Third-quarter profit for SodaStream International has sank to 76% and revenue has fallen below analysts’ expectations, as the company continues to work through a restructuring. SodaStream, which popularised the notion of make-it-at-home soda, is recasting itself as a sparkling water dispenser after hiring a two-star Michelin chef to concoct flavors like “raspberry lychee rose” amid rising competition.
CEO Daniel Birnbaum (pictured) said results were similar to 2104 on a constant-currency basis and that the company’s growth plan is gaining traction.
“Third-quarter CO2 refills increased 10% to an all-time record 7 million, a great indication that our global user base is increasing consumption,” he said. “We believe usage rates will continue to grow as existing and new consumers embrace our repositioning as a healthy water brand,” he said
SodaStream reported a profit of US$2.2 million, down from US$9.5 million a year earlier. Revenue dropped 12% to US$110 million.
Analysts polled by Thomson Reuters had forecast adjusted earnings of 21 cents on US$112 million in revenue.
Restructuring costs in the latest period were US$2 million. The company didn’t report any restructuring costs in the year-earlier period.