Reed’s Reports Third Quarter 2026 Results
Key Highlights
- ➤Gross profit $1.6 million, up 34% year over year; gross margin expanded to 25%
- ➤Net loss improved to $3.2 million from $4.0 million year over year
- ➤Net sales fell to $6.5 million from $7.0 million amid lower national-customer volumes
- ➤Reed’s refinanced its $9.25 million senior secured loan through June 30, 2027
- ➤Reed’s closed a $10.0 million private placement after quarter end
Expert Statements
Neal Cohane, Interim CEO of Reed’s
“The third quarter marked another step forward in our operating performance, with continued progress on gross margin and cost discipline. During the quarter, we focused on expanding retail coverage through our national broker network, adding new placements and doors, restructuring e-commerce fulfillment to reduce costs, improving trade spend efficiency, and rebalancing our cost structure.”
Neal Cohane, Interim CEO of Reed’s
“We continue to make quarter-over-quarter progress. In the third quarter, gross margin expanded 100 basis points sequentially to 25%, selling, general and administrative expenses decreased 24% sequentially, and net loss decreased 26% sequentially. We also strengthened our balance sheet by refinancing our senior secured loan and, subsequent to quarter end, closing a $10.0 million private placement. Looking ahead, we expect to deliver sequential operating improvements as we continue to focus on strengthening sales execution, expanding gross margins, and maintaining cost discipline.”
NORWALK, Conn., Nov. 10, 2026 (GLOBE NEWSWIRE) -- Reed’s, Inc. (NYSE American: REED) (“Reed’s” or the “Company”), owner of the nation’s leading portfolio of handcrafted, natural ginger beverages, today announced financial results for the three and nine months ended September 30, 2026.
Q3 2026 Financial Highlights (vs. Q3 2025): * Net sales were $6.5 million compared to $7.0 million in the prior year period. * Gross profit increased to $1.6 million compared to $1.2 million in the prior year period and gross margin increased to 25% compared to 17% in the prior year period. * Delivery and handling expenses were $2.69 per case compared to $2.60 per case in the prior year period. * Selling, general and administrative expenses decreased 15% to $3.6 million compared to $4.2 million in the prior year period. * Net loss improved to $3.2 million compared to $4.0 million in the prior year period. * EBITDA(1) loss improved to $2.9 million compared to $3.6 million in the prior year period. Neal Cohane, Reed's interim CEO, stated, “The third quarter marked another step forward in our operating performance, with continued progress on gross margin and cost discipline. During the quarter, we focused on expanding retail coverage through our national broker network, adding new placements and doors, restructuring e-commerce fulfillment to reduce costs, improving trade spend efficiency, and rebalancing our cost structure.”
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