Sow Good reports Q1 EPS 6c vs. (29c) last year

Reports Q1 revenue $11.4M vs. $198,900 last year. “We carried our momentum into the first quarter of 2024 and continued to address strong consumer demand for freeze dried candy,” said Claudia Goldfarb, CEO of Sow Good. “Our first quarter revenue of $11.4 million represents a 20% sequential increase relative to the fourth quarter of 2023 and a significant year-over-year expansion. During the quarter, we made meaningful strides in building both our production capacity and our robust pipeline of retail launches. Having just pivoted to producing freeze dried candy in the first quarter of last year, we are proud of how far we have already come in pioneering this novel product category. “From a production perspective, we continued to build out our internal and external capacity to support our growth. In-house, our fifth freeze drier is now installed and operational, and we remain on track to activate our sixth freeze drier by the third quarter of this year. We have also supported the ongoing ramp of our co-manufacturing partnerships in China and Colombia. With our progress on each of these fronts, we reached a production capacity of 4.5 million units during the first quarter, surpassing our initial projection of 4.25 million units. As we steadily grow our capacity over the coming quarters, we remain confident in reaching a total capacity of up to 30 million units for the full year, and we are seeking further opportunities to expand our capacity. Most recently, we have placed deposits on three additional freeze driers that are expected to become operational in the next nine months. “To focus on expanding our production resources, we strategically paused new customer onboarding in the third quarter of 2023. Given our production capacity has grown as projected, we resumed our new customer launches and have significantly increased our store and SKU count with current partners. Reflecting our consistent outperformance across our retail base, we anticipate adding five new SKUs and Sow Good displays at 300 Big Lots stores and increasing our Target footprint to nearly 2,000 stores this summer. Our anticipated forthcoming summer retail launches include Kroger, Dollar General, 7-Eleven, The Fresh Market, and Ross, and we continue to make progress on building our pipeline and our current store and SKU counts.”