Jones Soda Co.

What they do

Jones Soda develops and sells premium soda and related beverages under the Jones Soda brand and through licensed partnerships, including products tied to a gaming franchise. Products move through retail and warehouse club channels as well as direct-to-consumer sales. Distribution includes Canada, where the company has expanded its licensed beverage lineup across every province. The company is a smaller reporting company with common stock registered under Section 12(g) and no securities registered under Section 12(b).

Revenue drivers

• Licensed and club-channel beverages — Q4 2025 revenue of $11.7M rose 450% year-over-year, primarily attributable to club and direct-to-consumer sales of licensed products, per the earnings release.
• Core Jones Soda retail sales — Full-year 2025 revenue growth to $25.3M was attributed primarily to new core soda sales through the club channel and incremental direct-to-consumer sales.
• Canadian distribution — The company expanded its warehouse club program in Canada, began shipping Sarsaparilla 12-packs to Canadian club stores, and states distribution now spans every Canadian province.

Recent performance

Full-year 2025 revenue rose 41.9% to $25.3 million from $17.8 million, and net loss from continuing operations narrowed 82% to $1.8 million, or $(0.01) per share. Q4 2025 revenue was $11.7 million versus $2.6 million a year earlier, with Adjusted EBITDA of positive $0.5 million. Operating cash flow was negative $1.3 million for 2025, an improvement from negative $6.2 million in 2024. At June 30, 2026, total assets were $13.7 million, total liabilities $12.5 million, shareholder equity $1.2 million, and cash $2.4 million. Recent quarterly revenue was $12.4 million in Q1 2026 and $10.2 million in Q2 2026.

Strategy

Management describes 2025 as transformational, citing supply-chain optimization, disciplined cost management, product innovation, and partnership collaborations. Stated priorities for 2026 are strengthening core channels, expanding distribution, and executing the warehouse club program to grow revenue and margins. The company launched Supply Pack and Rocket Bottle products with a leading gaming franchise and announced an expanded club program extending momentum into 2026. It also says it strengthened C-level leadership in operations and marketing.

Risks

• Going concern — The auditor's report for fiscal 2025 cites recurring losses from operations and a net capital deficiency that raise substantial doubt about the company's ability to continue as a going concern.
• Thin equity and liquidity — At June 30, 2026, shareholder equity was $1.2 million against $12.5 million of liabilities, with $2.4 million of cash.
• Concentrated club-and-license revenue — The Q4 2025 revenue surge was primarily attributable to club and direct-to-consumer sales of licensed products, per the earnings release, exposing results to those programs' timing and continuation.
• Persistent operating losses — Net income was negative in each year from 2021 through 2025, and operating cash flow was negative in each of those years, including negative $1.3 million in 2025.

Outlook

Management stated in the March 31, 2026 earnings release that Q1 2026 revenue would exceed $12 million, up more than 260% year-over-year, and that FY2026 revenue would exceed $40 million, up more than 60%. It cited strong first-quarter trends, expanded distribution, partnerships, and the warehouse club program. Actual Q1 2026 revenue of $12.4 million was reported in the latest quarterly data. The company says focus remains on strengthening core channels and delivering product innovation.