SodaStream International Ltd. today announced preliminary, unaudited results for the fiscal year ended December 31, 2013 that company CEO Daniel Birnbaum termed, “disappointing.”
On a preliminary basis, the Company said it expects revenue to be approximately $562.0 million for its fiscal year with adjusted net income approximately $52.5 million and net income of approximately $41.5 million.
“Despite achieving all-time record sales, we failed to deliver our profit targets and are disappointed in our fourth quarter performance,” said Birnbaum. “These preliminary results reflect a challenging holiday selling season in the U.S. and several factors, mostly from the second half of the quarter that negatively impacted our gross margin. These include lower sell-in prices and higher product costs, a shift in product mix versus plan, and unfavorable changes in foreign currency exchange rates. While we expect some of these headwinds to continue into the first half of 2014, we are moving quickly to implement the necessary measures to restore margins to historical levels in the coming year. We remain confident that despite this setback, we will continue to profitably expand our share of the global carbonated beverage category and are on the right path to meet our long-term goals.”
As the Company has not completed its year-end fiscal close and the audit of its 2013 financial statements is not complete, the revenue, adjusted net income and net income expectations presented are estimated and preliminary, and therefore, subject to year-end closing adjustments and may change, the company said in a statement releasing its preliminary results.