---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-23-040114"
form_type: "8-K"
ticker: "REED"
cik: "0001140215"
company_name: "REED'S, INC."
filed_at: "2023-11-09T23:59:59+00:00"
generated_at: "2026-06-08T06:06:21.621664+00:00"
event_type: "earnings"
sentiment: "positive"
materiality_score: 0.7
calibrated_materiality_score: 0.7
confidence: "high"
source: SEC EDGAR
---

# Reed's Q3 gross margin surges to 34%; first modified EBITDA profit since 2016

## Summary
- Q3 net sales $11.9M (-2% YoY); gross profit $4.0M (+66% YoY); gross margin 34.0% vs 20.1%.
- Operating loss narrowed to $0.1M from $2.5M; modified EBITDA turned positive at $0.2M vs -$2.2M.
- SG&A down 14% to $2.3M; delivery & handling costs cut 15% to $2.98/case.
- FY2023 net sales guidance revised to $45-$47M due to inventory shortages; expects to maintain EBITDA profitability.
- Cash $1.0M; total debt $26.8M ($17.1M convertible note, $9.7M revolver); $3.1M revolver available.

## SEC filing metadata
- accession: 0001493152-23-040114
- form_type: 8-K
- ticker: REED
- cik: 0001140215
- company_name: REED'S, INC.
- filed_at: 2023-11-09T23:59:59+00:00
- event_type: earnings
- sentiment: positive
- materiality_score: 0.7
- calibrated_materiality_score: 0.7
- confidence: high
- sec_items: 2.02, 7.01, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1140215/000149315223040114/0001493152-23-040114-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1140215/000149315223040114/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-23-040114
- JSON: https://secwatch.observer/filing/0001493152-23-040114.json
- Plain text: https://secwatch.observer/filing/0001493152-23-040114.txt

## Key facts
- Earnings Releases
  REED'S, INC. reported three months ended September 30, 2023 results: revenue $11.9 million, EPS $(0.03) per share. Guidance reaffirmed.
  - Period: three months ended September 30, 2023
  - Revenue: $11.9 million
  - EPS: $(0.03) per share
  - Guidance: reaffirmed
  - Result: reported results
  source text: natural ginger beverages, is reporting financial results for the three months ended September 30, 2023. Q3 2023 Financial Highlights (vs. Q3 2022): ● Net sales were $11.9 million compared to $12.1 million. ● Gross profit increased 66% to $4.0 million compared to $2.4 million, with gross margin up 1,390 basis points to 34.0% compared to 20.1%. ● Delivery
  evidence_url: https://www.sec.gov/Archives/edgar/data/1140215/000149315223040114/0001493152-23-040114-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.