MONTREAL — Goodfood Market Corp. reported a first-quarter loss of $11.7 million compared with a loss of $21.6 million in the same quarter a year earlier as its revenue fell, but margins improved.

The meal kit company says the loss amounted to 16 cents per diluted share for the quarter ended Dec. 3 compared with a loss of 29 cents per diluted share a year earlier.

Net sales totalled $47.1 million for the three-month period, down from $77.8 million the previous year.

The company says the drop came as it focused on attracting and retaining customers that provide higher gross margins and by changing customer behaviours, partially offset by an increase in average order values.

Goodfood CEO Jonathan Ferrari says the company's gross margin topped 35 per cent for the first time.

Goodfood says its adjusted earnings before interest, taxes, depreciation and amortization amounted to a loss of $2.3 million compared with a loss of $14.6 million in the same quarter a year earlier.

This report by The Canadian Press was first published Jan. 17, 2023.

Companies in this story: (TSX:FOOD)

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