Key Highlights:
Best Q1 in GURU’s History: Net revenue up 8% to $7.7 million, driven by U.S. sales.
Continued U.S. Sales Momentum: U.S. sales increased 46% to $2.1 million, reflecting higher sales velocity and innovation success.
Strong Margin Expansion: Gross margin improved to 59.5% from 52.9% in Q1 2024.
Improved Profitability: Net loss reduced by 31% to $1.3 million, marking the lowest loss since Q2 2021 and demonstrating continued progress towards return to profitability.
Solid Financial Position: $25.2 million in cash and cash equivalents ($25.5 million in Q4 2024), no debt and $10 million of unused credit facilities.
Q2 Launches: Following the strong performance of the Zero line in the U.S., GURU is launching Zero Wild Berry, Wild Ruby Red, and Wild Ice Pop in Canada. At the same time, Zero Wild Ice Pop is launching in the U.S., becoming the fourth Zero product available in this market.
MONTRÉAL, March 13, 2025 (GLOBE NEWSWIRE) — GURU Organic Energy Corp. (TSX: GURU) (“GURU” or the “Company“), Canada’s leading organic energy drink brand1, today announced its results for the first quarter ended January 31, 2025. All amounts are in Canadian dollars unless otherwise indicated.
Financial Highlights
(in thousands of dollars, except per share data)
Three months ended
January 31
2025
2024
$
$
Net revenue
7,695
7,146
Gross profit
4,579
3,782
Net loss
(1,284)
(1,858)
Basic and diluted loss per share
(0.04)
(0.06)
Adjusted EBITDA2
(1,057)
(1,966)
Quote from Carl Goyette, President and CEO
“We are very pleased to report a record Q1 performance, fueled by strong U.S. growth and continued focus on margin expansion and operational efficiencies. Our strategy to enhance pricing execution and optimize promotions has led to continued significant improvement in gross margin, which reached 59.5%. At the same time, the combination of strong net revenue growth and higher gross profit has resulted in a 31% reduction in net loss, marking our lowest quarterly loss since Q2 2021. We continue to make meaningful progress toward profitability while driving sustainable growth in key markets.”
“The strong momentum of our GURU Zero-line launch in the U.S. further reinforces our commitment to innovation and the growing consumer demand for better-for-you energy drinks. Unlike many competitors in this space, GURU is the only zero sugar organic energy drink brand that is 100% free of artificial sweeteners, sucralose, and aspartame—offering a clean energy alternative with natural ingredients. With the Canadian launch of Zero Wild Berry, Wild Ruby Red and Wild Ice Pop this quarter—our first in North America—we are well positioned to capitalize on the accelerating shift towards natural, health-conscious energy drinks,” added Mr. Goyette.
RESULTS OF OPERATIONS
Revenue Growth Driven by U.S. Momentum
Net revenue increased by 8% to $7.7 million in Q1 2025, up from $7.1 million in Q1 2024, marking a record Q1 performance. Growth was primarily driven by higher sales velocity and successful innovation launches in the U.S. across all channels.
U.S. sales grew 46%, reaching $2.1 million, fueled by expanded distribution and improved retail sales velocity. Online sales continued to accelerate, with Amazon U.S. consumer sales units up 58% in the last 12 weeks, reflecting strong demand for GURU’s products in the e-commerce channel.
Canada sales decreased slightly to $5.6 million from $5.7 million in Q1 2024, as the prior-year quarter benefited from higher distributor inventory levels. This was partially offset by online sales at Amazon Canada, where …