Third Quarter 2022 Highlights:
- Q3 2022 Sales grew 16% to $8.17 million compared to $7.07 million in Q3 2021.
- Production volume for Q3 grew 76% to 43.73 million cans compared to 24.86 million cans in Q3 2021.
- Filling division completed upgrades to the Las Vegas Facility production line, this upgrade and the planning for a future upgrade at the Longmont Facility constrained production.
- Printing division expanded offering by adding matte & spot-matte capabilities.
- Decorating division achieved greater than 95% production yields.
- Brokerage services signed supply contract with Ball Corporation, decreasing cost and ensuring domestic can supply.
- EHPlabs contract to provide decorating, filling and brokerage services beginning in Q4 and throughout 2023. The largest full-service customer to-date.
- Wildpack announced a its largest Printed Can customer, which commenced in August 2022. The agreement spans the remainder of 2022 and 2023 with an option to extend.
- Average plant utilization of 18%.
- 2.4x increase in monthly confirmed customer orders July to September 2022.
First Nine Months of 2022 Highlights:
- Sales revenue for the nine months of 2022 grew 18% to $25.61 million, from $21.64 million in the first nine months of 2021.
- Production volume grew 136% to 139.37 million cans, from 59.04 million cans in the first nine months of 2021.
Highlights in the Period following the Third Quarter:
- Average plant utilization of 28% in the first 3-weeks of November 2022.
- 3.4x increase in monthly confirmed customer orders July 2022 to today.
VANCOUVER, BC / ACCESSWIRE / November 29, 2022 / Wildpack Beverage Inc. (TSXV:CANS)(OTCQB:WLDPF) ("Wildpack" or the "Company") a U.S. national beverage co-packer and packaging supplier focused on the aluminum can format, announces unaudited financial results for the third quarter ("Q3") ending September 30, 2022. All currencies referenced herein are US Dollars, unless otherwise indicated.
"We launched Wildpack with an aggressive expansion strategy knowing that scale would bring significant competitive advantages and would enhance our value proposition with our customers," commented Mitch Barnard, Chief Executive Officer. "In the face of unprecedented supply chain shock, the uncertainty of a pandemic, inflation and now a potential recession, I am pleased that we have been able to combine product offering, domestic can supply, a national footprint and an incredibly resilient team that has seen new customer acquisitions rise for 3 consecutive months."
Third Quarter and First Nine Months 2022 Financial Summary
| Three months ended | Nine months ended | |||||||||||||||
| September 30, | September 30, | September 30, | September 30, | |||||||||||||
| 2022 | 2021 | 2022 | 2021 | |||||||||||||
Total sales | $ | 8,171 | $ | 7,069 | $ | 25,611 | $ | 21,638 | ||||||||
Total costs and expenses | $ | 14,906 | $ | 8,877 | $ | 41,442 | $ | 26,507 | ||||||||
Net loss before income taxes | $ | -6,735 | $ | -1,808 | $ | -15,831 | $ | -4,869 | ||||||||
Deferred income tax recovery | - | $ | -316 | - | $ | -449 | ||||||||||
Net Loss | $ | -6,735 | $ | -1,492 | $ | -15,831 | $ | -4,420 | ||||||||
Non-Brokered Private Placement Closed
Wildpack has completed its non-brokered private placement (the "Private Placement") of 8,097,166 common shares in the capital of the Company (the "Shares") to Mr. Izhar Basha, the Chief Executive Officer of EHPlabs LLC, at an issue price of C$0.17 per share for gross proceeds of $1 million as previously announced in the Company's news release dated October 31, 2022.
The proceeds of the Private Placement are intended to be used for working capital in connection with the increased utilization resulting from a long-term packaging supply and manufacturing agreement entered into by the Company and EHPlabs LLC as previously announced in the Company's press release dated October 31, 2022. All Shares issued pursuant to the Private Placement are subject to a four month hold period under applicable Canadian securities laws and the policies of the TSXV. As previously announced, Mr. Basha will be joining the Board of Wildpack subject to certain corporate and TSXV approvals.
