Reborn Coffee has reported an 81 per cent increase in revenue in its Q3 report for 2023.
The California-based retailer of specialty coffee reported US$1.5 million in revenue during the quarter, compared to US$0.8 million in Q3 2022.
“The third quarter of 2023 was focused on new partnerships to diversify our reach beyond our California-based retail locations both globally and through e-commerce,” says Reborn Coffee CEO Jay Kim.
Reborn Coffee ended the quarter with 14 open locations with one in development.
Company-operated store gross profit reached US1.0 million for the quarter, compared to US$0.6 million the same time period in 2022.
“Our company-operated store sales were driven by operational execution across our retail locations,” says Kim.
“Leveraging our ongoing revenue growth, our expansion strategy into new online and geographic channels continues to be supported by new products and strategic marketing initiatives that are increasing customer engagement.”
During the quarter, Reborn Coffee reached a partnership with Sheikh Hamed, the owner of Abu Dhabi’s Millennium Hotel, to open its first retail location in the United Arab Emirates.
“Under the licensing agreement, we will work to establish Reborn Coffee outlets, roasting, and warehouse facilities in the UAE, with a goal to establish a minimum of 10 locations within a specified five-year timeframe,” says Kim.
Additionally, the company partnered with Hour Loop, a leading retailer engaged in e-commerce, to help add Reborn Coffee to Amazon through the Amazon Marketplace Program, which led to the launch of the new Organic Volcanic Tea.
“With both coffee and tea products readying to launch on Amazon, combined with Hour Loop’s sales experience and expansive reach, we believe we can rapidly scale sales to our retail chain in 2024,” Kim says.
The company is planning to add more locations in the United States in the near future, targeting cities such as San Francisco, San Diego, Houston, and Kansas City.