The Californian coffee roaster reports stable finances for the quarter following its $7.2m IPO and is targeting a first phase of new expansion in its fourth quarter
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Reborn plans to open five new company-owned retail locations by the end of its first quarter 2023 | Photo credit: Reborn Coffee
Reborn Coffee has credited its strong third quarter sales as setting the foundations for future revenue and outlet growth in the next 12 months.
The California-based coffee roaster and café chain achieved 22% year-on-year revenue growth to reach $0.8m in the three months ended September 2022 – the same figure recorded for its second quarter.
Year-to-date sales rose 52% to $2.4m, which Reborn attributed to store openings in Laguna Woods, Riverside and San Francisco.
The company’s net loss also mirrored its previous quarter, totalling $0.9m. Third quarter loss in 2021 reached $1.9m.
The business closed a $7.2m IPO in August 2022 which will fund further US store growth, international market expansion and an enhanced e-commerce channel.
Reborn Coffee, which currently operates nine coffee shops across California, has announced plans to open five new company-owned retail locations in the state by the end of its first quarter 2023.
“In the third quarter of 2022 we continued to build the foundation for long-term growth with ongoing revenue execution and location expansion. During the quarter we passed a crucial milestone on our journey with the transition to a Nasdaq listed public company and the addition of new capital to accelerate our growth strategy. With revenue growth driven by strong customer demand, new product innovation and effective operational execution across our retail locations, we are highly focused on our expansion strategy goals supported by proceeds from our recent IPO,” said Jay Kim, CEO, Reborn.
Although timeframes have not been shared, Reborn plans to open 40 company-owned retail locations and four flagship sites in the US, with San Francisco, San Diego, Houston and Kansas City the expected locations for the latter outlets.
The company is also seeking to launch in four international locations, with Austria, South Korea and the United Arab Emirates slated as target markets.