Earnings Webcast Event
Wildpack will host a webcast to discuss financial results for the third quarter ended September 30, 2022, today, with CEO, Mitch Barnard, CFO, Ryan Mason, and CGO, Thomas Walker. You can register for the webinar below.
Presentation Details:
Date: November 29, 2022
Time: 5pm EDT (2pm PST)
Registration: Online Registration
HAVE QUESTIONS? Management will be available to answer your questions following the presentation on the webinar platform. You may submit your question(s) beforehand in the registration form or by email: [email protected].
Per: "Mitch Barnard"
Mitch Barnard
Chief Executive Officer and Director
For further information, please contact us at:
[email protected]
or
Elijah Clare
Vice President, Investor Relations
[email protected]
Advisors
Fasken Martineau DuMoulin LLP is the legal advisor to Wildpack Beverage Inc.
Visit our investor website at:
https://investor.wildpackbev.com
About Wildpack
Wildpack is engaged in beverage manufacturing and packaging operating in the middle market by providing sustainable aluminum can filling, decorating, packaging, brokering, sleeve/label printing services, and logistics to brands throughout the United States. Wildpack currently operates indirectly through its wholly owned subsidiaries and out of six facilities in Baltimore, Maryland; Grand Rapids, Michigan; Atlanta, Georgia; Longmont, Colorado; Sacramento, California; and Las Vegas, Nevada with a focus on digital innovation and green ready-to-drink packaging. Wildpack commenced trading on the TSX Venture Exchange under the symbol "CANS" on May 19, 2021, and on the OTCQB® Venture Market under the symbol "WLDPF" on February 23, 2022.
Cautionary Statement on Forward-Looking Information
This news release may contain "forward-looking statements" within the meaning of applicable Canadian securities laws, including, but not limited to, statements with respect to Wildpack's plans, the proposed use of proceeds of the Private Placement, the anticipated increased utilization,, anticipated revenue from manufacturing and supply agreements, board appointment, plans to build additional facilities, financial performance and operating performance, anticipated growth in co-packing business, the estimation of revenue, the timing and targets of M&A activity, costs, future capital expenditures, and the success of scaling up production. Forward-looking statements are based upon a number of estimates and assumptions that, while considered reasonable by management, are inherently subject to significant business, economic and competitive risks including but not limited to: risks related to the successful integration of acquisitions; risks related to operations; risks related to general economic conditions and credit availability, ability to obtain sufficient and suitable financing, actual results of current production and decorating, fluctuations in prices of aluminum; failure of plant, equipment or processes to operate as anticipated; accidents, labour disputes, title disputes, claims and limitations on insurance coverage and other risks of the co-packaging industry; delays in the completion of capex activities, changes in national and local government regulation of manufacturing operations and labour laws particularly in light of the COVID pandemic, tax rules and regulations, and political and economic developments where Wildpack operates. These statements generally can be identified by the use of forward-looking words such as "may", "should", "will", "could", "intend", "estimate", "plan", "anticipate", "expect", "believe", or "continue", or the negative thereof or similar variations. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause future results, performance, or achievements to be materially different from the estimated future results, performance or achievements expressed or implied by those forward-looking statements and the forward-looking statements are not guarantees of future performance. Forward-looking statements expressed or implied by Wildpack are subject to a number of risks, uncertainties, and conditions, many of which are outside of Wildpack's control, and undue reliance should not be placed on such statements. Although Wildpack has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. Forward-looking statements are qualified in their entirety by the inherent risks and uncertainties related to Wildpack's business, including that Wildpack's assumptions in making forward-looking statements may prove to be incorrect; delays in filing of financial information; adverse market conditions; risks inherent in the beverage manufacturing and packaging sector in general; the increased utilization anticipated from using the proceeds of the Private Placement; that future results may vary from historical results; and competition in the markets where Wildpack operates. Except as required by securities law, Wildpack does not assume any obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Wildpack Beverage Inc.