Goodfood Market shares up after reporting $1.2M Q3 loss, improved margins

By The Canadian Press on July 18, 2023.

MONTREAL – Goodfood Market Corp. reported a loss of $1.2 million in its latest quarter compared with a loss of $21.1 million a year earlier as its sales fell, but margins improved.

Shares in the meal kit company were up 6.5 cents or about 14 per cent at 52 cents in late-morning trading on the Toronto Stock Exchange on Tuesday.

The company says the loss amounted to two cents per share for the quarter ended June 3 compared with a loss of 28 cents per share a year earlier.

Net sales for what was Goodfood’s third quarter totalled $42.1 million, down from $67.0 million in the same quarter last year.

The company says the decrease was mainly driven by fewer active customers and its decision to discontinue its on-demand offering, offset in part by an increase in average order value.

The company’s gross margin for the quarter amounted to 41.0 per cent, up from 26.2 per cent a year earlier.

This report by The Canadian Press was first published July 18, 2023.

Companies in this story: (TSX:FOOD)

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