Just Kitchen Posts Revenue Of $3.3 Million, Net Loss Of $2.8 Million For Fiscal Q3 2021
Just Kitchen Holdings Corp. (TSXV: JK) reported this morning its financial results for the fiscal third quarter 2021 ending June 30, 2021. The report highlighted total quarterly revenue of $3.3 million, an increase from Q3 2020’s sales of $0.5 million.
The company attributes the boost to an increase in sales volume, particularly a 67% quarter-on-quarter increase in retail customer food orders.
However, incurring a total of $6.2 million recognized expenses led the company to a net loss of $2.8 million compared to a loss of $0.8 million for the same comparable period last year. The quarterly loss translates to $0.05 per share.
Calibrating for financial line items, adjusted EBITDA for the quarter came in at a loss of $2.1 million compared to last year’s loss of $0.6 million. The company relayed that this is primarily a result of “an overall increase in business activities which caused an increase in general and administrative costs”.
For the first three fiscal quarters, the company posted $7.5 million in revenue and $7.8 million in net losses.
“We are pleased with the financial and operating results for the third quarter of 2021 as they are beginning to more accurately reflect JustKitchen’s rapid and continuing growth,” said Just Kitchen CEO Jason Chen. “The significant increase in revenues by way of the step-change in food order volume reflects our growing number of ghost kitchen locations, food brands, and menu offerings.” Chen also added that the company’s investments are “generating a steady pipeline of development opportunities” to pursue in the future.
The company generated significant cash inflows for the first nine months of its fiscal year as it ended with a cash balance of $24.3 million coming from $0.5 million at the start of the first quarter. The influx of cash is primarily driven by gains from the issuance of share capital amounting to $32.2 million following a series of financing and offerings.
At the end of the quarter, the company’s current assets came in at $26.1 million while its current liabilities balance ended at $4.0 million.
The ghost kitchen firm relayed that it anticipates operating costs proportionally increasing in the next periods to support the rapid expansion in Taiwan and internationally.
Just Kitchen Holdings Corp. last traded at $1.61 on the TSX Venture.
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