HAMILTON BEACH BRANDS, INC. AND NUMILK ENTER INTO EXCLUSIVE MULTIYEAR AGREEMENT

Rhea-AI Summary

Hamilton Beach Brands Holding Company (NYSE: HBB) announced an exclusive multiyear agreement with Numilk to manufacture and sell appliances for non-dairy milk production. The collaboration will focus on creating next-generation appliances expected to launch in early 2024. The market for plant-based milks is rapidly growing, with global sales around $20 billion and U.S. sales anticipated to rise by 10% annually. Scott Tidey, senior vice president of global sales at Hamilton Beach, expressed excitement about the partnership, which aims to deliver high-quality, fresh non-dairy milk solutions while reducing environmental impact.

Positive

• Exclusive multiyear agreement with Numilk for appliance production.
• Emerging market for non-dairy milks with global sales of $20 billion.
• U.S. sales of non-dairy products expected to grow 10% annually.

Negative

• None.

GLEN ALLEN, Va., March 9, 2023 /PRNewswire/ -- Hamilton Beach Brands Holding Company (NYSE: HBB) announced today that its wholly-owned subsidiary Hamilton Beach Brands, Inc., a leader in small kitchen appliances, has entered into an exclusive multiyear agreement with Numilk, to manufacture and sell commercial and consumer appliances for use with Numilk ingredient pouches. The companies are in the product design and engineering phase of a next-generation line of appliances that are expected to launch in early 2024.

"Non-dairy, or plant-based, milks have become increasingly popular, and the sale of such products is fast growing," said Scott Tidey, senior vice president, global sales, Hamilton Beach Brands. "Globally, sales are approximately $20 billion. We expect U.S. sales to grow approximately 10% annually. We are very excited to collaborate with Numilk to provide the next generation of specialty appliances that consumers and commercial customers can use to make great tasting non-dairy milks on demand."  

"Hamilton Beach Brands has an outstanding reputation for creating high-quality, durable, and innovative small appliances," said Ari Tolwin, chief executive officer, Numilk."Their design capabilities, manufacturing relationships, selling and distribution expertise across all retail and commercial channels will enable us to rapidly scale."

"Numilk pouches produce great tasting non-dairy milks, free of gums, fillers and preservatives," adds Joe Savino, co-founder, Numilk. "Our collaboration with Hamilton Beach Brands will enable us to expand our global mission of providing fresh non-dairy milks, with a reduced carbon footprint."  

The Numilk system combines raw ingredient pouches with water to create fresh, non-dairy milks, lattes and shakes, at the push of a button. By not shipping the added water content, Numilk benefits the environment by reducing the packaging and shipping waste and emissions associated with traditional prepackaged beverages. For more information about Numilk, please visit numilk.com. 

About Hamilton Beach Brands Holding Company
Hamilton Beach Brands Holding Company operates through its wholly owned subsidiary Hamilton Beach Brands, Inc., a leading designer, marketer, and distributor of a wide range of branded small electric household and specialty housewares appliances, as well as commercial products for restaurants, fast food chains, bars, and hotels. The Company's owned consumer brands include Hamilton Beach^®, Proctor Silex^®, Hamilton Beach Professional^®, Weston^®, TrueAir^®, Brightline^® and Hamilton Beach Health^®. The Company's owned commercial brands include Hamilton Beach Commercial^® and Proctor Silex Commercial^®. Hamilton Beach Brands licenses the brands for Wolf Gourmet^® countertop appliances, CHI^® premium garment care products, Clorox^® air purifiers, and Brita^® countertop water appliances. Through exclusive multiyear agreements, Hamilton Beach Brands designs, sells, markets and distributes the Bartesian® premium cocktail delivery system and the Smart Sharps Bin^® from Hamilton Beach Health^® powered by HealthBeacon^®. For more information about Hamilton Beach Brands Holding Company, visit hamiltonbeachbrands.com.

Forward-Looking Statements
The statements contained in this news release that are not historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are made subject to certain risks and uncertainties, which could cause actual results to differ materially from those presented.  Such risks and uncertainties include those described in the Company's filings with the Securities and Exchange Commission, including the Annual Report on Form 10-K for the year ended December 31, 2021. Furthermore, the future impact of unfavorable economic conditions, including inflation, rising interest rates, availability of capital markets, consumer spending rates, negative impacts resulting from the COVID-19 pandemic and its downstream impacts and the ongoing conflict in Ukraine remain uncertain.  In uncertain economic environments, the Company cannot predict whether or when such circumstances may improve or worsen, or what impact, if any, such circumstances could have on its business, results of operations, cash flows and financial position. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof.  The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

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SOURCE Hamilton Beach Brands Holding Company

FAQ

What is the new agreement involving Hamilton Beach Brands (HBB) and Numilk?

Hamilton Beach Brands (HBB) has entered an exclusive multiyear agreement with Numilk to manufacture and sell appliances for non-dairy milk production.

When will the new appliances from Hamilton Beach and Numilk launch?

The new line of appliances is expected to launch in early 2024.

What is the current market size for non-dairy milks?

The global market for non-dairy milks is approximately $20 billion.

How much are U.S. sales of non-dairy products expected to grow?

U.S. sales of non-dairy products are anticipated to grow by about 10% annually.

What is the significance of the partnership between HBB and Numilk?

The partnership aims to provide high-quality appliances for making fresh non-dairy milk while promoting environmental sustainability.