Flow Beverage Corp. Reports Q1 2025 Financial Results
Flow Beverage Corp. (FLWBF) reported Q1 2025 financial results showing mixed performance. Consolidated net revenue reached $11.4 million, up 38% from Q1 2024, driven by a 216% increase in co-pack revenue. However, Flow brand net revenue decreased 5% to $6.2 million due to exit from unprofitable partnerships and production disruptions.
Gross margin improved significantly to 21% compared to -15% in Q1 2024, reflecting production consolidation at Aurora facility and focus on higher-margin channels. The company reduced its Adjusted EBITDA loss to $2.6 million from $9.7 million year-over-year, benefiting from improved margins, 70% decrease in marketing expenses, and 50% reduction in administrative costs.
Flow Beverage Corp. (FLWBF) ha riportato i risultati finanziari del primo trimestre 2025 mostrando una performance mista. Il fatturato netto consolidato ha raggiunto 11,4 milioni di dollari, in aumento del 38% rispetto al primo trimestre 2024, grazie a un incremento del 216% nel fatturato da co-pack. Tuttavia, il fatturato netto del marchio Flow è diminuito del 5% a 6,2 milioni di dollari a causa dell'uscita da partnership non redditizie e delle interruzioni nella produzione.
Il margine lordo è migliorato significativamente al 21% rispetto al -15% del primo trimestre 2024, riflettendo la consolidazione della produzione presso l'impianto di Aurora e il focus su canali a margine più elevato. L'azienda ha ridotto la sua perdita EBITDA rettificata a 2,6 milioni di dollari rispetto ai 9,7 milioni dell'anno precedente, beneficiando di margini migliorati, di una riduzione del 70% delle spese di marketing e di un abbattimento del 50% dei costi amministrativi.
Flow Beverage Corp. (FLWBF) reportó los resultados financieros del primer trimestre de 2025 mostrando un rendimiento mixto. Los ingresos netos consolidados alcanzaron los 11,4 millones de dólares, un aumento del 38% en comparación con el primer trimestre de 2024, impulsados por un incremento del 216% en los ingresos por co-pack. Sin embargo, los ingresos netos de la marca Flow disminuyeron un 5% a 6,2 millones de dólares debido a la salida de asociaciones no rentables y a interrupciones en la producción.
El margen bruto mejoró significativamente al 21% en comparación con el -15% del primer trimestre de 2024, reflejando la consolidación de la producción en la instalación de Aurora y un enfoque en canales de mayor margen. La empresa redujo su pérdida EBITDA ajustada a 2,6 millones de dólares desde 9,7 millones del año anterior, beneficiándose de márgenes mejorados, una disminución del 70% en los gastos de marketing y una reducción del 50% en los costos administrativos.
Flow Beverage Corp. (FLWBF)는 2025년 1분기 재무 결과를 발표하며 혼합된 성과를 보여주었습니다. 통합 순수익은 1,140만 달러에 도달하여 2024년 1분기 대비 38% 증가했으며, 이는 공동 포장 수익이 216% 증가한 데 기인합니다. 그러나 Flow 브랜드 순수익은 비수익성 파트너십 종료 및 생산 중단으로 인해 5% 감소하여 620만 달러에 그쳤습니다.
총 마진은 2024년 1분기 -15%에서 21%로 크게 개선되었으며, 이는 오로라 시설에서의 생산 통합 및 높은 마진 채널에 대한 집중을 반영합니다. 회사는 조정된 EBITDA 손실을 전년 대비 970만 달러에서 260만 달러로 줄였으며, 이는 개선된 마진, 마케팅 비용 70% 감소, 관리 비용 50% 절감의 혜택을 받았습니다.
Flow Beverage Corp. (FLWBF) a publié les résultats financiers du premier trimestre 2025, montrant une performance mitigée. Le chiffre d'affaires net consolidé a atteint 11,4 millions de dollars, en hausse de 38 % par rapport au premier trimestre 2024, soutenu par une augmentation de 216 % des revenus de co-pack. Cependant, le chiffre d'affaires net de la marque Flow a diminué de 5 % pour atteindre 6,2 millions de dollars en raison de la sortie de partenariats non rentables et de perturbations de production.
La marge brute s'est considérablement améliorée à 21 % contre -15 % au premier trimestre 2024, reflétant la consolidation de la production dans l'installation d'Aurora et un accent sur des canaux à plus forte marge. L'entreprise a réduit sa perte EBITDA ajustée à 2,6 millions de dollars contre 9,7 millions de dollars l'année précédente, bénéficiant d'une amélioration des marges, d'une réduction de 70 % des dépenses marketing et d'une diminution de 50 % des coûts administratifs.
