Goodfood Market Reports Narrowed Loss in Q1

Goodfood Market, a Canadian online meal solutions company, has announced a narrowed loss in its first fiscal quarter. Despite discontinuing its on-demand offering, which resulted in a decline in sales, the company reported a loss of CAD 2 million ($1.5 million), or CAD 0.03 a share, compared to a loss of CAD 11.7 million, or CAD 0.16 a share, in the same quarter last year.

Operational Efficiencies Drive Improvement

Goodfood credits the improvement largely to operational efficiencies, such as reducing wages and salaries, as well as lower operating costs. These measures played a significant role in mitigating the effects of discontinuing the on-demand service.

Sales Decline Due to Strategic Changes

Sales fell by 14% to CAD 40.5 million, mainly attributed to the decision to discontinue the on-demand offering and the decrease in the number of active customers. Goodfood has been focused on attracting and retaining customers who provide higher gross margins, which resulted in a decrease in the overall customer base.

Positive Momentum and Customer Growth

Despite the challenges, Goodfood's Chief Executive, Jonathan Ferrari, remains optimistic. He stated that the company is building on the positive momentum that started in the first quarter and has successfully grown its active customer base to 124,000.