Laird Superfood boosts sales, trims losses in Q3

BOULDER — Laird Superfood Inc. (NYSE American: LSF) boosted its sales and trimmed its net losses in the third quarter of 2024. 

The company’s largest category of products by sales are coffee creamers. It also distributes hydration and beverage supplements, coffee, tea and hot-chocolate products.

“I am pleased to report that Laird Superfood is once again among the fastest growing food companies in the U.S., with net sales increasing by over 28% in the third quarter of 2024,” Jason Vieth, Laird’s CEO, said in a prepared statement. “Year-to-date, our 2024 net sales growth rate is nearly 27% and has been driven by positive growth across both e-commerce and wholesale channels, and across all of our core categories including creamers, coffee and hydration products.

“Even more impressive,” he said, “we have done this while expanding our gross margin to more than 41% during 2024, which is also among best-in-class companies in the food industry. We continue to see strong uptake among retailers nationwide, and the growth rate in our e-commerce business demonstrates our ability to maintain a leading position in omnichannel food sales.

“It is a clear trend that consumers continue to accelerate their focus on the impact of food ingredients to their own health and wellness,” he said, “and I believe that Laird Superfood is now among the best positioned brands to support them on this journey.”

Third-quarter net sales of $11.8 million were up from $9.2 million in the same month last year and $10 million in the second quarter of 2024.

E-commerce sales increased by 42% year-over-year and made up 58% of total net sales. Sales on Amazon.com increased by 133% year-over-year, building on the strong performance over the last two quarters as compared with a reduced sales volume in the previous year that stemmed from out-of-stock products.

Wholesale sales increased by 13% year-over-year and contributed 42% of total net sales driven by growth in grocery-store sales.

Gross margin was 43%, compared with 31% in the corresponding period last year and 41.8% in the second quarter of 2024. The company said that margin expansion was driven by lower ingredient costs because of a shift to the direct procurement of key raw materials, settlement recoveries and planned reductions in trade spending.

Laird’s net loss was around $200,000, or 2 cents per diluted share, compared with a net loss of $2.7 million, or 28 cents per diluted share, in the same period of 2023. The improvement was driven by gross margin expansion, as well as lowered marketing and general and administrative costs.

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