Schied Vineyards reports a profit of $12.58 million , or $14.04 a share, in the first six months, reversing a year-earlier loss of $4.57 million. Revenue totaled $17.96 million.
Much of the profit was attributed to the sale of vineyard properties which produced a profit of $23.8 million. The sale reduced interest expense 26% to $1.7 million from $2.3 million.
Cased goods sales increased 32% in the current period, primarily as the result of sales of the Company’s Sunny with a Chance of Flowers brand, which was launched in the fall of 2020, and sales to airlines which were limited in the previous year due to COVID-19 travel restrictions, Mike Thomsen, chief financial officer, said. Bulk wine sales decreased 52% from the previous year as the Company continues to increase the use of bulk wine inventories in its own cased goods production. Overall, total revenues increased 12% from the previous fiscal year. Sales and marketing expenses increased 21%, from $4.2 to $5.1 million, as the Company invested in the marketing of new brands and territories.
Scott Scheid, president/CEO said, “The 2021 grape harvest began in late August and is expected to be completed in the third week of November. This timing is delayed by approximately two weeks from a normal harvest season for wine grape vineyards on the Central Coast of California, due primarily to a cooler than normal growing season. We are currently approximately two-thirds completed with harvest and yields appear to be trending at average levels for most varieties.”