Jones Soda Co · CSE:JSDA
Jones Soda — Shareholder Meeting (May 2017)
31 slides from Jones Soda's shareholder meeting presentation, May 10, 2017
Slide 1: 2017 Annual Shareholders Meeting
2017 Annual Shareholders Meeting May 10, 2017 1
Slide 2: Safe Harbor Language
Certain statements in this presentation are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements that address future operating performance, the economy, events or developments that management expects or anticipates will or may
Slide 3: Agenda
•Mission Statement •Initiatives •Jones Soda •Lemoncocco •Innovation •2016 & Q1 2017 Results 3
Slide 4: Mission Statement
a. % JONES PES. Oe ee BS a SODA CO: Mission Statement
Slide 5: Jones Soda Co: Who We Are
Image result for jones soda bottle capsIndependent Rebellious Fun Execution Nimble Creative Artistic Innovative National Brand Premium Authentic Jones Soda Co: Who We Are Entrepreneurial Ambitious Persistent Disciplined Passionate Committed 5
Slide 6: Mission Statement
Mission Statement “We create innovative products that celebrate the individuality of our consumers and ourselves in a responsible and profitable way” FountainAndCupClose.jpg6
Slide 7: Jones Soda Co. and Industry Characteristics and Opportunities
Jones Soda Co. and Industry Characteristics and Opportunities Industry Characteristics: •CSD industry experiencing volume declines •A few large players dominate the industry •Soda Tax is spreading across United States •Focus on health and wellness Opportunities: •Consumer movement towards premium pr
Slide 8: Initiatives
Initiatives •Jones Soda •Ready to Drink •Fountain •Partnerships •Lemoncocco •Innovation 8
Slide 9: Jones Soda
a. % JONES PES. Oe ee BS a SODA CO: Jones Soda
Slide 10: Ready to Drink
Ready to Drink •Consumers looking for premium products •Specialty soda category •Jones is an alternative to mainstream brands •Opportunity in single serve classic flavors: •Cane Sugar Cola •Sugar Free Cola •Orange & Cream •Root Beer •Cream Soda •Grape •Sugar Free Black Cherry10
Slide 11: Ready to Drink: Product strategy trajectory
Ready to Drink •Product strategy trajectory •Strategy is mirroring changing consumer tastes •Calorie reduction strategy •200 to 150 currently, 100 is the goal! •Sugar content reduction strategy •Specialty sodas •A treat and an experience 11
Slide 12: Fountain
Fountain •Restaurants are looking for unique, premium products •Cane Sugar Cola •Sugar Free Cola •Root Beer •Ginger Ale •Lemon Lime •Orange & Cream •Berry Lemonade •Green Apple •Innovation/test opportunity for new fountain products12
Slide 13: Fountain Growth
Fountain Growth •Expanding distribution network •Partners across the USA and Canada •Leads and requests almost daily! •Lead to regional/national account opportunities13
Slide 14: Fountain on Social Media
a. % JONES PES. Oe ee BS a SODA CO: Fountain on Social Media Al Jeffrey Harding Dang! Fountain of Youth right there. Like Reply @2 looks like. God | love Jones soda lol Like - Reply 2 4 Caleb Biser Holy **** this must be what heaven ws Mitch Zro | would cry happiness. Forrest Lee You can deliver one
Slide 15: Partnerships
Partnerships •Co-branding with video games •Magic: The Gathering/Wizards of the Coast •Stan Lee subscription box •Fiat USA •And many more! Image result for jonesin for a fiat15
Slide 16: Key Partnership: 7-Eleven
Key Partnership: 7-Eleven •7-Eleven •Launched PET product in Q1’16 •Launched current glass product in Q4’16 & Q1’17 •Seeing strong customer response and sales velocity •Iconic Jones glass bottle •Current lineup: 4 SKUs that leverage Jones flavors •Blueberry Lemonade •Green Apple •Sour Patch Kids Wat
Slide 17: Lemoncocco
a. % JONES PES. Oe ee BS a SODA CO: Lemoncocco
Slide 18: Lemoncocco: a new beverage category
•Lemoncocco represents an entirely new beverage category that was inspired by the distinctive refreshment stands found along the streets of Rome, Italy •Non-carbonated •All natural •A blend of Sicilian lemons & cream of coconut •90 calories •Refreshing 18
Slide 19: Lemoncocco Demographics
Lemoncocco Demographics Target Demographic/Mass Appeal •Mass appeal •Millennial demographic •Kids •Adults of all ages •All natural •Premium and stylish •Cocktail mixer •Hydration •Pairs well with all cuisines 19
Slide 20: Lemoncocco Rollout: Launched in 2016
Lemoncocco Rollout Launched in 2016 •Focus: Brand authenticity •Small Italian distributors •Select markets •SPINS data •SPINS, Inc. provides market measurement information and insights for manufacturers and retailers in the natural organic and specialty products industry •SPINS showed a 255% growth
Slide 21: Lemoncocco Rollout: 2017 larger rollout
Lemoncocco Rollout 2017: Larger rollout •Expand distributor base strategically •Focus on building New York/New Jersey and the West Coast •Canadian expansion •New retailers: grocery, foodservice, convenience21
Slide 22: Innovation
a. % JONES PES. Oe ee BS a SODA CO: Innovation
Slide 23: Innovation
Innovation Jones Soda is innovating in ways that leverage brand equity and/or industry experience. 23
Slide 24: Innovation: Spiked Jones
Innovation •To celebrate our 21st birthday, Jones Soda introduces Spiked Jones •First ever Hard Cider Soda •Developed with award winning cider maker Jeff Bland using Washington apples & Green Apple Jones Soda •6.0% alcohol by volume •Launching June 2017 •Natural transition into new demographic that
Slide 25: Spiked Jones
a. % JONES PES. Oe ee BS a SODA CO: Spiked Jones Independent Since ‘96
Slide 26: 2016 & Q1 2017 Results
a. % JONES PES. Oe ee BS a SODA CO! 2016 & Q1 2017 Results
Slide 27: Key Financial Highlights From 2016
Jones Soda Co. Key Financial Highlights From 2016 •Achieved first double digit revenue growth in 10 years •Achieved first positive EBITDA in 10 years •No outside equity capital raised in 5 years •Maintained efficient cost structure •Focused on inventory management •Improved terms on asset-based Line
Slide 28: Financial results 2011-2016
201120122013201420152016Sales $17.4M $16.4M $13.7M $13.55M $13.59M $15.67M Gross Profit$4.3M$4.5M$3.3M$3.0M$3.2M$4.1MGross Margin %24.70%27.30%23.80%22.20%23.90%26.20%Operating Expenses$11.5M $7.3M $5.1M $4.8M $4.0M $4.2MOperating (Loss )/Income($7.2M) ($2.8M) ($1.8M)($1.8M)($0.8M)($0.1M)Net Loss ($
Slide 29: First Quarter 2017 Results
First Quarter 2017 Results Financial Highlights: •$3.5M in Revenue •($197K) Net Loss Q1 2017Q1 2016Sales $3.5M $4.3M Gross Profit$0.9M$1.2MGross Margin %24.10%27.40%Operating Expenses$1.0M$1.1MOperating income (loss)($174K)$66KNet income (loss) ($197K)$49KEBITDA($130K)$111KInitial pipeline load in f
Slide 30: Q&A
a. % JONES PES. Oe ee BS a SODA CO: Q&A
Slide 31: Thank you!
a. % JONES PES. Oe ee BS a SODA CO: Thank you!