initial order from its Jones Soda special release program.
“This program allows us to bring new flavors and innovation to our loyal customers and consumers on a regular basis,” Mr. Murray said. “Birthday Cake is already hitting store shelves, followed by Pineapple Cream, which will come later this summer. The plan will be to offer the following flavors during 2021: Birthday Cake, February through June; Pineapple Cream, July and September; and back by popular demand, this year, we will finally see the return of Turkey and Gravy, October through December. We are also continuing to develop flavor innovations for 2022, and we will ask for consumer feedback to help select these flavors.”