Westrock Coffee has recently published its report of financial results for the first quarter of 2022. It has consolidated net sales of $186.4 million, an increase of 20% compared to last year, or $31.1 million in equivalent. Additionally, it reported a net loss of $4.7 million compared to a net loss of $6.1 million in the prior year, which marks a decrease of 23%.
The first quarter of 2022 proved to be a success for the company. Westrock Coffee’s Beverage Solutions business segment saw net sales of $148.4 million and Adjusted EBITDA (Earnings before interest, tax, depreciation and amortization) of $10.4 million, up from $127.3 million and $8.1 million in the first quarter of 2021. This reflects a 17 per cent increase in sales and a 28 per cent increase in Adjusted EBITDA year over year.
Various factors contributed to the increase in the first quarter results such as “favorable customer and product mix, favorable purchase price variances, and improved operational efficiencies.”
The company has announced an intention to go public on NASDAQ in April 2022, although the company may be considering the timing considering the NASDAQ is down around 30% from its peak at the time this article was published.
We are pleased with the strong start to the year, particularly given the numerous factors currently impacting the U.S. consumer, increased inflation, and the volume impacts of Covid restarts. Our team once again did an exceptional job of delivering on time and in full for our customers, and that continues to open new opportunities for growth across the numerous industry groups and product types that we serve.”Scott T. Ford, Co-Founder and CEO of Westrock Coffee.
Recently, Bartalks reported that Westrock Coffee joined a special-purpose acquisition company, Riverview Acquisition Corp. The company announced that in response to high demand from prospective lenders, it had increased the size of the credit facility it would enter with Riverview Acquisition Corp. from the previously announced transaction of $300 million to $350 million at present.
Another milestone of Westrock Coffee is its newly opened plant in Johor Bahru, Malaysia, which started production in April. The company is on track to ship its first product to the Asia Pacific region in June 2022.
Westrock Coffee is an integrated coffee, tea, flavours, extracts, and ingredients solutions provider based in Little Rock, Arkansas, and serves market leaders across the industries of retail, food service, travel, hospitality and others.