LaCroix Owner Blames Weak Financial Results on


 
 
11:44 03/09/2019

The CEO of National Beverage Corporation FIZZ , which owns LaCroix, has blamed the company's recent quarterly results on 'injustice.'

“We are truly sorry for these results stated above,” said CEO Nick Caporella.

'Negligence nor mismanagement nor woeful acts of God were not the reasons – much of this was the result of injustice!”

'Managing a brand is not so different from caring for someone who becomes handicapped,” he said. “Brands do not see or hear, so they are at the mercy of their owners or care providers who must preserve the dignity and special character that the brand exemplifies. It is important that LaCroix’s true character is not devalued intentionally − in any way.'

“Additionally, gross margins were impacted by volume declines,' Caporella continued, 'Comparisons were further skewed by the adoption of the new tax act in the third quarter of the prior year, which included credits and rate reduction adjustments aggregating $11.3 million. Nothing herein mentioned has detracted from the ultimate value and future of our dynamic company.
'There is no greater passion than the kind that creates the wonderful refreshment and contentment described as unique! No doubt, the sound and personality of the word LaCroix, coupled with the awesome experience of its essence and taste... is unique. One can be induced to purchase by cheapening price or giving away a product, but falling in love with a feeling of joy is the result of contentment. Just ask any LaCroix consumer ... Would you trade away that LaLa feeling? ‘No way, they shout – We just love our LaCroix!’ I am positive they respond this way each and every time,' he added.

The company reported earnings per share of 53 cents compared to expectations of 76 cents. In the year ago period the company reported earnings of 88 cents.

Revenue was $220.89 million, a drop of 3% from the year ago period.

Shares fell 13% on the release.

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