Montreal / CA. (gfc) Goodfood Market Corporation, a leading Canadian online meal solutions company, announced financial results for the first quarter of Fiscal 2023, ended December 03, 2022. «We are encouraged to begin our new Fiscal year with a strong gross margin, highlighting the diligent operational execution of Project Blue Ocean. Our gross margin surpassed the 35 percent mark for the first time in Goodfood’s history with lower net sales of USD 47 million being driven by our focus on attracting and retaining higher value customers that require lower incentives, leading to better profitability metrics. Combined with continued discipline in our selling, general and administrative costs, our Adjusted Ebitda1 loss came in at USD 2 million this quarter compared to a loss of USD 15 million in the same quarter last year. In addition, our cash used in operating activities came in at USD 4 million compared to USD 17 million in the same quarter as last year, when adjusted for reorganization and related costs, a significant improvement over last year, charting our path forward towards profitable growth and positive cash flows,» said Chief Executive Officer Jonathan Ferrari.
«As we now enter the second quarter with what we intend to be the final steps of Project Blue Ocean underway, we expect to have the operating and SG+A cost structure in place to expect achieving positive Adjusted Ebitda in the second quarter of 2023, which will serve as the foundation for long-term profitable growth and positive cash flows,» added Ferrari. «Looking further out into the year, as our target cost structure is realized, we will shift our focus towards growth, beginning with taking our customer experiences to the next level and by extension enhance our customer lifetime values. With initiatives such as a new VIP customer program, restaurant collaborations, and the launch of an exciting new marketing campaign in the coming month with an important Canadian athlete, we believe we are well underway towards implementing the building blocks that will drive long-term, consistent profitable growth,» concluded Ferrari. For additional information please read the company’s PDF file below (190 KB):20230119-GOODFOOD-Q1-2023