Fri, Aug 30, 9:02 PM (137 days ago)
Yerbaé Brands Corp. reported a challenging second quarter for 2024, with revenues declining 57% year-over-year to $1.6 million, primarily due to the non-renewal of its agreement with Sam's Club and ongoing difficulties in the U.S. consumer packaged goods market. The company's gross profit also fell to $660,035, down from $1.8 million, as cost of sales decreased by 50% to $902,209, reflecting lower sales volume. Net loss for Q2 2024 was $2.8 million, slightly improved from a $3.6 million loss in Q2 2023. General and administrative expenses were reduced by 24% to $2.8 million, driven by lower share-based compensation and operational costs. Cash flow from operations was negative at $3.3 million, contributing to a working capital deficit of $3.8 million as of June 30, 2024. The company had an accumulated deficit of $40 million and minimal cash reserves of $72,884. Looking ahead, Yerbaé is focusing on strengthening its retail partnerships and optimizing its product offerings while facing uncertainty regarding its ability to continue as a going concern without additional financing.