Reed’s Reports Q1 2025 Sales Growth Amid Losses

Reed’s ( (REED) ) has provided an update.

Reed’s, Inc. reported a 4.5% increase in net sales to $10.0 million for the first quarter of 2025, driven by higher volumes with national customers. Despite the sales growth, the company experienced a flat gross profit and an increased operating loss of $1.7 million due to higher costs and investments in growth initiatives. CEO Cyril Wallace highlighted operational improvements, such as reduced short shipments and increased production capacity, which are expected to drive future growth and profitability. The company is focusing on expanding its distribution and launching new functional beverages to enhance its market position.

The most recent analyst rating on (REED) stock is a Buy with a $3.00 price target. To see the full list of analyst forecasts on Reed’s stock, see the REED Stock Forecast page.

Spark’s Take on REED Stock

According to Spark, TipRanks’ AI Analyst, REED is a Neutral.

Reed’s overall stock score reflects significant financial challenges, including declining revenues, negative earnings, and high leverage risks. While positive technical indicators and strategic initiatives are underway, the negative P/E ratio and governance concerns weigh heavily on the stock’s prospects.

To see Spark’s full report on REED stock, click here.

More about Reed’s

Reed’s, Inc. is a leader in the craft beverage industry, known for its natural ginger-based drinks under the Reed’s, Virgil’s, and Flying Cauldron brand names. The company offers a variety of beverages, including ginger beers, ginger ales, and craft sodas, with a focus on natural ingredients and expanding into zero-sugar options. Reed’s products are available in over 45,000 stores nationwide.

Average Trading Volume: 6,789

Technical Sentiment Signal: Buy

Current Market Cap: $78.49M

Learn more about REED stock on TipRanks’ Stock Analysis page.