TAMPA - Better Choice Company Inc. (NYSE American: BTTR) (the 'Company' or 'Better Choice'), a pet health and wellness company, today reported its financial results for the fourth quarter and year ended December 31, 2023.
Kent Cunningham, CEO of Better Choice, stated, 'In 2023, we realized significant gross margin improvement to 31%, fueled by strategic pricing initiatives and a 3% YOY improvement of input costs - a reflection of operational discipline and unlocking profit through high production supply volumes. Our further continued focus on financial discipline and a path to profitability is reflected in the 29% adjusted EBITDA growth and significant improvement in cash burn during the year. The topline decline was a primary result of normalizing stock levels in our International markets, purposefully exiting unprofitable accounts, and attrition related to the late 2022 migration of the former TruDog brand to the Halo brand umbrella in our digital channels. Significant strategic shifts were purposefully made across channels to ensure recoverability and long-term viability of the Halo brand. Our 2024 annual operating plan includes a strategic pivot in our digital and marketing investment allocation strategies to drive brand growth and discoverability. Looking forward, we are focused on accelerating topline momentum, keeping product quality at the forefront, and continuous improvement initiatives to fuel our future growth trajectory. We closed the year with a solid footing to build upon brand equity and enhanced profitability further in 2024.'
FOURTH QUARTER 2023 FINANCIAL HIGHLIGHTS
Operating loss improved 47% YOY to $(12.7) million
Operating margin improved 3,800 basis points ('bps') YOY to (-223%)
Net loss improved 40% YOY to $(14.7) million
Earnings (loss) per share ('EPS') improved 40% YOY to ($20.84)
Adjusted EBITDA improved 30% YOY to $(3.4) million1
FULL YEAR 2023 FINANCIAL HIGHLIGHTS
Gross margin improved 300 bps YOY to 31%
Operating loss improved 45% YOY to $(21.2) million
Operating margin improved 1,600 bps YOY to (-55%)
Net loss improved 42% YOY to $(22.8) million
EPS improved 45% YOY to ($32.29)
Adjusted EBITDA improved 32% YOY to $(8.0) million1
About Better Choice Company Inc.
Better Choice Company Inc. is a pet health and wellness company focused on providing pet products and services that help dogs and cats live healthier, happier and longer lives. We offer a broad portfolio of pet health and wellness products for dogs and cats sold under our Halo brand across multiple forms, including kibble, canned food, freeze-dried raw food and treats, vegan dog food and treats, oral care products, toppers and other chews and supplements. We have a demonstrated, multi-decade track record of success and are well positioned to benefit from the mainstream trends of growing pet humanization and consumer focus on health and wellness. Halo's core products are made with high-quality, thoughtfully sourced ingredients for natural, science-based nutrition. Each innovative recipe is formulated with leading veterinary and nutrition experts to deliver optimal health.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words 'believe,' 'may,' 'estimate,' 'continue,' 'anticipate,' 'intend,' 'should,' 'plan,' 'could,' 'target,' 'potential,' 'is likely,' 'will,' 'expect' and similar expressions, as they relate to us, are intended to identify forward-looking statements. The Company has based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Some or all of the results anticipated by these forward-looking statements may not be achieved. Further information on the Company's risk factors is contained in our filings with the SEC. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.
Contact:
Valter Pinto
Tel: 212-896-1254
Email: Valter@KCSA.com
BETTER CHOICE COMPANY INC. 
