First quarter revenue at SodaStream was down more than 20%, but the company reported an increase in net income for the period ended March 31.
Total revenue was $91.3 million, down 23% from the comparable quarter in 2014. Sales in the Americas were $22.8 million, down 34%. Adjusted net income for the quarter was $8.4 million, up from net income of $1.8 million for the comparable quarter of 2014.
By product type, company-wide sales of soda maker starter kits were down 15% while consumables were down 24%.
“The implementation of the restructuring and growth plan we announced in October 2014 is progressing as planned,” said Daniel Birnbaum, SodaStream CEO. “The first quarter marked the start of a transitional period as we embarked on our global brand and product repositioning around health and wellness.”
He noted the company has made “good progress” in preparing the launch of SodaStream’s new portfolio of sparkling water flavors, most recently announcing a new line of flavors from Bethenny Frankel’s Skinnygirl line.
In addition, Birnbaum said the company is accelerating the consolidation of its production activities into a new state-of-the-art plant in Lehavim, Israel.
“Last week we completed the transfer of our last assembly lines from Mishor Adumim (manufacturing facility) to Lehavim and we no longer produce sparkling water makers in Mishor Adumin,” he said. “We will complete the transition of equipment and exit Mishor Adumim entirely during the third quarter, ahead of schedule.”