CBD Drink Maker New Age Beverages Trades Higher On Q4 Print

Comments
Loading...

New Age Beverages Corp NBEV's shares opened higher Friday after the healthy beverage maker reported its fourth-quarter results.  

The Cannabis Capital Conference is coming back to Toronto! Click here to learn how you can join Tim Seymour, Jon Najarian, Danny Moses, Alan Brochstein and many others.

What Happened

New Age Beverages recorded net revenue of $14 million in the quarter, up by 24 percent on the year, but slightly lower than the expected $14.6 million. The gross profit amounted to $3.22 million, an increase from $2.63 million a year earlier. 

The Denver-based company posted an operating loss of $10.13 million and an adjusted EBITDA loss of $4.48 million, substantially wider than the previous year's operating loss of $4.87 million and adjusted EBIDA loss of $2.26 million.

New Age said the negative EBITDA was due to inventory impacts and the increased costs associated with the acquisition of Morinda in December.

New Age Beverages ended the year with $280 million in assets and $42 million in cash. 

Why It's Important

New Age Beverages has a portfolio of healthy beverages, such as Bucha, Marley and Xing, all of which saw large organic growth last year. 

As a company focused on healthy beverages, New Age took notice of the rising popularity of CBD last year and announced several lines of CBD-infused products, the latest of which will be released under the Bob Marley brand. Last year, it acquired Morinda, which allowed it to expand its reach to more than 60 countries.

What's Next

In 2019, New Age Beverages said it expects to generate more than $320 million in net revenue and EBITDA over $15 million on the back of an expansion in national distribution of its brands in the U.S. and internationally. 

The stock was trading up 4.32 percent to $5.44 at the time of publication Friday. 

Related Links:

New Age Beverages Takes Noni+Collagen Product Global After Strong Sales In Test Markets

Walgreens Joins CVS, Will Start Selling CBD Products In Select Stores

Market News and Data brought to you by Benzinga APIs

Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Cannabis is evolving – don’t get left behind!

Curious about what’s next for the industry and how to leverage California’s unique market?

Join top executives, policymakers, and investors at the Benzinga Cannabis Market Spotlight in Anaheim, CA, at the House of Blues on November 12. Dive deep into the latest strategies, investment trends, and brand insights that are shaping the future of cannabis!

Get your tickets now to secure your spot and avoid last-minute price hikes.