Less than three weeks after its highly successful IPO, home beverage carbonation systems manufacturer Sodastream International Ltd. (Nasdaq: SODA) has reported strong third quarter results.
Total revenue for the third quarter of 2010 was €42 million, up 51.7% from the corresponding quarter. Net profit was €2.1 million in the third quarter down 15.5% from €2.5 million in the corresponding quarter.
In the third quarter of 2010, SodaStream sold 449,000 soda makers compared with 285,000 during the corresponding quarter, a 57.4% increase. The company also sold 2.6 million carbon dioxide refills during the third quarter of 2010 up from 2.1 million refills in the corresponding quarter.
SodaSteam CEO Daniel Birnbaum said, "Our financial results in the third quarter demonstrate the growing acceptance of SodaStream products in both existing and new markets. We saw continued growth in Western Europe, CEMEA and in Asia Pacific. And, in a very short period of time, we are seeing positive signs of adoption of our products by consumers and retailers in North America. We are proud that we are presently in more than 4,000 stores including leading retailers throughout the US and 35,000 stores worldwide."
He added, "With respect to product breakdown, sales of soda makers and exchangeable cylinders increased by 87% in the third quarter this year compared with the same quarter in 2009. Consumable sales also grew more than 40%. We view the increased sales of soda makers - the razor - as a significant indication of SodaStream's long-term growth potential and the successful execution of our growth strategy to achieve higher household penetration. Over time, this will lead to increased sales of our higher margin consumable products - soda flavors, carbon dioxide refills and carbonation bottles - the razor blade."
SodaStream's share closed yesterday at $41.60, giving a market cap of $765 million.
Published by Globes, Israel business news - www.globes-online.com - on November 30, 2010
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