Flow Beverage Corp. (FLWBF) hat die finanziellen Ergebnisse des ersten Quartals 2025 veröffentlicht, die eine gemischte Leistung zeigen. Der konsolidierte Nettoumsatz erreichte 11,4 Millionen Dollar, was einem Anstieg von 38% im Vergleich zum ersten Quartal 2024 entspricht, angetrieben durch einen Anstieg von 216% beim Co-Pack-Umsatz. Der Nettoumsatz der Flow-Marke hingegen sank um 5% auf 6,2 Millionen Dollar aufgrund des Ausstiegs aus unrentablen Partnerschaften und Produktionsunterbrechungen.
Die Bruttomarge verbesserte sich erheblich auf 21% im Vergleich zu -15% im ersten Quartal 2024, was die Produktionskonsolidierung in der Aurora-Anlage und den Fokus auf margenstärkere Kanäle widerspiegelt. Das Unternehmen reduzierte seinen bereinigten EBITDA-Verlust auf 2,6 Millionen Dollar von 9,7 Millionen Dollar im Vorjahr, was auf verbesserte Margen, eine 70%ige Senkung der Marketingausgaben und eine 50%ige Reduzierung der Verwaltungskosten zurückzuführen ist.
- Consolidated revenue up 38% to $11.4M
- Co-pack revenue surged 216%
- Gross margin improved from -15% to 21%
- Adjusted EBITDA loss reduced by $7.1M
- Marketing expenses decreased 70%
- Administrative expenses reduced 50%
- Flow brand revenue declined 5% to $6.2M
- Still operating at Adjusted EBITDA loss of $2.6M
- Production challenges causing unfulfilled demand
- Gross margin remains below potential due to Aurora facility capacity absorption
- Salaries and benefits increased 15%
-
Consolidated net revenue was
$11.4 million 38% increase from Q1 2024 -
Flow brand net revenue was
$6.2 million 5% decrease from Q1 2024 -
Gross margin1 was
21% in Q1 2025, compared to (15)% in Q1 2024 -
Adjusted EBITDA2 loss was
$2.6 million $9.7 million
Management Commentary
“Flow continues to make strides against its strategic growth priorities and achieving its financial goals with a
Trent
Financial Results for Q1 2025
Flow brand net revenue was
Consolidated net revenue was
Gross margin1 was
Flow reported an EBITDA2 loss of
Flow reported an Adjusted EBITDA2 loss of
| In thousands of Canadian dollars, except percentage amounts | Three months ended January 31 | |
2025 |
2024 |
|
| Net revenue | 11,438 |
8,268 |
| Cost of revenue | 9,012 |
9,525 |
| Gross profit | 2,426 |
(1,258) |
| Operating expenses | 6,911 |
11,840 |
| Finance expense, net | 2,920 |
2,675 |
| Restructuring and other costs | 221 |
97 |
| Net loss for the period | (8,406) |
(15,365) |
| EBITDA2 loss | (4,566) |
(10,896) |
| Adjusted EBITDA2 loss | (2,559) |
(9,715) |
| Adjusted net loss | (6,759) |
(14,277) |
| Gross margin1 |
|
( |
| In thousands of Canadian dollars, except percentage amounts | Three months ended January 31 | ||||
|
2025 |
|
2024 |
|
|
| Consolidated net loss: | $ |
(8,406 |
) |
(15,365 |
) |
| Finance expense, net |
|
2,920 |
|
2,675 |
|
| Amortization and depreciation |
|
920 |
|
1,794 |
|
| EBITDA2 loss |
|
(4,566 |
) |
(10,896 |
) |
| Share-based compensation |
|
1,000 |
|
1,542 |
|
| Restructuring and other costs |
|
221 |
|
97 |
|
| Foreign exchange loss |
|
360 |
|
93 |
|
| Loss (gain) on option revaluation |
|
(11 |
) |
25 |
|
| Loss (gain) on debt modification and other |
|
437 |
|
(576 |
) |
| Adjusted EBITDA2 loss | $ |
(2,559 |
) |
(9,715 |
) |
|
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(1) Gross margin is a supplementary financial measure and is used throughout this MD&A. See “Non-IFRS and Other Financial Measures” for more information on the supplementary of financial measure. See “How We Assess the Performance of Our Business” for an explanation of the composition of such measure. |
|||||
| (2) This is a non-IFRS financial measure and is used throughout this MD&A. See “Non-IFRS and Other Financial Measures” for more information on each non-IFRS financial measure. See “How We Assess the Performance of Our Business” for an explanation of the composition of such measure. | |||||
Conference Call and Webcast Details |
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Date: |
March 18, 2025 |
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Time: |
8:30 a.m. ET |
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Conference ID: |
84315 |
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Dial-in: |
(289) 514-5100 or (800) 717-1738 |
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Webcast: |
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Replay: |
(289) 819-1325 or (888) 660-6264 |
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Passcode: 84315 |
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|
Available until April 18, 2025 |
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About Flow
Flow is one of the fastest-growing premium water companies in
For more information on Flow, please visit Flow’s investor relations site at: investors.flowhydration.com.
