Jones Soda (JSDA) investor relations material

Executive summary

• Q3 2025 revenue grew 15% year-over-year to $4.5 million, driven by HD9, direct-to-consumer, fountain, and Spiked Jones products, with operational improvements and cost reductions.

• Net loss narrowed to $1.4 million from $2.6 million, reflecting disciplined cost management and improved margins.

• Adjusted EBITDA loss improved by 65% to -$0.9 million from -$2.2 million.

• Expanded distribution networks, launched new products including Mary Jones ZERO and Fallout-themed beverages, and completed the sale of the cannabis beverage business for a $3.7 million gain.

• Positioned for scalable growth with enhanced logistics, centralized warehousing, and improved inventory management.

Financial highlights

• Q3 2025 net revenue increased 15% year-over-year to $4.5 million; gross profit rose 76.7% to $1.3 million, with gross margin up to 28.9% from 18.8%.

• Operating expenses decreased to $2.7 million, mainly from lower selling, marketing, and G&A costs.

• Net loss improved to $1.4 million (-$0.01/share) from $2.6 million (-$0.02/share) year-over-year.

• Cash at September 30, 2025, was $0.2 million; working capital at $0.6 million.

• Weighted average shares outstanding for Q3 2025 were 117.3 million.

Outlook and guidance

• Q4 2025 gross sales guidance set at $8 million, primarily from Fallout product lines and strong purchase orders.

• Management anticipates continued growth in core, modern, and adult beverage categories, with new launches and partnerships expected in 2026.

• New federal legislation effective November 2026 may require reformulation or discontinuation of hemp-derived product lines, but no material impact expected in Q4 2025 or early 2026.

• Management believes current cash, projected sales, and loan facility are sufficient to fund operations for at least 12 months.