Welcome to our dedicated page for Westrock Coffee Company news (Ticker: WEST), a resource for investors and traders seeking the latest updates and insights on Westrock Coffee Company stock.
Westrock Coffee Company (NASDAQ: WEST) is a leading integrated provider of coffee, tea, flavors, extracts, and ingredients solutions in the United States. Headquartered in Little Rock, Arkansas, Westrock Coffee is dedicated to creating sustainable economic opportunities for communities deeply mired in poverty through competitive trade. The company prides itself on its end goal of sustainability and not just having it as a separate program.
Westrock Coffee operates through two main segments: Beverage Solutions and Sustainable Sourcing and Traceability. The Beverage Solutions segment is the primary revenue generator, offering comprehensive services such as coffee sourcing, supply chain management, product development, roasting, packaging, and distribution. Their products cater to retail, foodservice, restaurant, convenience store, non-commercial accounts, consumer packaged goods (CPG), and hospitality industries worldwide.
One of the company's recent achievements includes the closing of a $118.8 million equity raise, which aims to fully fund the expanded capabilities of their Conway, Arkansas-based extract and ready-to-drink (RTD) facility. They currently have customer commitments for 100% of the capacity available in their high-speed can and glass bottle lines and are working towards expanding this capacity further. Their team of quality experts, graders, and coffee cuppers work closely with roasters to create unique roast calculations for each coffee varietal, ensuring consistency and quality in every cup.
The company is also expanding its facility to enhance its extract and concentration capabilities and to include cold-chain capacity for multi-serve bottles. In addition, Westrock Coffee has entered into a non-binding letter of intent with Select Milk Producers to establish a joint venture aimed at building and operating an extended shelf life and aseptic, multi-serve bottle facility in Littlefield, Texas.
Financially, Westrock Coffee has recently issued $72 million aggregate principal amount of convertible senior unsecured notes due 2029 to fund their ongoing projects, including the joint venture and Conway facility expansion. The company has also amended its existing credit agreement to increase its leverage financial covenant compliance levels and decrease its minimum interest coverage ratio compliance level through the first quarter of 2026.
For the fiscal year 2023, Westrock Coffee expects its Adjusted EBITDA to fall near the low end of its guidance range of $45 million to $50 million. For 2024, the company projects consolidated Adjusted EBITDA to be between $60 million and $80 million, reflecting the commencement of operations at the Conway, Arkansas facility and the commercialization of customers at that location.
Through partnerships with global retailers including Kroger, Harps, Bi-Lo, Winn-Dixie, Food Lion, and Hannaford, as well as online sales, Westrock Coffee ensures that its high-quality products are accessible to a wide range of consumers. The company's commitment to sustainability, quality, and economic empowerment makes it a significant player in the global coffee industry.
Westrock Coffee Company (NASDAQ: WEST) announced the closing of a $50 million amendment to its existing $350 million credit agreement, establishing a senior secured delayed draw term loan credit facility. This facility features competitive interest rates and commitment fees aligned with the existing credit terms. The term loans will mature on August 29, 2027, enhancing the company's financial flexibility to expand production capabilities at its facility in Conway, Arkansas. CFO Chris Pledger expressed gratitude for lender support, emphasizing the company's growth strategy.
Westrock Coffee Company (NASDAQ: WEST) announced a partnership with Tempus Realty Partners to construct a 530,000-square-foot distribution center in Arkansas. The facility will be fully utilized by Westrock Coffee after its completion, expected by the end of 2023. This modern center will support the company's expanding operations, including product packaging from its nearby manufacturing facility. Key features include 36-foot clear heights and 72 dock doors. Company officials expressed enthusiasm about the center's potential to enhance service efficiency and meet growing product demand while reinforcing Westrock Coffee's commitment to the Central Arkansas community.
Westrock Coffee Company (NASDAQ: WEST) announced its participation in the 25th Annual ICR Conference, scheduled from January 9-11, 2023 in Orlando, Florida. CEO Scott Ford and CFO Chris Pledger will present on January 9 at 1:00 p.m. ET, with a live webcast available on the Company’s Investor Relations website. Westrock Coffee is a leading provider of integrated coffee and tea solutions, servicing various industries globally. The company operates in 10 countries and sources from 35 origins. Archived webcasts will be accessible post-event.
Westrock Coffee reported a 27% increase in net sales for Q3 2022, totaling $230.3 million, driven by a rise in single-serve cup volumes. However, the company faced a net loss of $13.0 million, up from $3.9 million in Q3 2021, largely due to acquisition and restructuring costs. Adjusted EBITDA grew by 33% to $17.9 million, reflecting improved expense management. The company is accelerating Phase II expansion of its Conway, AR facility and acquired Kohana Coffee to enhance its RTD capabilities. Guidance for 2022 net sales is now set between $850 million and $890 million.
Westrock Coffee Company (NASDAQ: WEST) has held a groundbreaking ceremony for a new roasting to ready-to-drink facility in Conway, Arkansas, set to be the largest of its kind. The 524,000 square foot facility will enhance the company’s ability to provide innovative beverage solutions and will feature a product development lab. The project is expected to create new job opportunities and will strengthen Westrock's position as a leading provider of coffee, tea, and RTD products in the U.S. as it serves over 20 million cups daily.
Westrock Coffee Company announced the appointment of Nicolas Lorenz as Executive Vice President of Manufacturing and Cedric Smith as Plant Manager at its Conway, Arkansas facility. With over 25 years of experience, Lorenz will oversee product manufacturing while Smith will manage the new facility's operations for various packaging solutions. Both leaders are expected to enhance the company's manufacturing capabilities to meet growing customer demand, supporting Westrock's commitment to provide ethical beverage solutions.
Westrock Coffee Company (NASDAQ: WEST) will release its Q3 2022 financial results on November 14, 2022, following market closure. A live earnings conference call is scheduled for 4:15 p.m. EST the same day. Interested participants can register for the call through a provided link, and an audio webcast will be available on the Company’s Investor Relations website. Westrock Coffee is a leading provider of integrated coffee, tea, and flavors solutions, sourcing products from 35 countries and operating in 10 countries worldwide.
Westrock Coffee Company (NASDAQ: WEST) announced its participation in the FHA-HoReCa World Expo, taking place in Singapore from October 25-28. The Company will showcase innovative beverage solutions such as Black Tea Refreshers, Coffee Energy Drinks, and Nitro-Based Beverages. With a recently expanded facility in Johor Bahru, Malaysia, Westrock Coffee aims to enhance its service capacity across the APAC and MENA regions. Notably, the Company serves 13 of the top 25 quick service restaurants and provides over 20 million cups of coffee daily.
Westrock Coffee Company (Nasdaq: WEST) will showcase its end-to-end beverage solutions at the National Association of Convenience Stores (NACS) show from October 2-4 in Las Vegas, NV. The Company aims to strengthen partnerships with convenience stores and travel centers by presenting new insights-driven products designed to enhance consumer engagement and operational efficiency. Westrock is the largest private label coffee and tea provider to U.S. convenience stores, supplying over 20 million cups daily. The Company also commits to sourcing 100% of its coffee and tea responsibly by 2025.
Westrock Coffee Company (NASDAQ: WEST) announced participation in two investor conferences. The Benchmark Consumer Conference in New York on September 7, 2022, where CEO Scott Ford and CFO Chris Pledger will meet investors. The Wells Fargo Consumer Conference in Dana Point, CA, will take place on September 21-22, 2022, also featuring one-on-one meetings with management. Westrock Coffee specializes in integrated coffee, tea, flavors, extracts, and ingredient solutions, serving diverse industries globally.
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