Jones Soda Co. Reports 14.9% Revenue Growth in Q3 2025, Focuses on Core Beverage Business

Jones Soda Co. reported its financial results for the third quarter and the first nine months of 2025, revealing a revenue increase of 14.9% to $4.5 million for the quarter, compared to $3.9 million in the same period last year. For the nine months ending September 30, 2025, total revenue was approximately $13.6 million, a decrease of 10.1% from $15.2 million in 2024. The company attributed the quarterly revenue growth to higher sales in its HD9 products, direct-to-consumer offerings, and fountain products, which were partially offset by a decline in core soda sales. Gross profit for the quarter increased significantly to $1.3 million, or 28.9% of revenue, up from $735,000, or 18.8% of revenue, in the prior year, primarily due to lower trade spending and reduced product costs.

In terms of operational changes, Jones Soda completed the sale of its cannabis beverage subsidiaries in June 2025, which contributed to a gain of $3.7 million recognized in the nine-month results. The company has since focused on its core beverage business, including the launch of new product lines such as Spiked Jones, a hard soda brand, and the expansion of its modern soda offerings. The company also reported a reduction in selling and marketing expenses, which fell by 33% to $1 million for the quarter, reflecting a strategic shift towards more efficient marketing efforts.

The company’s financial position showed a cash balance of $199,000 as of September 30, 2025, down from $1.3 million at the end of 2024. Total liabilities increased to $8.7 million, up from $6.4 million, primarily due to higher accounts payable and accrued expenses. Despite these challenges, Jones Soda reported a net income of $331,000 for the nine months ended September 30, 2025, a significant improvement from a net loss of $5.3 million in the same period of 2024. The accumulated deficit decreased slightly to $92.6 million.

Looking ahead, Jones Soda's management expressed optimism about future growth, particularly in the fourth quarter, driven by anticipated increases in core soda and direct-to-consumer sales. The company is also focusing on reducing operating expenses and enhancing product margins. However, management acknowledged ongoing challenges, including the need to navigate market conditions and regulatory changes affecting its hemp-derived product lines. The company has implemented leadership changes and strategic initiatives aimed at stabilizing its financial performance and ensuring sustainable growth.

Overall, Jones Soda Co. is positioning itself to capitalize on emerging market trends while addressing operational challenges, with a clear focus on enhancing profitability and expanding its product offerings in the competitive beverage landscape.