Simply Better's Q2 Gross Profit Increases 83% YoY, Revenue Down 17% As CBD Segment Dips

Simply Better Brands Corp. SBBC SBBCF announced on Monday its interim financial results for the second quarter ended June 30, 2024.

Revenue totaled $7 million for the period, down from $8.4 million in the second quarter of fiscal 2023. The company attributed a 17% year-over-year decline to a decrease in revenue in the CBD segment.

“I am very pleased with the Company’s progress over this past quarter, during which we achieved significant milestones in expanding our distribution footprint, enhancing our financial position, and strengthening our leadership team and board," said Kingsley Ward, CEO and chairman of SBBC. "We have completed our restructuring efforts after divesting non-core assets, ensuring we are laser-focused on our key growth areas. We are proud of our accomplishments this quarter and remain committed to delivering value to our shareholders.”

Read Also: Simply Better Brands Lives Up To Its Name With Big Q3 Dive Into Growth Drivers

Q2 2024 Financial Results

• Gross profit amounted to $3.3 million (or 47% gross margin percentage) compared to gross profit of $1.8 million for the three months ended June 30, 2023.
• Operating costs totaled $4.1 million, representing an increase of $0.8 million (or 24%), compared to $3.3 million for the three months ended June 30, 2023.
• Adjusted EBITDA came in positive at $0.3 million from continuing operations, representing a $0.7 million improvement over the positive adjusted EBITDA achieved in the comparable period in 2023.
• The net loss from continuing operations was $7.1 million compared to a net loss of $2.7 million for the three months that ended on June 30, 2023.

Leadership And Executive Changes

During the second quarter, Better announced the additions of Erica Groussman, Brock Bundy and St. John Walshe to its board of directors.

On July 11, the company announced J.R. Kingsley Ward has become SBBC’s permanent CEO in addition to his role as chairman of the SBBC board of directors after successfully leading the company through a period of transition and growth since February 2024 as interim CEO.

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