Forward-Looking Statements
This press release contains forward-looking information and forward-looking statements within the meaning of applicable securities laws (“Forward-Looking Statements”). The Forward-Looking Statements contained in this press release relate to future events or Flow’s future plans, operations, strategy, performance or financial position and are based on Flow’s current expectations, estimates, projections, beliefs and assumptions, including, among other things, growth of Flow brand both for existing SKUs in Tetra format and through the Company’s launch of sparkling water in aluminum format, the scaling of the Company’s co-pack operation with a full year of running four production lines and installation and commissioning of two additional production from lines beginning in the second half of fiscal FY 2025, a higher capacity utilization and gaining production efficiencies at the Aurora production facility, gross margins reflective of profitable channels for Flow brand net revenue, accretive co-pack contracts and improved production performance and Flow’s ability to implement its growth strategy with continued discipline in operating expenses.
Such Forward-Looking Statements have been made by Flow in light of the information available to it at the time the statements were made and reflect its experience and perception of historical trends. All statements and information other than historical fact may be forward‐looking statements. Such Forward‐Looking Statements are often, but not always, identified by the use of words such as “may”, “would”, “should”, “could”, “expect”, “intend”, “estimate”, “anticipate”, “plan”, “foresee”, “believe”, “continue”, “expect”, “believe”, “anticipate”, “estimate”, “will”, “potential”, “proposed” and other similar words and expressions.
Although Flow believes that the assumptions underlying Forward-Looking Statements are reasonable, they may prove to be incorrect. Forward-Looking Statements are based on certain expectations and assumptions and are subject to known and unknown risks and uncertainties and other factors, many of which are beyond Flow’s control, that could cause actual events, results, performance and achievements to differ materially from those anticipated in these Forward-Looking Statements, those risks including but not being limited to access to working capital, achieving production efficiency targets, delays in obtaining the necessary capacity at the Aurora production facility, and counter-party risk in relation to co-pack partners. Forward-Looking Statements are provided for the purpose of assisting the reader in understanding Flow and its business, operations, prospects, and risks at a point in time in the context of historical and possible future developments, and the reader is therefore cautioned that such information may not be appropriate for other purposes. Forward-Looking Statements should not be read as guarantees of future performance or results. Readers are cautioned not to place undue reliance on these Forward-Looking Statements, which speak only as of the date of this press release. Unless otherwise noted or the context otherwise indicates, the Forward-Looking Statements contained herein are provided as of the date hereof, and the Company disclaims any intention or obligation, except to the extent required by law, to update or revise any Forward-Looking Statements as a result of new information or future events, or for any other reason.
The following press release should be read in conjunction with the management’s discussion and analysis and unaudited condensed consolidated interim financial statements and notes thereto as at and for the three months ended January 31, 2025. Additional information about Flow is available on the Company’s profile on SEDAR+ at www.sedar.com, including the Company’s Annual Information Form for the year ended October 31, 2024 dated January 29, 2025.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250318532090/en/
Trent
1-844-356-9426
investors@flowhydration.com
Investors:
Marc Charbin
investors@flowhydration.com
Media:
Natasha Koifman
nk@nkpr.net
Source: Flow Beverage Corp.
FAQ
What caused Flow Beverage Corp's (FLWBF) revenue growth in Q1 2025?
Why did FLWBF's Flow brand revenue decline in Q1 2025?
How much did Flow Beverage (FLWBF) improve its Adjusted EBITDA in Q1 2025?
What drove FLWBF's gross margin improvement to 21% in Q1 2025?
